Starting in 2014, Indonesia will begin banning unprocessed metals exports. The Indonesian Energy Ministry threatens license revocation for firms that violate the ban, which covers unprocessed minerals. Silver, gold, copper, zinc, nickel, tin and bauxite are all targets of the ban. Indonesian coal has its own regulatory structure.
The goal of the ban is to bolster government revenues, while improving domestic production and increasing availability of domestic refined products. Indonesia comprises the largest raw materials production capacity in the southeastern Asian region.
The Indonesian Mining Association is not completely sold on the idea, but feels that mining interests will not need to make many changes to accomodate the new regulations. Bob Kamandanu, treasurer of the association notes that many of the recently regulated minerals already require processing before export.
Holders of pre-ban Indonesian mining licenses will be required to meet minimum requirements for processing when the new laws take effect. The 2014 ban allowed five years for compliance, after the regulations passed in 2009.
