In Malaysia, Bloomberg reports that surplus palm oil supplies have seen the gap between biodiesel and fossil fuel prices reach the largest gap seen since 2014 with palm oil-based biodiesel reaching a discount of $124 per metric ton last Friday. The gap has since narrowed to $107 on Monday. With prices so low, exports could go as high as 380,000 tons this year. Export demand is typically triggered for discretional blending when the discount is above $100.
Category: Fuels