As the old adage goes, “The only cure for high prices, is high prices.” The fundamentals of the tin market are showing this statement to be true. The high price in April prompted a sell-off of stocks in China. Now that the price is depressed Indonesia has ban exports hoping for a higher price.
Reuters reported Indonesia will ban the export of tin for one month in an effort to raise prices.
SMH reported the Indonesian government is supporting a ban on tin exports aimed at reviving slumping prices.
Bloomberg reported Indonesia will halt overseas shipments from Oct. 1 to support prices after a slump.
Reuters reported smelters in Indonesia have halted all tin ingot exports and will meet this evening to decide the length of the ban.
Reuters reported tin shipments from Indonesia may fall by over 50 percent to 40,000 tonnes per year.
Bloomberg reported the Jakarta Composite index (JCI) slid 73.55 points, or 1.8 percent, to 3,924.95.
Reuters Africa reported Indonesia's refined tin exports in August are estimated to rise 7.3 percent to 8,559.61 tonnes.
Reuters reports Indonesia may impose a tax or quota on mineral ore exports.
Reuters Africa reports that Timah (JAK:TINS) expects a slight decline in sales this year, but revenue could rise on higher tin prices.
Wednesday, October 12, 2011