Reuters reported that Indonesia expects production of tin to rise by 47% in 2009 to 105,000 tonnes despite a plan by authorities to cap output below 100,000 tonnes.

In January 2009, a mining and energy ministry official said that the government aimed to cut the target cap on tin output in 2009 due to slowing global demand that has triggered falling prices.

Mr Bambang Gatot Ariyono director of mineral and coal enterprises at the energy ministry said that "These are production proposals from tin producing regions. But we will see the progress. If production falls, we will review the target after the first quarter."

Indonesia produced 71,610 tonnes of refined tin in 2008. The price of tin has fallen around 58% from an all time high of USD 25,500 per tonne in May 2008 as global economic crisis bites.

Mr Ariyono said that "Many miners failed to meet their production target last year. They are working according to their production capacity this year." He added that planned production cuts by a number of miners including by state miner PT Aneka Tambang Tbk and PT International Nickel Indonesia Tbk were not likely to have a significant on production.

(Sourced from www.reuters.com)