Poor prices force closure of S.E.Asia's tin research center

Poor prices force closure of S.E.Asia's tin research center

KUALA LUMPUR (AFP): The Southeast Asia Tin Research and Development Center (SEATRAD), the region's research and training unit for the mining industry, will be closed due to dwindling tin prices, an official said Thursday.

The decision to close the center was made recently by major tin-producing countries Malaysia, Thailand and Indonesia, SEATRAD acting director S. Senathi Rajah was quoted by Bernama news agency as saying in Ipoh, in northern Perak state.

The three countries had been funding the Ipoh-based center since its inception in 1977.

"We reached a consensus on the decision largely due to the prevailing unhealthy state of the tin mining industry," Rajah said.

Six professionals and 32 supporting staff are attached to the center.

Tin prices at the Kuala Lumpur Tin Market are hovering around 14 ringgit (US$5.60) a kilo (2.2 pounds) after peaking at 29.15 ringgit before the tin market crashed in October 1985.

Malaysia, Thailand and Indonesia are key members of the Association of Tin Producing Countries (ATPC) which has been implementing a program since 1987 to rationalize supply to bolster prices.

Other members are China, the world's largest producer, Australia, Bolivia, Nigeria and Zaire.

The ATPC, which together with major tin producer Brazil, accounts for 75 percent of global output, aims to deplete excess stocks to 28,500 tons by year-end from more than 76,000 tons in 1987, officials said.