ID :
28961
Fri, 11/07/2008 - 18:27
Auther :
Shortlink :
http://m.oananews.org//node/28961
The shortlink copeid
PT TIMAH LOWERS TIN OUTPUT TO MAINTAIN MARKET BALANCE
Pangkalpinang, Nov 6 (ANTARA)- State tin mining company PT Timah Tbk in Bangka Belitung (Babel) province this year cut back on its production with a view to maintaining a sound balance in the international market.
"In 2007 we produced 58,000 rons and this year 45,000 tons, a 20 percent cut," President Director of PT Timah Tbk Wahid Usman said in Pangkalpinang Thursday.
He said the decision to cut the tin production was part of a market strategy to raise the price of tin, which has sharply dropped due to the current global economic slump.
"Tin production is prioritized for customers already bound under a contract with PT Timah until the price of the commodity is back to normal," he said.
He also said that while demand dropped during an overproduction, will only caused the price the commodity to drop further. To correct the situation, he said, production needs to be lowered with a view to raising the price again.
In the meantime, he added, the decision of the Babel Governor Eko Maulana Ali to shut down private tin companies temporarily also affected the price of tin on the international market.
He also said the drop in the price of tin, and cutting production will also affect the operation of ships exploiting rin deposits. The operation of these vessels was also affected, but they continue operating.
"In 2007 we produced 58,000 rons and this year 45,000 tons, a 20 percent cut," President Director of PT Timah Tbk Wahid Usman said in Pangkalpinang Thursday.
He said the decision to cut the tin production was part of a market strategy to raise the price of tin, which has sharply dropped due to the current global economic slump.
"Tin production is prioritized for customers already bound under a contract with PT Timah until the price of the commodity is back to normal," he said.
He also said that while demand dropped during an overproduction, will only caused the price the commodity to drop further. To correct the situation, he said, production needs to be lowered with a view to raising the price again.
In the meantime, he added, the decision of the Babel Governor Eko Maulana Ali to shut down private tin companies temporarily also affected the price of tin on the international market.
He also said the drop in the price of tin, and cutting production will also affect the operation of ships exploiting rin deposits. The operation of these vessels was also affected, but they continue operating.
