Tin exporters still unclear on plans to curb shipments

JAKARTA (Scrap Monster): The Indonesian Tin producers are yet to devise a concrete plan to curtail tin shipments from the country to lend support to falling tin prices. The discussions among exporting companies are reported to have decided to continue their discussions.

According to sources, 25 companies including the state-owned PT Timah had formed a working group to formulate strategies to boost tin prices. After four days of meeting, the companies failed to arrive at a plan. Reportedly, there were differences among companies with regards to halting and banning tin shipments from the country.

The member companies had resorted to various plans to restrict tin sales. During mid-February PT Timah had announced suspension of spot sales. In addition, almost 19 private tin smelters belonging to the Association of Indonesian Tin Exporters (AETI) had announced that the monthly sales of tin will be limited to 2,000 – 4,000 tpm depending upon prevailing market conditions. However, tin prices continued to slag. According to ITRI, schemes involving production cuts alone could lift tin prices. All the plans implemented so far has lacked production cuts, it noted.

The proposal to enact moratorium on tin shipments from the country was initially raised during the month of November last year by Bangka-Belitung Governor Rustam Effendi.