ICDX provides loan facility for tin producers
Saturday, September 13 2014 - 03:07 AM WIB
The Indonesia Commodity and Derivatives Exchange (ICDX) is teaming up with Bank Sinarmas to provide loan facility for tin producers, which are members of the exchange, to help them survive the current downturn in the price of the commodity, Kontan reported on Saturday.
?The financing facility is provided to protect members when price plunges,? said ICDX Commissioner Fenny Widjaja.
As tin price has been under pressured, falling to its lowest level since July 2013 at US$20,897 per ton on Tuesday, tin producers have withheld export, thus preventing them from obtaining revenue.
The ICDX financing facility carries an interest rate of 12-14 percent for the rupiah loan, and 7-9 percent for US dollar loan.
The paper also said that ICDX is teaming up with PT Kalibesar Raya Utama to ensure the security of tin products while being shipped to overseas market destinations. (*)