JAKARTA (TheInsiderStories) – Indonesian mining export price lowering in October due to global fluctuations, the trade ministry has announced today (09/27). Compared to the month earlier, most mining products experienced a decliner, except lead concentrate products, ilmenite, and nickel.
“The benchmark export prices of most mining products have decreased due to fluctuations in global prices. Only lead concentrate, ilmenite and nickel concentrate products increased,” said director-general of foreign trade Indrasari Wisnu Wardhana in an official statement adding that the provision was stipulated in ministry regulation no.74 of 2019, dated September 25, 2019.
Wardhana said the number of mining products that subject to export duties as copper concentrate, iron concentrate, iron laterite concentrate, iron sand concentrate, iron sand concentrate pellet, manganese concentrate, lead concentrate, zinc concentrate, zinc concentrate, ilmenite concentrate, rutile concentrate, nickel and bauxite that had been washed.
It said products that experienced a decline were Copper concentrate (Cu≥15 percent) with an average price of US$2,353.35/WE or a decrease of 0.37 percent, iron concentrates (hematite, magnetite) (Fe ≥ 62 percent and ≤ 1 percent TiO2) with an average price of $74.94/WE or a decrease of 19.08 percent.
Furthermore, laterite iron concentrates (gutite, hematite, magnetite) with levels (Fe ≥ 50 percent and (Al2O3 + SiO2) ≥ 10 percent) with an average price of $38.29/WE or a decrease of 19.08 percent, manganese concentrate (concentrate Mn ≥ 49 percent) with an average price of $246.44/WE or a decrease of 10.50 percent.
While zinc concentrate (Zn ≥ 51 percent) with an average price of $572.54/WE or a decrease of 2.06 percent, sand concentrate iron (lamella magnetite-ilmenite) (Fe ≥ 56 percent) with an average price of $44.75/WE or down by 19.08 percent.
Then, rutile concentrate (TiO2 ≥ 90 percent) with an average price of $922.51/WE or decreased by 2.13 percent, and washed bauxite (Al2O3 ≥ 42 percent) with an average price of $23.61/WE or a decrease of 0.69 percent.
Meanwhile, mining products that experienced an increase in prices were lead concentrates (Pb ≥ 56 percent) with an average price of $850.43/WE or an increase of 1.77 percent, ilmenite concentrate (TiO2 ≥ 45 percent) with an average price of $235.42/WE or an increase of 9.34 percent, and nickel (Ni <1.7 percent) with prices an average of $24.86/WE or an increase of 14.97 percent.
“While the iron sand concentrate (Lamela magnetite-ilmenite) pellet (Fe ≥ 54) with an average price of $117.98/WE have not changed,” Wisnu said stressing this price determination after taking into account various written inputs and coordination from various related agencies.
It said calculation of export base prices for iron concentrate, laterite iron concentrate, iron sand concentrate, manganese concentrate, ilmenite concentrate, and rutile concentrate sourced from Asian Metal and Iron Ore Fine Australian.
Whereas copper concentrate, iron sand concentrate pellet, lead concentrate, zinc, nickel and bauxite concentrate sourced from the London Metal Exchange (LME).
Meanwhile, last week large mining companies welcomed a recent decision by the Indonesian government to move forward a ban on exporting nickel ore, as the firms aim to increase smelting output.
Top nickel ore supplier Indonesia last month said the country will stop ore export from Jan. 1, 2020, pushing forward a ban by two years and raising concerns of a supply shortage as well as causing financing issues for smaller players.
But major industry players gathering at the Asian Nickel conference weeks ago said the ban would further support the development of the nickel processing industry in the country.
The government said it expedited the ban to reserve ore for its fast-expanding smelting industries of nickel pig iron (NPI), stainless steel and electric vehicles (EV) battery nickel.
The country first placed the nickel ore export ban in 2014, causing a price surge at the time, then relaxed it in 2017 under a quota system. Nickel prices have surged as much as 76 percent this year.
Smelters in Indonesia in the past few years have ramped up production of NPI and ferronickel, or products made from nickel ore that is used in making stainless steel. From nearly zero in 2014, Indonesia’s NPI output climbed to 261,000 tonnes a year in 2018 and could climb to as much as 530,000 tonnes in 2020, according to analysts’ estimate.
Written by Lexy Nantu, Email: email@example.com