Indonesia Is the Fifth Biodiesel Exporter in the World

Indonesia Is the Fifth Biodiesel Exporter in the World

InfoSAWIT, JAKARTA - Until now palm oil still faces the blocks in the world both in the regulation and trade. The blocks derive from the advance countries which also become the palm oil consumers, such as, European Union.

The expert staff of Ministry National Development Plan in Economic and Fund Synergy, Amalia Adininggar Widyasanti said that European Union absorbs 9,1 million tons of palm oil in every single year. 3,8 million tons are from Malaysia, and African countries. The rests are from Indonesia.

Of the total numbers, she said that about 50% are used as the material for biofuel and the rests are for the industries. “European Union is the biofuel producer in the world,” she said.

In every year, the biofuel consumption in the continent keeps increasing. In the old days, the supply was not from palm oil but from the rapeseed oil. But for palm oil is more economic in price, the biofuel supply from rapeseed oil keeps decreasing and it is substituted by palm oil.

In 2005 the stock of rapeseed oil for biofuel was substituted by palm oil. For information, she continued, rapeseed oil is produced by the farmers in the continent. So to increase their competitiveness, European Union starts to implement Renewable Energy Directive (RED) 2. “Besides about the environmental issue, the policy may be proposed by the rapeseed farmers to prevent palm oil imports,” she recently said in Jakarta.


For the biofuel markets, Indonesia is the fifth biggest exporter in the world about 7%. The main biofuel exporter in the world is Netherland, about 23%. “They enjoy the additional values from palm oil,” she said.


The biofuel markets in the world keep increasing namely in Asia, South America, and other countries. Biofuel is traded not only in European Union.(T2)


For more, please read InfoSAWIT, August 2019


. . . to get our digital magazine can be read in a InfoSAWIT Store .