Charcoal Exporters In Indonesia At 2019

Charcoal Exporters In Indonesia At 2019

The Condiction Of Charcoal Exporters In Indonesia At 2019

Charcoal Exporters In Indonesia – In the midst of uncertain foreign market conditions and making coal prices down by as much as 20%. Since the beginning of 2019, this commodity is still a mainstay in the country.

Based on the National Energy General Plan, coal is not only a source of national income. But development capital to meet domestic needs. The use of coal for domestic needs continues to be increased in this portion. Domestic allocation is prioritized to power domestic power plants.

So, Indonesian charcoal exporters don’t need to worry about the decline in export demand. Because by 2025, domestic coal demand is estimated to increase 30% of Indonesia’s total energy needs.

Indonesian Charcoal Exporters

The use of coal for electricity can drive GDP. The data is that every 1 Kwb of electricity consumption can contribute to GDP of US $4 to US $5.

5 years ago, coal was a mainstay of exports, but from 2011 to 2017 slowly took precedence for domestic markets. Where the 2019 target would reach 60% of the market. The DMO indirectly boosts the domestic market. Which can be seen from the amount of Indonesia’s coal exports which has dropped to 14% per year.

In fact, the government plans to control production from 2015 to 2019. With a target of using only 400 million tons in 2019. However, production is precisely 528 million tons last year. This huge consumption if it were not for the country would be useless. For that since the beginning of the year the government emphasized the DMO scheme. So that coal sales would be focused domestically.

Reference Coal Prices Drop

Even so the reduced export market demand for coal supply has an impact on coal price movements this month. Noted, the current price of coal has dropped to US $ 81.86 per ton. Or decreased by US $ 6.99 per ton compared to the previous price of US $ 88.85 per ton. This price continues the downward trend since the end of last year.

Responding to this, the Executive Director of the Indonesian Coal Mining Association Hendra Sinadia explained. The price decline that occurred in the last two months was basically triggered by the decline in global coal. Coal index due to the impact of the hampered Australian coal exports in China.

But for the price of medium and low calorie coal, since mid-February gradually strengthened. Because the majority of Indonesian coal is low-middle-calorie. The price tends to strengthen, so that entrepreneurs can still breathe a sigh of relief.

However, it does not mean that entrepreneurs will immediately calm down. Because in the future there will still be concerns that the price for two calories can be suppressed.

To deal with this, it needs efficiency. Moreover, it is likely that the government will loosen coal production. In addition, coal entrepreneurs felt the need for support from the government. In order to review the stipulation of special coal price capping for supply to the state electricity company.

Charcoal Is The Best Solution

However, charcoal is currently the best solution as a substitute for coal. Indonesia is one of the biggest exporters in the world. In addition, Indonesia is also able to export charcoal to many countries around the world.

That is a glimpse of information about the condition of charcoal exporters in Indonesia at 2019. Whatever the condition of exporting charcoal in Indonesia, Giri Mera is among the most stable exporters. One of the reasons is because we are located in Banjarmasin where many Halaban trees grow.

As we know Halaban is the best quality source of charcoal. Giri Mera will always prioritize quality the best charcoal provider in the Middle East countries. Also the domestic needs of our beloved country.

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