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Friday, 08 October 10
INVESTORS STILL RELUCTANT TO ENTER DOWNSTREAM INDUSTRIES - THE JAKARTA POST
 The Jakarta Post reported that, mining companies are showing a low level of enthusiasm to enter the downstream industries, as required by the 2009 Minerals and Coal Law, due to lack of incentive and unclear government policies, the Association of Indonesian Mining Professionals says.
The law stipulates that all mining companies are obliged to process their mining products in the country by no later than 2014. The law aims to promote the added value of the mining operations to the country’s economy.
Mining association chairman Irwandy Arif told The Jakarta Post that without attractive incentives, he was pessimistic that the companies would seriously comply with the law, moreover, the punishment for infringement was only administrative.
“Currently, only a company or two have seriously prepared to enter the downstream industries,” he said on the sidelines of the 4th Added Value Mining Indonesia Conference, Workshop and Exhibition at Ritz-Carlton Hotel in Jakarta on Thursday. He added that several companies had developed research or pilot projects to produce derivative products of their commodities, but claimed that none were ready to develop the products on an industrial scale.
Irwandy urged the government to create clearer guidelines and policies for companies to develop the downstream industries.
He said that a working group from his association was currently assisting the Energy and Mineral Resources Ministry in deliberating a new ministerial decree on detail rules and strategies to develop mining downstream industries.
“The draft will contain explanations on mechanisms on how mining companies should process their products,” he said. He took the example of the nickel commodity that he proposed had to be processed minimally into ferro or matte nickel.
Director General of Manufacturing Industry Base (BIM) for the Industry Ministry Panggah Susanto said that another factor hindering the development of the mining downstream industries was the uncertain supply of raw materials due to the country’s upstream industries low capacity as many mining companies exported their mineral production.
“Our industries [including mining] depend heavily on imported raw materials,” he said. He added that the government was seeking the best way to develop the capacity of upstream industries in supplying raw materials for downstream ones.
Beside the raw materials, energy supply, particularly electricity and gas, also became one decisive factor as to why investors and companies were reluctant to engage in mining downstream industries.
To tackle this problem, the government is now promoting the public-private partnership scheme to accelerate the development of infrastructure by focusing on energy and transportation sectors.
Panggah said the development of the mining downstream industries was vital to increase the country’s product competitiveness. He emphasized that in the current free-trade era, the country had to consistently improve the value and quality of its products to compete with more advance industrialized countries.
“We’re committed to supporting the development of the downstream industries by facilitating all proposal of incentives, developing human resource quality and promoting investments,” he emphasized. (rdf)
Source : The Jakarta Post
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Monday, 13 September 10
FREIGHT MARKETS MAY BE A BIT SOFT THIS WEEK - VISTAAR SINGAPORE
COALspot.com: The freight market continued its upward trend with the BDI almost touching 3000 points. However the uncertainty seems to continue with ...
Friday, 10 September 10
INDONESIAN RAILWAY CONTRACT STILL UP FOR BIDDING - LOGISTICS WEEK
The tender process for a $2.2bn project to build a coal-transporting railway line in Central Kalimantan province, Indonesia, is still underway and n ...
Friday, 10 September 10
WCI INTO CHINA WITH IRON ORE ARE AIMING AROUND $ 20K - FEARNBULK
Handy
The rates are firm in every corner of the world. However it still looks Atlantic/Baltic/Black Sea offer better employment opportunities for ...
Thursday, 09 September 10
INDIANS BALCO TO BUY 50 K OF 3,000 TO 4,500 GAR CALORIFIC VALUE COAL
COALspot.com: Bharat Aluminium Company Limited (BALCO) is a subsidiary of Sterlite Industries (India) Limited and part of Vedanta Resources PLC, a L ...
Thursday, 09 September 10
INDONESIA SWAPS COAL FOR INFRASTRUCTURE - FT
As Asia’s major economies bound forward and their hunger for energy surges over the next decade, Indonesia is strategically positioned to take ...
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- Aditya Birla Group - India
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- Gujarat Electricity Regulatory Commission - India
- Global Coal Blending Company Limited - Australia
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- Ministry of Finance - Indonesia
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- Manunggal Multi Energi - Indonesia
- Leighton Contractors Pty Ltd - Australia
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- Bank of Tokyo Mitsubishi UFJ Ltd
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- Formosa Plastics Group - Taiwan
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- New Zealand Coal & Carbon
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- Uttam Galva Steels Limited - India
- Miang Besar Coal Terminal - Indonesia
- Directorate Of Revenue Intelligence - India
- Indika Energy - Indonesia
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- Essar Steel Hazira Ltd - India
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- Global Green Power PLC Corporation, Philippines
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- Bahari Cakrawala Sebuku - Indonesia
- Eastern Energy - Thailand
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- Indogreen Group - Indonesia
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- Central Electricity Authority - India
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- Baramulti Group, Indonesia
- Billiton Holdings Pty Ltd - Australia
- Latin American Coal - Colombia
- European Bulk Services B.V. - Netherlands
- Mintek Dendrill Indonesia
- MS Steel International - UAE
- Lanco Infratech Ltd - India
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- Larsen & Toubro Limited - India
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- Chamber of Mines of South Africa
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- Coal and Oil Company - UAE
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- Vedanta Resources Plc - India
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- Coalindo Energy - Indonesia
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- Planning Commission, India
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- Therma Luzon, Inc, Philippines
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- Pipit Mutiara Jaya. PT, Indonesia
- Sakthi Sugars Limited - India
- Anglo American - United Kingdom
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- Bulk Trading Sa - Switzerland
- Simpson Spence & Young - Indonesia
- IHS Mccloskey Coal Group - USA
- Meralco Power Generation, Philippines
- Orica Australia Pty. Ltd.
- Ministry of Transport, Egypt
- Toyota Tsusho Corporation, Japan
- GVK Power & Infra Limited - India
- Kobexindo Tractors - Indoneisa
- Ceylon Electricity Board - Sri Lanka
- Maheswari Brothers Coal Limited - India
- SN Aboitiz Power Inc, Philippines
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