Bisnis.com, JAKARTA - Commodity Futures Trading Supervisory Agency (Bappebti) projected that if tin production is continued to 130,000 tons per year, then in the next 5-7 years, Indonesia will run out of tin.

To overcome this, the Indonesia Commodity Derivative Exchange (ICDX) builds a bonded logistic center (PLB).

"Now many countries hold tin, while Indonesia continues to export tin ore, but now it can not export raw goods," he said, Thursday (18/08/2016).

Head of Commodity Futures Trading Supervisory Agency (Bappebti) Bachrul Chairi said the tin export destination market is sent to Singapore, the Netherlands, Japan, Korea, Spain, Arabia and the UK. However, many countries hold tin from Indonesia to Singapore.

ICDX CEO Megain Widjaja said to improve the competitiveness of Indonesia's tin industry, it can be strengthened if Indonesia has a bonded logistics center. According to him, the ownership of bonded logistics will make Indonesia more competitive and can be one of the right strategy to make world market players transact tin in Indonesian stock exchange.

"ICDX Logistics Bonded (ILB) will be built with the best facilities as in Singapore to store tin and equipped with CCTV," said Megain.

ILB is built on 15,141 square meters of land with a warehouse area of ​​1,200 m2. Megain promised that ILB would provide a sense of security and protection, as ILB would become an international region, thus immune to changes in Indonesian government regulations.

ICDX has five types of tin contracts traded namely TINPB300 which means the maximum limit of trafficking impurities trafficked 300 parts per million, TINPB200, TINPB100, TINPB50, and TIN4NINE which is a premium product with 99.9% tin content.

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