The governor of Indonesia’s Bangka Belitung province has issued a decree imposing sales quotas that could decrease tin exports, according to a document shown to Reuters and other reporters on Friday.
The decree, which came into effect on September 3, states that each tin smelter on the islands must obtain a sales quota from the local governor based on the smelter’s production capacity.
A trade ministry official showed reporters a document which stated that “The governor will decide sales quota of tin for one year for smelters after verifying production”.
The trade ministry has licenced 14 smelters in the province to export tin, under new regulations that came into force in February this year, although only six companies have actually shipped tin since then. The proposed quota scheme was referred to at a presentation to investors by Indonesia’s state-controlled producer PT Timah at the end of August, but it is not clear when it might come into force.
