Govt asked to ban imports of zirconium

The association of Indonesian zirconium producers (APZI) said that they supported the government?s policy to require zirconium producers to sell part of their production under a domestic market obligation (DMO) ruling as long as it bans imports of the same products, Kontan reported on Tuesday.

APZI?s Secretary General Sihol Manullang said in Jakarta on Monday that the larger part of the zirconium silicate used by local ceramics producers were still imported. ?We are ready to implement DMO as long as imports of zirconium silicate are also stopped,? he added.

The Energy and Mineral Resources Ministry has issued a new regulation requiring producers of mineral products including zirconium silicate to sell part of their production in the domestic market to meet demand from local companies.

Indonesia?s ceramics producers, for example, need about 3,000 ton of zirconium silicate a month. However, only about 600 tons are provided by local miners, as the remainders are obtained from imports. PT Dian Lestari Sejahtera is the only local supplier of zirconium silicate.

The association estimates that the supply of zirconium silicate in the domestic market will increase next year following the implementation of the government?s regulation to ban exports of unprocessed mineral products. (*)