Indonesian Ore Export Ban to Boost Nickel

21 April, 2012 | Source: Jakarta Globe

Indonesia’s planned ban on exports of unprocessed metal ores may push nickel prices higher and revive production at idled mines, according to Norilsk Nickel.

Several mines across the world are idled because their output is unprofitable at current prices, said Anton Berlin, head of marketing at the company, the world’s largest producer of nickel and palladium. If Indonesia’s proposed ban pushes prices above $20,000 a metric ton, those mines may resume ore extraction, he said.

“If this ban is executed in full and is applied perfectly, a significant volume of ores will be under-supplied to China,” Berlin said on Wednesday in Moscow. The global reserve of production capacity can compensate for that under-supply, he added.

Indonesia, the largest nickel-ore and bauxite supplier to China, announced the prohibition in February, two years ahead of schedule, to increase the value of commodity shipments. Refined nickel for three-month delivery on the London Metal Exchange has fallen 20 percent since this year’s high on Feb. 8 as production surged. Indonesia plans to ban exports of unprocessed ores from May, with an exemption for producers that intend to treat output locally. The Energy and Mineral Resources Ministry has received proposals from 17 companies to build processing plants.

 

President Joko Widodo (Jokowi) has invited business persons from the United States to capitalize on opportunities in Southeast Asian nations, especially Indonesia.
The President of Indonesia Joko Widodo has been named as the Straits Times Asian of the Year 2019, the Singapore-based newspaper announced in a written statement received here on Thursday.
The Ministry of Trade through the Directorate General of National Export Development (PEN) will hold the 4th Good Design Indonesia, an award for best design product, in 2020. The competition becomes the real support of the Ministry of Trade in motivating and encouraging businesses to develop design-oriented Indonesian products in the global market.
President of Senegal, Macky Sall, commended Indonesia′s role in supporting infrastructure development in his country through the plans to build the multifunctional building, Tower of Goree (Tour de Goree), and the sale of CN-235 aircraft.
Coordinating Minister for Maritime and Investment Affairs Luhut Binsar Pandjaitan while visiting the headquarters of Volkswagen (VW) in Hannover, Germany, invited he automotive company to produce electric vehicles in Indonesia.
Communication and Informatics Minister Johnny G. Plate affirmed that digital infrastructure development in Indonesia aims to support national interests, including during an emergency scenario.
Address: 1068 Budapest, Városligeti fasor 26. | MAP |
Phone: (+36-1) 413 3800 Fax: (+36-1) 322 8669
E-mail: embassy@indonesianembassy.hu