President Joko Widodo announced that he will ban the export of bauxite ore in June 2023. The government will also encourage its downstream. “Starting June 2023, the government will impose a ban on bauxite ore exports and encourage the domestic bauxite processing and refining industry,” Jokowi said in a video on the Presidential Secretariat’s YouTube, Wednesday (21/12/2022).
Jokowi continued, downstream bauxite is expected to boost state revenue to IDR 62 trillion. The government will also continue to carry out domestic downstreaming for the welfare of the people. “We estimate the industrialization of bauxite in the country will increase state revenue from IDR 21 trillion to around IDR 62 trillion. The government will continue to consistently carry out domestic downstreaming so that added value is enjoyed domestically for the progress and welfare of the people,” said Jokowi.
At this press conference, Jokowi was accompanied by the Coordinating Minister for the Economy Airlangga Hartarto and the Minister of Energy and Mineral Resources (ESDM) Arifin Tasrif.
No Wonder Jokowi Stopped Exports, Indonesia’s 6th Largest Bauxite in the World!
Indonesia’s President Joko Widodo officially banned export activities of Indonesia’s ‘treasures’ which are among the six largest in the world. The treasure is bauxite, which is prohibited from being exported starting June 2023. The cessation of exports of bauxite ore ‘treasures’ abroad has actually been implemented in Law Number 3 of 2020 concerning Mineral and Coal Mining (Minerba).
In the Decree of the Minister of Energy and Mineral Resources (Kepmen ESDM) Number 301.K/MB.01/MEM.B/2022 concerning the National Mineral and Coal Management Plan for 2022 – 2027 it states: That the bauxite commodity is ranked 6th in the world or equivalent to 4% of world reserves. It is recorded that total bauxite resources reach 6.6 billion tons of ore and 1.1 billion tons of metal, with reserves of 3.2 billion tons of ore and 520 million tons of metal.
In fact, this bauxite ‘treasure’ also has areas that have not been explored or greenfields. As for the power of the Minerba storefront, including the bauxite greenfield area in the Riau Islands Province and West Kalimantan (West Kalimantan).
December 21, 2022, detikFinance
(https://finance.detik.com/energi/d-6473118/jokowi-setop-ekspor-bauksit-juni-2023)
December 23, 2022, CNBC Indonesia
(https://www.cnbcindonesia.com/news/20221223142214-4-399612/pantas-ekspornya-disetop-jokowi-bauskit-ri-terbesar-6-dunia)