Malaysian biodiesel demand from B10 won’t do much to reduce palm oil surplus

In Malaysia, despite ongoing promises of a B10 mandate, Platts reports that a local analyst doesn’t expect there to be an impact on palm oil prices once the mandate comes into effect in February—if it isn’t postponed yet again—because the country is so small the increased demand will only account for around 250,000 metric tons per year. The current B7 mandate only required about 500,000 tons of palm oil annually. Indonesia’s population is much larger, so jumps in mandates there have a far larger impact on demand.