Bear Market Results In Shutting 70% Of Tin-Smelting Capacity
News: Indonesia has shut down nearly 70% of its tin-smelting capacity amid bearish market over the last three months. This would result in restraining the world's biggest exports that would lead to a global shortage. Approximately 24 out of 28 smelters have been shut down by producers in Bangka-Belitung province, according to estimates by the Indonesian Tin Mining Association. Demand is expected to surpass supply by 7,000 metric tons in 2013, equivalent to nearly 60% of global stockpiles tracked by the London Metal Exchange, according to estimates by Barclays Plc. Tin registered a decline of as much as 32% so far in 2012 on concerns that the global slowdown would result in reducing demand for the metal. The Indonesian smelters account for almost 40% of global exports and they started closing down their operations in August. This is expected to result in lowering the country's output by as much as 14% in 2012, according to UK-based research group ITRI.