The Ministry Of Trade Calls Mining Commodity Price Trends Down

Acting (Plt) Director General of Foreign Trade Didi Sumedi. (Photo: Doc. Antara)

JAKARTA - Several mining product commodities imposed by export duties (BK) for the period December 2022 are starting to show an increase in prices when compared to the previous period.

The prices of most other commodities are still decreasing. But globally, the trend in mining commodity prices this quarter tends to fall.

Acting (Plt) Director General of Foreign Trade Didi Sumedi said the price increase in several commodities was due to the increasing demand for these commodities in the world market.

Especially in the midst of global demand for mining products whose trends continued to decline in the last quarter of this year.

This development affects the analysis of the determination of the Export Patokan Price (HPE) for mining products imposed by Exit Customs for the period December 2022.

The HPE provisions for the December 2022 period are stipulated in the Decree of the Minister of Trade Number 1529 of 2022 concerning Determination of Export Patokan Prices for Mining Products offset by Exit Customs, dated November 28, 2022.

"Several mining product commodities imposed by export duties have begun to show price increases, while most other products are still experiencing price declines. Trends in the development of global mining commodity prices tend to decline this quarter due to world demand which is not as big as the initial quarter-quarters," said Didi, in an official statement, Wednesday, November 30.

Didi said that several commodities that began to experience price increases were copper concentrate, manganese concentrate, lead concentrate, and bauxite that had been carried out by washing.

Meanwhile, commodities that are still experiencing price reduction include iron concentrate, laterite iron concentrate, zinc concentrate, iron sand concentrate, Ilmin concentrate, and routine concentrate.

"Meanwhile, iron sand concentrate pellets still do not change as usual," said Didi.

Didi also detailed that mining products that experienced an increase in average price in the December 2022 period were copper concentrate (Cu? 15 percent) with an average price of 2,953.66 US dollars per WE, an increase of 2.87 percent; manganese concentrate (Mn? 49 percent) with an average price of 218.51 US dollars per WE, an increase of 1.02 percent.

Then, the lead concentrate (Pb? 56 percent) with an average price of 835.64 US dollars per WE or an increase of 4.52 percent; and the bauxite that has been washed bauxite (Al2O3) 42 percent) with an average price of 30.82 US dollars per WE or an increase of 2.63 percent.

Mining Products that Naturalize Price Reduction

Meanwhile, said Didi, mining products that are still experiencing price declines as in the previous period, namely iron concentrate (hematite, magnetite) (Fe 62 percent and 1 percent TiO2) with an average price of US$74.40 per WE or a decrease of 8.63 percent; iron concentrate laterite (gulit, hematite, magnetite) with a level (Fe 50 percent and (Al2O3 + SiO2) 10 percent) with an average price of 38.02 US dollars per WE or a decrease of 8.63 percent.

Then, the zinc concentrate (Zn▁Belanda 51 percent) with an average price of 820.50 US dollars per WE or decreased by 5.98 percent; the iron sand concentrate (magnetite-terminal length) (Femen) at an average price of 44.43 US dollars per WE or decreased by 8.63 percent; the Ilmint concentrate (TiO2ment 45 percent) with an average price of 440.00 US dollars per WE or decreased by 1.93 percent; and the current concentrate (TiO2 90 percent) with an average price of 1,331.85 US dollars per WE or decreased by 1.61 percent.

Meanwhile, the mining product commodity of iron sand concentrate pellets (lamela magnetite-ilmite) (Femen) is 54 percent) at an average price of 117.98 US dollars per WE still does not change.

Didi said that the determination of HPE mining products for the period of December 2022 was carried out as a mechanism in the previous period, namely by first asking for input or written proposals from the Ministry of Energy and Mineral Resources (ESDM) as the relevant technical agency.

"The calculation is carried out based on data on price developments obtained from several sources, namely Asian Metal, Iron Ore Fine Australian, and London Metal Exchange (LME)," he said.

Didi explained that HPE was then determined after a coordination meeting was held with various relevant agencies, namely the Ministry of Trade, the Ministry of Energy and Mineral Resources, the Ministry of Finance, the Ministry of Industry, and the Coordinating Ministry for Economic Affairs.