USDA forecasts palm oil consumption in Indonesia to increase in the season 2022/23 to 19.4 million tons

Published 2023년 2월 20일

Tridge summary

The Indonesian Ministry of Energy has increased the mandatory blending ratio of palm oil biodiesel from 30% to 35%, set to boost industrial palm oil usage to 12.3 million tonnes in 2022/23. Despite this, the USDA has revised down its forecast for Indonesian palm oil exports in 2022/23 to 28.8 million tonnes due to the government's revised DMO policy. The country has also faced warnings of a potential drought from June to September, which could impact oil palm-growing areas and production. India, a key importer of Indonesian palm oil products, has extended a policy of reducing import duties on refined palm oil for the 2022/23 marketing year.

Disclaimer:The above summary was generated by Tridge's proprietary AI model for informational purposes.

Original content

In early February 2023, the Indonesian Ministry of Energy increased the country's mandatory blending ratio from 30% palm oil biodiesel (B30) to 35% (B35). The move is predicted to boost industrial palm oil usage to 12.3 million tonnes in 2022/23, as reported by the Foreign Agricultural Service (FAS). This report indicates that, as part of the 2023 biodiesel blending mandate program, the government has designated 21 biodiesel producers to supply 13.15 billion liters of fatty acid methyl esters. (FAME). In the food sector, USDA increased its projected palm oil consumption for 2022/23 by 100,000 tons to 6.8 million tons, as cooking oil demand is expected to increase during Ramadan. The report also said that the government's official lifting of all mandatory restrictions related to Covid-19 in December is expected to boost the tourism and food sectors, especially during the peak tourist season. around the month of Ramadan and Eid. Along with the increase in crude palm oil prices, ...

Source: Vinanet