Indonesia to enforce B35 blending from 1 August

Spanish Market: Agriculture, Biofuels, Chemicals
28/06/23

Indonesia's mandate of blending 35pc biodiesel (B35) with road transport fuel will be enforced from 1 August 2023, according to the director of bioenergy at the energy ministry Edi Wibowo.

But B35 has yet to implemented at three terminals as of 1 June, four months since the mandate was rolled out on 1 February. These terminals are currently in the process of upgrading facilities to support the B35 blending programme and will be completed by 1 August. Upgrading includes increasing storage tanks, pipes and other facilities, said Wibowo. The other 79 terminals across the country have already rolled out B35 fuel.

Indonesia's consumption of biodiesel has reached 5.2mn m³ out of a total of 13.15mn m³ or 40pc of the total allocation for 2023.

The government has also carried out road tests for B40 during July-December 2022 but the country is still reviewing the readiness of various stakeholders.

"For its [B40] implementation the government is still reviewing the readiness of related parties, biodiesel producers, diesel fuel retailers, consumer acceptance, infrastructure, as well as the availability of feedstock and incentives," said Wibowo. "We [are] also taking into account the balance of palm oil supplies for food, energy, exports and oleochemical purposes."

The biodiesel blending programme aims to strengthen Indonesia's energy security and to increase the country's renewable energy share to 23pc by 2025. But exports of palm oil products and derivatives must be maintained as palm oil is the largest contributor to Indonesia's foreign revenue, according to Wibowo.

By Ryan Ang

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03/04/25

Prio supplies B100 for bunkering in Portugal

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Australian beef targeted by US' 10pc tariff

03/04/25

Australian beef targeted by US' 10pc tariff

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Brazil SAF industry set to take off in 2027

02/04/25

Brazil SAF industry set to take off in 2027

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Mexico manufacturing extends contraction in March

02/04/25

Mexico manufacturing extends contraction in March

Mexico City, 2 April (Argus) — Mexico's manufacturing sector contracted for a 12th consecutive month in March, with production and employment both deepening their slides, according to a survey released today. The manufacturing purchasing managers' index (PMI) ticked up to 47.2 in March from 47.1 in February, but remained below the 50-point threshold between contraction and expansion, according to the latest PMI survey from the finance executive association IMEF. Manufacturing, which accounts for about a fifth of Mexico's economy, is led by the auto sector, contributing about 18pc of manufacturing GDP. Within the manufacturing PMI, the new orders index rose by 1.3 points to 45.3, still deep in contraction. Meanwhile, production fell by 0.6 points to 44.6. The employment index also declined 0.6 points to 46.4 in March, now in contraction for 14 consecutive months. Meanwhile, the non-manufacturing PMI — covering services and commerce — declined 0.8 points to 48.8 in March from 49.6 in February, holding in contraction for a fourth consecutive month. Within the non-manufacturing PMI, new orders fell 1.5 points to 48.2 and production declined 1 point to 47.5 with employment down a point as well in March to 47.5, as all three pushed deeper into contraction. In contrast, the inventories component rose 3.5 points to 50.6 into expansion territory in March. But this may be the result of company strategies to stockpile inventories ahead of US tariffs and the reciprocal measures Mexico is set to announce on 3 April, IMEF technical advisory board member Sergio Luna said. PMI data show that the economic stagnation that began in late 2024 persisted through March, with results from January and February pointing to a sharp slowdown in the first quarter, IMEF said. This follows annualized GDP growth of 0.5pc in the fourth quarter of 2024, slowing from 1.7pc in the third quarter, according to national statistics agency data. Luna said concerns over US tariffs continue to drive much of the uncertainty reflected in the PMI data. Internal factors — such as reduced government spending to contain the fiscal deficit and investor unease over judicial reforms passed last year — are also weighing on activity, Luna added. By James Young Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

Northern Australian floods squeeze cattle supply

02/04/25

Northern Australian floods squeeze cattle supply

Sydney, 2 April (Argus) — Major flooding in Australia's western Queensland caused stock losses and logistic disruptions, which could support feeder steer prices. Heavy rains of up to 500mm in the last seven days to 31 March have caused record flooding in some areas of central west and south-west Queensland, Bureau of Meteorology data show. These regions account for about a fifth of the state's cattle population or close to 1.976mn head in 2021, according to the Australia Bureau of Statistics. The Queensland Department of Primary Industries (QDPI) estimates 145,000 head of livestock are missing or dead because of the recent flooding, including 69,000 head of cattle. The QDPI predicts over 4,700km of private roads and 3,500km of fencing has been damaged, affecting paddock access and livestock mustering. The supply squeeze could support prices of feeder steers, as multiple sale yard auctions planned for early April have been cancelled because of wet weather and insufficient numbers. Sales at Charters Towers and Gracemere on 2 April were cancelled and the Blackall sale on 3 April is postponed until 10 April, according to local councils and livestock agents. The Argus Australian northern feeder steer price was at 361A¢/kg on 27 March, up by 2A¢/kg on the week, but could rise further this week as processors bid for available stock at more easterly cattle sales. The Bureau of Meteorology forecasts up to 25mm of rain on 2 April and 3 April in flood-affected regions, before declining to a 5mm maximum on 4 April, which could allow some waters to recede. But major flood warnings are still in place for rising rivers in the state's southwest, despite lower rainfall. Mustering and road freight could be delayed for six weeks in the Channel Country of far western Queensland, according to a market participant. Farmers in some flood-affected areas of Queensland can access freight subsidies of up to A$5,000 from the state government to transport livestock for restocking, which could speed up herd recovery. By Grace Dudley Send comments and request more information at feedback@argusmedia.com Copyright © 2025. Argus Media group . All rights reserved.

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