Government to Issue Regulation on Mineral Export Duty

Jakarta, InfoPublik - Indonesia Finance Ministry is set to issue a new regulation on concentrate export duty based on physical progress of the development of processing and refinery plant or smelter this week.

"The export rates will be set soon, maybe this week. It is for mining companies that conduct export. We'll see," said Finance Ministry’s Fiscal Policy Office head Suahasil Nazara in Jakarta, Monday (23/1).

He added that the export rate of 10 percent is set for raw minerals. While for the processed materials, the rate will be based on the progress of smelter development, with tariff divided into several layers.

Suahasil continued that, the decision will be stipulated in Finance Minister Regulation (PMK) as a regulation on export duty.

"Based on the regulation, the more advanced the progress, the lower the export rate," he said.

Under the regulation which is set to be issued, if the smelter progress from 0 to 7.5 percent, the export tariff will be 7.5 percent. While if the progress is between 7.5 percent to 30, the tariff will be 5 percent, for progress more than 30 percent, the tariff will be 0. (Translator: Sugiarti)