Malaysia, Indonesia to increase palm oil biodiesel production up to 40 percent in bid to raise palm oil prices

In Indonesia, the governments of Malaysia and Indonesia have agreed to increase palm oil biodiesel production to reduce palm oil stockpiles and provide a boost to crude palm oil prices, which have fallen to $871 per tonne, the lowest since spring 2007. The two countries said that they had surplus palm oil stocks of 3.8 million tonnes that would be converted to biodiesel, above the existing seta sides of 6 million tonnes for biodiesel production.

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