Oleochemical Industry

The use of biodiesel in transport and industry is part of a slew of measures to boost faltering palm oil prices, which have tumbled nearly two-thirds on a combination of surging stock levels and funds fleeing commodity plays in the wake of the global financial crisis. Malaysia, the world’s second largest producer of crude palm oil (CPO), has implemented mandates for biodiesel and will give aid to the industry to replant as part of the package of measures to boost demand for CPO and curtail oversupply.

Malaysia consumes 10 million tonnes of diesel a year. — Reuters

Kuala Lumpur: Usage of the mandatory blending of five percent palm oil with diesel (B5) will be fully implemented by 2010, according to Plantation Industries and Commodities Minister Datuk Peter Chin.