Indonesia's refined tin exports in August fell 5.6 percent from the same month a year ago as heavy rains hampered mining, continuing a trend of declining output this year from the world's top producer. The drop comes as the La Nina weather anomaly has prolonged the rainy season and as the Southeast Asian country's easily-mined onshore reserves are depleting, and is likely to bolster prices of a metal that has gained 36 percent this year.
Indonesia exported 7,974.05 tonnes of refined tin in August compared to 8,443.96 tonnes in the same month a year ago, trade ministry data showed on Wednesday. "The weather is still uncertain and it continues to hamper mining activity, especially in offshore mining," said Alberth Yusuf Tubogu, export director at the trade ministry.
About 76 percent of August's exports of tin, a metal used in food packaging and for soldering electronics, was shipped to Singapore, with the rest shipped to countries including Malaysia, Japan, Taiwan and the Netherlands. For January to August, Indonesia exported an estimated 60,107.03 tonnes of refined tin, a 11.3 percent fall from the same period a year ago.
Indonesia has said the rains could cut refined tin output by 20 percent this year to around 80-85,000 tonnes, in line with analyst forecasts. The supply constraints have combined with resurgent demand and falling stocks to keep tin prices strong.
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