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Indonesia's law banning exports of unprocessed minerals takes effect

An Indonesian law banning the export of unprocessed minerals has taken effect

Coordinating Economic Minister Hatta Rajasa said the ban which began Sunday is intended to add value to mineral exports by having them processed in Indonesia and create more jobs.

The announcement that the law would take effect came late Saturday following days of intense negotiations involving government officials, entrepreneurs and experts to explore ways to minimize the impact of the ban.

Rajasa did not mention any exemptions but says the decision reflected concerns about preventing mass layoffs, promoting regional economic development and enabling local mining companies to continue working.

The ban is mandated by a Mining Law passed by Parliament in 2009 which included a provision that mineral ores must be processed at smelters in Indonesia starting on Jan. 12, 2014.