SNAP ANALYSIS: Muddled Indonesian tin export rules may hit August shipments

Tin shipments from Indonesia are expected to fall in August amid confusion over ministerial requirements for exports, with London Metal Exchange prices rising over $16,000 per tonne this week after languishing for most of the year.

What happened?
Two ministerial decrees have been issued by Indonesia’s government – one from the ministry of trade and one from the ministry of energy and minerals resources – concerning deadlines and conditions to obtain permits to export tin and “clean and clear” certification for mines.
A clean and clear certificate requirement has been introduced to check illegal mining in Indonesia, and the certificate provides that mining is taking place in accordance with state rules.
Explaining the overlapping decrees, Jabin Sufianto, president of the Association of Tin Exporters in Indonesia, said:
"No one is yet able to apply for the export declaration document, which is required by August 1, as the guidelines for the document are yet to be released by the ministry of energy and minerals.

“According to the decree by the ministry of energy and resources number 11 year 2014, the export declaration document will only be issued to...

Published

Claire Hack

Deepali Sharma

July 30, 2015

09:00 GMT

Singapore, London