Industry leaders to govt: Export ban on nickel ore untimely
The Philippine Nickel Industry Association (PNIA) opposes the proposed nickel ore export ban, arguing that it is not the right time for such a policy.
“We support the aspirations of the government for a more developed nickel industry; however, an export ban is not a timely policy at the moment,” said PNIA President Atty. Dante R. Bravo.
He said government needs to first create a business-friendly environment to attract investments and enable value-added processing.
“A proposal like the ore export ban is appealing, but if implemented now, it overlooks regulatory and business challenges that make value-added processing difficult in the Philippines,” Bravo said.
Bravo pointed to Indonesia’s successful ore ban, which significantly increased its export value of nickel products. However, he stressed that Indonesia implemented the policy only after securing investors, infrastructure, and strong government support.
“It takes over ten years to approve mining permits in the Philippines, forcing investors to look elsewhere,” Bravo said. “If we want to replicate Indonesia’s success, we need to address these fundamental issues first.”
PNIA warned that forcing value-added processing without addressing regulatory burdens and infrastructure gaps could lead to mine closures, job losses, and reduced government revenues.
Industry leaders argue that the five-year transition period under Senate Bill No. 2826 may not be enough to develop the necessary processing infrastructure.
“Without holistic government support, an export ban at this time would slow progress and risk industry failure,” Bravo said.
He also highlighted geopolitical and market factors, including rising competition from other nickel-producing countries and shifts in global demand.
China, the primary buyer of Philippine nickel ore, could turn to alternative suppliers if the ban proceeds.
PNIA reiterated its support for strengthening the mining sector but urged the government to focus on improving the investment climate first.
“Instead of imposing restrictions prematurely, the focus should be on creating a competitive business environment to ensure long-term industry sustainability,” Bravo said.
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