Prospect Mining Industry and Market of Coal in Indonesia, The development of the coal mining industry in Indonesia in recent years has grown very rapidly. All types of companies; both large and medium enterprises are able to survive and thrive in production and sales capabilities.
This success makes Indonesia highly regarded by the world’s coal producers such as Australia, Russia, South Africa, and China. Even now many buyers from abroad have established cooperation contracts to purchase with domestic coal companies, moreover the price of coal has declined.
The positive impact is that Indonesia is now included as one of the players in the world. But there is a negative side, coal prices go down because of abundant coal production or oversuplay.
This problem eventually became homework for the government and entrepreneurs. The government even has to revise production by reducing coal production in 2019 to 489,13 million tons. Even though in 2018 production increased quite sharply by 548,58 million tons. The government also implemented the Fulfillment of Domestic Needs or known as Domestic Market Obligation (DMO) of 25% or the same as last year. If not fulfilled, the entrepreneurs will be subject to sanctions.
Indonesia is ranked 9th with around 2.2 percent of the world’s total coal reserves. This is what drives BIZTEKA to further discuss the PROSPECT OF INDUSTRIAL MINING AND COAL MARKETING IN INDONESIA. This report also discusses the development of coal supply and demand in the local market, prices, projected consumption and export opportunities in the future.