PALMOILMAGAZINE, JAKARTA – Minister of Trade, Zulkifli Hasan, stressed that Indonesia would fully utilize its crude palm oil (CPO) and its derivatives domestically if Europe decides to halt imports due to the European Union’s Deforestation-Free Regulation (EUDR), which restricts certain commodities over deforestation concerns.
“We shouldn’t worry. The elected President Prabowo plans to expand the biodiesel program from B20 to B35, and possibly even B60. If Europe stops buying, it won’t be an issue,” Zulkifli said in Jakarta on Thursday (29/08/2024).
He added that Indonesia would need more CPO for biodiesel production and other alternative fuels, such as bio-aviation turbine fuel. This diversification of CPO use will become even more crucial as international pressure increases.
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“We would invest in aviation turbine production in CPO base. It means, CPO needs in this country would be bigger in numbers,” he said.
Expert Staff of Minister of International Trade, Bara Krishna Hasibuan said that CPO usage would be prioritized to this country only, particularly to develop biodiesel. But Indonesia would not fully stop CPO exports.
“The priority would be for domestic needs, namely to develop biodiesel. The exports would always be existing even though it would be less to fulfill the needs in this country,” Hasibuan said.
Vice Minister of Agriculture, Sudaryono emphasized it would be significant to develop palm oil plantation productivity to support B5o program. In his visit to Pasar Minggu, Jakarta, Wednesday (21/08/2024), he mentioned that it would need to plant certified seeds and modern nursery technic.
“Indonesia has its potential to implement B50 because 60 percent of CPO production in the globe derived from Indonesia. But we have some challenges, namely from European countries that reject our product,” Sudaryono said.
He also emphasized the energy shift from fossil to renewable energy would be urgent and CPO would be the key to fulfill more environmental energy needs. The Government of Indonesia, he thought, successfully implemented B35, and would escalate biodiesel mixture to be B50. (P2)
