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No Need Wide Areas, Palm oil Plantation Has Its chance to Fulfill the Supply Globally



No Need Wide Areas, Palm oil Plantation Has Its chance to Fulfill the Supply Globally

InfoSAWIT, JAKARTA - From its characteristic, palm oil is the most unique commodity. It is the blessing for Indonesia because it could be the only commodity that produces two kinds of vegetable oil at once, such as, lauric, and palmitic.

Palm oil is also the substitution of crude oil. From its chemical composition, if it is used to industrial vegetable oil (IVO), it could be like diesel C 16-18 and if it is used to industrial lauric oil (ILO), it could be like Avtur C-12.

Palm oil has kinds of superiority. It has the highest productivity of all kinds of vegetable oil up to 8 to 10 times within technical age to produce up to 22 to 25 years. It is efficient in the production management.

As written in InfoSWIT, biomass from palm oil is good too. Compared to other kinds of vegetable oil, palm oil could produce 8 to 10 times than other kinds. “It is also cheap about US$ 120 - 180/ton, or less than rapeseed oi.

By the increasing demands on vegetable oil globally reaching 3,4% per year or about 7,48 million tons per year, every vegetable oil has the big chance. If the demands are from palm oil, the additional area needs would only be 1,5 million hectare per year or about one third of Netherland.

It is imaginable if the vegetable oil needs are from rapeseed. Within its productivity reaching 0,72 ton/hectare/year, it would need new areas about 10,4 million hectares per year or equal to 26 times of Netherland. (T2)

This article once published in InfoSAWIT, October 2020

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