Indonesia plans to start trading at its new commodity exchange on January 4, 2027, with tin and ferronickel to be included in the opening transactions, the chief supervisor of the commodity exchange said on Tuesday.
State miners are expected to be among the first participants in the exchange, according to a slide presented at a parliamentary hearing by chief supervisor Sarjito, who goes by a single name.
The commodity exchange, to be known as ICOMEX, is part of President Subianto’s push to expand state control over the country’s vast natural resources and their proceeds.
In a fiery speech last month, Prabowo said Indonesia would rather keep its resources than sell them too cheaply.
After his inauguration last week, Sarjito said in the early stages of the exchange, he expected Indonesia to become a price influencer before gradually becoming a price maker.
Friderica Widyasari Dewi, chairperson of the Financial Services Authority (OJK), said at the same hearing that the exchange would help combat under-invoicing and end transfer-pricing practices for commodity exports.
The OJK expects to issue regulations for the implementation of the exchange on September 17 and the bourse will be created on the same day. More detailed regulations will be drawn up over the remainder of the year before the bourse’s trading licence is issued on January 1.
“Trading on the mineral and strategic commodity exchange is expected to launch in early January, January 4, 2027, through the ICOMEX entity,” Sarjito said.
He told reporters the trading through the exchange would become mandatory for both exports and domestic sales.
List of commodities
Indonesia is a top exporter of palm oil, thermal coal, and nickel products. It also has significant reserves of copper, bauxite and tin.
Tin and ferronickel products are expected to be among the first to be traded on the exchange, Sarjito’s presentation slide showed, with trading obligations to be implemented in stages and adjusted based on the readiness of the ecosystem.
Asked by lawmakers why tin was among the first commodities to be traded, Sarjito said refined tin products are already sold on existing domestic exchanges and authorities were aiming to drive up liquidity in the initial stages of implementation.
The participation of state miners under the holding firm MIND ID is also expected to help boost liquidity, he added.
The full list of commodities that are expected to be traded on the new bourse will be determined by a separate presidential decree, and may include futures contracts, Sarjito said.
“The hope is for our bourse to not only deal with spot transactions, which are conservative … but of course it will be gradual and will require time,” he said.
(Reporting by Bernadette Christina Munthe, Fransiska Nangoy; Editing by David Stanway and John Mair)
