Mon, 11 Feb 2002

Sand export suspension effective Feb. 15

Adianto P. Simamora, The Jakarta Post, Jakarta

A ban on sand exports from Riau to Singapore, aimed at curbing illegal sand quarrying that has seriously damaged the province's marine environment, will come into effect on Feb. 15, a senior official at the Ministry of Industry and Trade said on Saturday.

Director General of Foreign Trade Sudar SA, said the Ministry would issue a decree this week stipulating the ban.

Under the decree, he said, sea sand exports from Riau to Singapore would be banned until there is a mechanism to improve sand quarrying and exports in the province.

"This is one of the points agreed upon in the memorandum of understanding (MoU) signed on Thursday in Riau," he told The Jakarta Post.

He was referring to an MoU signed by Minister of Trade and Industry Rini M. Soewandi, Riau Governor Saleh Djasit, a member of the House of Representative and a member of the Riau Legislative Council after studying and inspecting the real condition of the much-criticized sand quarrying activities in the Riau.

During her visit to Riau, Rini was accompanied by Army Chief of Staff Endriartono Sutarto and Navy Chief of Staff Indroko Sastrowiryono.

The MoU also stated that there would be a special team comprising officials both from the central and local government which would set up mechanisms to improve sand quarrying and export activities in the province.

Sudar said the length of the ban would depend on how quick the team were able to set up the mechanism.

Riau, the country's main sand exporter, has been exporting sand to Singapore for many years to support the city state's construction sector and coastal reclamation projects.

However, said Sudar, the price of Indonesian sand in Singapore has been steadily declining over the years as the market has been flooded with sand from illegal miners.

The sand today costs about S$1.4 to S$1.6 per cubic meter compared with the previous prices of about S$15 and S$16 per cubic meter, according to Sudar.

Governor Saleh also conceded the sand exports did not bring any financial benefit, either to the province or to the local people living along the province's coast.

"The provincial administration only earns S$1 from each ton of sand exported because it has been unable to control its export. A major part of the sand exported to Singapore has been extracted without any permits from the local administration," he said, citing the sand was sold at between S$8 and S$12 per ton.

Saleh said that illegal sand quarrying began in the 1980s and has caused Rp 2.5 trillion in material losses to the provincial administration.