Mining downstream policy aimed at averting more state loss

By Bambang Atmaja

Industry Minister MS Hidayat insisted that the ongoing development of downstream industry on mining was aimed to ward off more financial losses for the country which have been in place in the recent past years.

He claimed that the government had made good preparations before implementing the policy since the development of downstream business to increase added-value of mineral ores would also create jobs once the companies built smelters across the country.

"The concept of downstream program is to rise added value to the nation and also creating new jobs. We have downstream business but it does not grow since most of raw materials are going for export,? Hidayat told Petromindo.com.

He argued that such program was made after the long preparation since the export of unprocessed mining products had caused big financial losses for Indonesia.

"We make good preparation before introducing the policy to the miners. There has been a study on the downstream development,? he said.

Responding to the mounting protest over the policy, Hidayat said ?It is natural, because they had enjoyed benefits from exporting mineral ores.?

Editing by Adianto P. Simamora