Reuters reported that Indonesia nickel ore exports recovered in October, as biggest buyer China stocked up ahead of winter and more miners resumed production after meeting tough government rules that battered shipments this year from the world's top exporter of the metal.

Indonesia's exports of mineral ore surged ahead of a May rule that imposed curbs and a tax on exports, and then fell by mid-year. Miners will no longer be able to export unprocessed ore beyond a 2014 deadline.

The rules aim to push firms to develop processing facilities, and some have pledged to build smelters, but a series of court challenges has stirred up uncertainty.

Indonesia's nickel exports fell 80% in June and many smaller mines closed after the rule took effect. Bottlenecks in the issue of the permits slowed a recovery.

Indonesian Nickel Association's executive director, Faizal Emzita told Reuters that exports picked up in October because 74 nickel mining companies now have export permits, up from just 13 approved firms in late June.

Chinese data shows that exports of nickel ore to key buyer China climbed to just under 2.5 million tonnes in October, an increase of 18 percent on the month and 12% on the year.

Import demand from China's nickel pig iron production plants in the northern region also started rising in October as the plants increased stocks of nickel ore ahead of winter.

A Chinese nickel importer said that "Imports from Indonesia should remain strong in November.

Indonesia's nickel exports last year were just under 41 million tonnes, according to the Central Statistics Agency, with China taking the lion's share, or around 36 million.

Source – Reuters