Indonesia’s B40 seen remaining at current prices for palm and petroleum

In Indonesia, Reuters reports that the decision to move forward with the 50% biodiesel blend planned for the second half of this year from the current 40% will depend on the margin between crude oil prices and crude palm oil prices. At current prices, the blend would stay at 40%. Crude palm oil currently has a $370 per metric ton premium over Brent crude oil prices, which has increased from $300 in October and November. A decision on whether to increase the export levy on crude palm oil that pays for the subsidy to blend biodiesel at the pump could come in the next few days.