Mining Companies Association Speaks Out on Export Agency, Reminds of Long-Term Contracts

Jakarta — The government has formed a single export authority for strategic commodities through a state-owned entity named PT Danantara Sumberdaya Indonesia (DSI), under the State-Owned Enterprises (BUMN) umbrella. The agency is set to begin operations on 1 June 2026.

The policy elicited a response from the Indonesia Mining Association (IMA). Sari Esayanti, Executive Director of the Indonesian Mining Association, said the government’s plan to strengthen export controls of mining commodities through a dedicated national body should be studied comprehensively, taking into account a balance between governance strengthening, optimised state revenues, and, most importantly, sustainability of the mining sector.

Sari noted that IMA essentially supports strengthening oversight and ensuring the utilisation of natural resources to deliver maximum benefits for the state and its people. However, IMA hopes the policy remains attractive to the mining industry. She also stated that many mining operations, from the outset, have long-term contracts and their economic viability has been assessed over long time horizons.

‘IMA supports the government’s efforts to strengthen governance and increase revenue from the mining sector. However, in implementation, policy must continue to provide business certainty, the continuity of long-term contracts, and a competitive investment climate so that Indonesia’s mining industry remains trusted and able to grow sustainably,’ Sari said in a written statement on Wednesday (20 May 2026).

Sari added that the mining industry, in principle, is ready to support various government policies aimed at strengthening governance of the mineral and coal sector. Policy implementation needs to consider the existence of long-term sales agreements already agreed. Legal certainty and policy stability are essential factors in maintaining market confidence and Indonesia’s competitiveness in the global mining industry.