JAKARTA: Indonesia is planning to raise its palm oil export levy to between 4.5% and 10% of the crude palm oil reference price, up from 3% to 7.5%, to finance a mandated increase in the amount of the oil used in biodiesel, according to a plantation fund official.
Indonesia raised the mandatory amount of palm oil in its biodiesel mix to 40% this year from 35%.
It is studying increasing it to 50% in 2026, as well as a 3% blend for jet fuel next year, as it seeks to curb fuel imports.
Kabul Wijayanto, director at the Plantation Fund Agency, which is in charge of collecting and distributing the export levy, said authorities would impose the new rates three days after the regulation is issued. — Reuters
