Indonesia plans to ban exports from precious metal recovery

Indonesia plans to ban exports of various raw materials, which includes several that are extracted as a result of precious metal recovery. The Asian nation announced on April 27 that the country will also place a tax on shipments of coal to buyers outside the country, according to Reuters.

Indonesia will move toward preventing domestic producers from shipping unprocessed metal ores outside the country starting in May, Bloomberg News reports. Certain firms will be allowed to export during the next few years, based around them fulfilling specific requirements.

"We will allow exports for some companies, but they will have to sign a letter of commitment that they will stop all shipments by 2014," Thamrin Sihite, director general of minerals and coal at the Energy and Mineral Resources Ministry, stated recently, the media outlet reports.

A total of 17 companies have submitted proposals for plant construction to the government agency, with Sihite saying that "if miners don’t have the business plan they will be prohibited from exporting ores," according to the news source.

The fact that these market participants have supplied the specific documents will allow them to continue making shipments of raw materials as long as they pay a new tax, the media outlet reports.