Indonesia Challenges LME in Bid to Set Global Tin Benchmark
This article is for subscribers only.
Indonesia, the world’s largest tin exporter, wants to displace the London Metal Exchange as the venue for setting the global benchmark by requiring that the metal be traded on a local exchange before export. Prices rose.
“The purpose of trading physical tin through the bourse for export is to make Indonesia the place for international tin-price discovery, not to refer to the LME anymore,” Sutriono Edi, head of the Commodity Futures Trading Regulatory Agency, said by e-mail in response to Bloomberg questions. The government was studying other commodities to which the local-trade policy may be applied, he said, listing coffee, cocoa, rubber and coal.