Indonesia, the world’s top tin exporter, still plans to limit production this year to support prices and reduce environmental damage, the director of mineral and coal production at the energy and mines ministry told Reuters. Bambang Gatot Ariyono said rules on tin production quotas would be discussed with parliament and he expected the move would be implemented this year. Earlier another top ministry official had said that production quotas may not be needed as the global economic downturn had weakened demand.
Ministry spokesmen have been advancing the idea of a quota system since March 2007, with the backing of the Bangka Belitung regional government, but the concept has not found favour with the trade ministry, which already regulates exports through a licencing system.
Current ideas on the possible national cap on output range up to 105,000 tonnes. The volume of tin checked for export by trade ministry surveyors in the twelve months to April 2009 was 86,393 tonnes.
