The Ministry of Land and Resources rectifies the export of seven major minerals or shrinks the price

After a long period of brewing, on May 20, the Ministry of Land and Resources officially issued a notice to carry out special rectification of the development order of the seven dominant minerals.

The seven minerals are rare earth, tungsten, tin, antimony, molybdenum, high alumina clay and fluorite. The reserves and output of most minerals rank first in the world. Previously, the Ministry of Land and Resources had repeatedly requested that the total amount of mining of these minerals be controlled.

The "Notice on Launching a Special Remediation Action for the National Minerals Development Order of Rare Earths" (hereinafter referred to as the "Notice") requires that the Ministry of Land and Resources will carry out this action from June to November.

Establish a long-term mechanism "coordinator" debut
The reporter of "Daily Economic News" was informed of this news at the video conference on the special rectification action of the national rare earth mineral development order held yesterday afternoon.

The "Notice" requires that for violations of laws and regulations on unlicensed exploration and mining of rare earth minerals, it will be resolutely banned, and the ground facilities of illegal projects will be dismantled in time, and mineral products and illegal gains will be confiscated.

Excessive mining, cross-harvest mining, mining and minerals that do not conform to the permit, and the destruction of mineral resources are also among the strikes. If the illegal transfer of exploration rights and mining rights is serious, the exploration license and mining license will be revoked, and the transferee will also be punished according to unlicensed exploration and exploitation.

Since 1995, the State Council has deployed three special rectification actions including minerals such as rare earth and tungsten, but they have not achieved long-term rectification. To this end, the Ministry of Land and Resources has emphasized the establishment of a long-term mechanism - the "coordinator" system. All mines have coordinators who are responsible for maintaining the mining order in the mining area. "This method is relatively simple, similar to the forester, we will pay close attention to the actual results." The relevant person in charge of the Ministry of Land and Resources said.

Exports will get controlled prices or upgrades
The seven kinds of minerals listed in this cleanup and rectification are all the dominant minerals in China, and the reserves and output are among the highest in the world. Among them, the rare earth resources known as "industrial MSG", China has more than half of the world's reserves, and accounted for 90% of the global market share.

However, in the international market, China has gradually lost its trading pricing power. Data show that from 1990 to 2005, China's rare earth exports increased by nearly 10 times, and the average price fell to half of 1990. In recent years, a large number of low-cost countries in the United States, Japan and other countries imported rare earth from China for resource strategic reserves.

Wang Min said that most of China's mines are extensively operated, and the scale of enterprises is small, the main body is too large, the mining and selection technology is backward, and the phenomenon of mining resources and abandoning poverty and other serious damage to resources and the environment is abundant.

The "Notice" requires that the Ministry of Land and Resources will focus on the treatment of rare earth clusters in Guangdong and other provinces, as well as rare earth minerals such as Inner Mongolia and Jilin.

Prior to this, the Ministry of Industry and Information Technology issued the "Notice on Publicly Soliciting Opinions on the Access Conditions for the Rare Earth Industry." The drafts of "Rare Earth Industry Access Conditions", "Rare Earth Industry Development Special Plan" and "Rare Earth Industry Industry Development Policy" are also being drafted, all of which emphasize the improvement of entry barriers and industry concentration, and reorganize nearly 100 rare earth separation enterprises to 20 .

Zheng Dong, chief analyst of Guoxin Securities' steel and non-ferrous metals industry, told the reporter of "Daily Economic News" that the high-level officials attach great importance to this rectification. It is expected that the export volume of the above-mentioned key minerals will be controlled and the price will be improved.

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