JAKARTA, KOMPAS.com - Indonesia already has Indonesia Tin Exchange, which allows the price of the commodity is determined by the domestic market players themselves.

Trade Minister Gita Wirjawan explained, with the presence of tin exchanges it is expected that Indonesia as the world's second largest tin producer and the first largest tin exporter, can set its own tin selling price.

"It would be nice if we can determine the price of products that come out of Indonesia itself," said Gita in his speech on Friday (8/30/2013).

Gita said, Indonesia meets 26 percent of the world's tin needs. But unfortunately, so far the reference price used actually refers to the mechanism of the world market. "So far we have taken hold of the exchanges outside," Gita continued.

There are at least 12 players, who have been recorded in the Indonesian tin market launch. These are the ones that meet high quality and standard specifications with stannum (Sn) content of 99.9 percent. The tin market players include PT Timah Tbk, PT Tambang Timah, PT Refined Bangka Tin, PT Mitra Stania Prima, PT Inti Stania Prima, H CO., LTD. (Korea), Daewoo International Corp. (Korea), Gold Matrix Resources (Singapore), Great Force Trading (Hong Kong), Noble Resources International Pte Ltd. (Singapore), Purple Products Pvt. Ltd. (India), and Toyota Tsushu Corp. (Japan).

Gita said, if the player can not meet the standard of 99.9 percent sn, practically he did not qualify in the stock. As information on tin transactions through this exchange is based on Permendag No. 32 / M-MDAG / PER / 6/2013 on the provisions of tin exports.

When launched by Gita, the offer is at 22,500 US dollars per ton for the PB 300 lead. The next seven minutes there has been a purchase of 5 tin lots of PB 300 or equivalent to 25 tons, at a price of 21,510 US dollars per ton.

"Hopefully with the occurrence of transactions of more than 500 thousand US dollars in the first seven minutes, could reflect the crystallization of tin prices forward," said Gita.

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