No plan to lift tin ore export ban: Official
Saturday, August 3 2002 - 02:06 AM WIB
"Two days ago we met with tin players on the Bangka Island to evaluate the situation after the tin ban. That meeting might have been misinterpreted," said Ferry Yahya, director of Exports for Agriculture and Mining Products.
"So far there is no intention to lift the ban," Ferry added.
On June 1, Indonesia imposed a ban on the export of tin ore in an effort to reduce oversupply from Indonesia, which has pressured world tin prices.
Earlier, the ministry voiced concerns the livelihood of small-scale miners on Bangka-Belitung Islands has been hurt by the ban as they can no longer sell tin ore to exporters.
"Those miners now have to sell tin ore to produces like Timah and PT Koba Tin only. But at the meeting, there were no complains from them," Ferry said.
The official said there will be a surplus of tin ore this year. However, he said there will only be around 20,000 tons of tin ore in excess of current smelting target in the country this year.
The ministry is trying to encourage existing tin metal producers and new investors to process the excess amount, Ferry said.
PT Tambang Timah, the world's largest integrated tin smelter, has been running at 70 percent capacity this year as low tin prices make it uneconomical for the company to run at full capacity at 48,000 tons per year. (*)