China will buy 200 million tons of Indonesian coal next year
JAKARTA - China has announced its commitment to purchase 200 million tonnes of coal from Indonesia next year.
This has been stated in the cooperation agreement between the Indonesian Coal Mining Association (APBI-ICMA) with China Coal Transportation and Distribution (CCTDA), which was recently signed.
Hendra Sinadia, Executive Director of APBI, explained that the value of the agreement was US $ 1.46 billion or equivalent to IDR 20.6 trillion. "This is a part of the agreement, which to increase cooperation between the two countries, in achieving a trade volume of 200 million tonnes by 2021," said Sinadia.
He also conveyed that the cooperation did not only agree on long-term export policies between Indonesia and China, but it would also facilitate coal producers from Indonesia with buyers from China.
For the record, Indonesia's total coal exports to China during January to September 2020 reached US$ 4.9 billion, included coal commodities with the code HS2702, HS2701, and HS2704. The export value in that period was 15.52% lower than the total export value in 2019. (KR/VA)