Less Onerous Export Requirements

29 April 2016

INTRODUCTION

Indonesia has moved to relax the export requirements for some minerals but not for coal.

Metal minerals, non-metal minerals and rocks, that have met the minimum requirements for processing and refining or that may be temporarily exported in concentrate form until January 2017, may now be exported without the need for the exporter to become a Registered Exporter.

More importantly, in the case of metal mineral producers temporarily exporting in concentrate form, the requirement to achieve a specified level of progress in domestic refining facility construction, as a pre-condition to renewing their Export Approvals, has been significantly modified. Concentrate exporters are also being allowed to more easily amend their Construction Plans and recover their refinery construction guarantee deposits.

The remaining metal mineral concentrate export requirements, however, continue to be onerous.

In this article, the writer will review the newly relaxed export requirements for metal minerals, non-metal minerals and rocks before considering whether or not the recent relaxation of these export requirements may be the beginning of bigger changes to come in this area, especially with regard to a more general relation of the existing export ban on unprocessed metal minerals.

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