Bisnis.com, NUSADUA - As the global economy slows down tend to be sluggish, Indonesia's tin price in the derivative futures exchange has jumped by 40%.
Megain Widjaja, Chief Executive Officer of Indonesian Commodity and Derivatives Exchange (ICDX), said the country's tin industry shows a positive trend amid the global economic slowdown.
"Armed with all the information and in-depth data submitted during the ITCE 2016 event, we are confident the future of Indonesia's tin industry will be stronger and emerge as the leader of the world tin industry," he said on the sidelines of Indonesia Tin Conference & Exhibition (ITCE) in Nusa Dua, Bali, Tuesday (20/09/2016).
He said the price of tin at ICDX was able to break the US $ 19,000 per ton level in August 2016. The price jumped 40% since the beginning of this year.
According to him, the process of tin price formation is strongly influenced by the stability of the world economy. Many economists predict that commodity prices, including lead, will be affected, following the stability of the world's poor finances.
Faisal Basri, an economic observer at ITCE 2016, said the International Monetary Fund (IMF) signaled a decline in world financial markets. For more than six months, the risk of global financial stability has increased.
"Due to the rising economic risks and the uncertainty of the world economy, the fall in commodity prices and the influence of China's economy," he said.
The weakness of the global economy, he added, is strongly influenced by the performance of the economies of developed countries experiencing economic and financial instability. Among them are America, Europe and Japan.
Countries with emerging economies, he said, also have a major impact on the world economy. Including China, India, and Asean-5, including Indonesia.
According to him, the increase of tin price of Indonesia becomes a fresh breeze for industry players. It is a positive sign that Indonesia's tin industry has a strong resistance to the world economic turmoil that has not yet improved.
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