Indonesia will restrict exports of waste cooking oil and palm residue to ensure domestic supplies

Gold Ten Futures, January 8, according to foreign media reports, the Indonesian government said in a new regulation on Wednesday that in order to ensure the supply of domestic edible oil and biodiesel industries, Indonesia will restrict the export of waste edible oil (UCO) and palm oil residue. Indonesia is the world's largest producer and exporter of palm oil, and the move is aimed at helping to achieve a new requirement starting this year that 40% of the palm oil fuel is mixed with diesel, known as B40, up from 35% previously. Indonesian authorities have been studying ways to restrict UCO exports, but it is unclear how much it will tighten. The new regulation, effective immediately, requires all palm oil residue and UCO exporters, including palm oil plant wastewater (POME), to receive export quotas from the government. Such allocations will be determined at meetings of officials from departments such as trade and food coordination.