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Analysts say that as industry participants seek phased implementation,Indonesia's plan to expand its biodiesel blending authorization from January 1, 2025, seems increasingly likely to be gradually implemented.Indonesia plans to increase the mandatory incorporation of palm oil in biodiesel from 35% to 40%, known as the B40 mandate. This policy has driven up palm futures and may further boost palm oil prices in 2025. Despite reassurances from the Prabowo Subianto government that the plan is expected to fully launch in 2025, industry observers say,cost and technical challenges may lead to partial implementation in some regions before full implementation across the nation's numerous islands.Senior official of the Indonesian Ministry of Energy, Eniya Listiani Dewi, stated that the B40 mandate will not be gradually implemented, and biodiesel producers are ready to supply higher proportions of biodiesel.
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It seems that the soybean-palm spread inversion is about to return to normal levels...
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