Malaysia will raise its biodiesel blend mandate from B10 to B15, starting with a B12 rollout, to reduce diesel imports amid the West Asia fuel crisis. Biodiesel sector capacity utilisation is only 58%.
The move follows Indonesia's expansion of its mandate to B50 by July.
Higher blending mandates lift domestic palm oil use and can draw on idle capacity, tightening palm supply for export. This supports palm oil prices.
After 548 past bullish policy events, Palm Oil moved a median +0.4% over 5 sessions (61% higher; middle half -0.7% to +2.1%), and +0.9% over 20.
Moves of each commodity's benchmark from the last close before the event. Historical reads pool past events of the same kind; they describe what happened, not what will. Not investment advice.