Tin exports from Indonesia likely to decline sharply in 2015: AETI

JAKARTA (Scrap Monster): The Association of Indonesian Tin Exporters (AETI) has predicted huge drop in tin exports from the country during the year 2015. According to Jabin Sufianto, President, AETI, the total tin shipments from Indonesia are likely to decline to less than 70,000 tonnes.

The drop in exports is mainly attributed to Permendag 44/2014-the new trade ministry tin export regulation which upgrades the quality requirement for exported tin goods to higher standard. As a result, export of tin in non-ingot form is expected to see sharp cuts. The new regulation has already come into effect on November 1st, 2014. In addition, the recent revision of mining concession norms by the Ministry of Energy and Minerals is also expected to lead to drop in shipment.

The controls on mining and the new export regulation may greatly reduce export of tin in non-ingot form. ITRI expects the Q4 exports to remain in the range between 20,000 tonnes to 25,000 tonnes. Any recovery in prices may result in increased exports towards the end of the current year. The cumulative exports for the whole year 2014 are likely to record its lowest level since 2007. AETI predicts further drop from these bottom levels in 2015.

The Indonesian Tin exports during the initial ten months of the current year have totaled 66,211 tonnes. Non-ingot tin accounted for 33% of the total exports. Non-ingot tin exports had surged since the Sep 2013 regulation, which made it mandatory for all tin ingots to be traded on local exchange before exported out of the country.