# Indonesia scraps plan to introduce B50 biodiesel this year, will raise palm oil export levy | Reuters

> Indonesia has dropped its plan to introduce the B50 biodiesel mandate this year and will keep B40. It will also raise crude palm oil export levies from 10% to 12.5% from March 1, with refined product levies rising by 2.5 percentage points.

- Date: 2026-01-14 · published 2026-01-14T12:00:00.000Z
- Category: policy · region Indonesia · magnitude high
- Page: https://feedsoft.ai/events/15497-indonesia-scraps-plan-to-introduce-b50-biodiesel-this-year-will-raise-palm-oil
- Commodities: [Palm Oil](https://feedsoft.ai/c/PALMOIL.md)

## Why it matters

Keeping B40 limits domestic biodiesel absorption of palm oil, while the higher levy raises Indonesian export costs and weakens its price competitiveness, both pointing to softer palm oil prices.

## Read by commodity

- PALMOIL: bearish ▼

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| PALMOIL | 2020-09-08 | [Indonesia to revamp palm oil levy to support biodiesel programme](https://feedsoft.ai/events/51005-indonesia-to-revamp-palm-oil-levy-to-support-biodiesel-programme.md) | +1.1% | -4.1% |
| PALMOIL | 2022-10-07 | [Indonesia to extend export levy waiver on palm oil to year-end \| FEAG](https://feedsoft.ai/events/15782-indonesia-to-extend-export-levy-waiver-on-palm-oil-to-year-end-feag.md) | -1.3% | +14.9% |
| PALMOIL | 2022-10-04 | [REFILE-UPDATE 2-Indonesia Plans Extension of Palm Oil Export Levy Waiver to Year-end](https://feedsoft.ai/events/15780-refile-update-2-indonesia-plans-extension-of-palm-oil-export-levy-waiver-to.md) | +10.5% | +11.6% |
| PALMOIL | 2022-05-20 | [Malaysia to reduce palm oil export tax, biodiesel mandate](https://feedsoft.ai/events/15820-malaysia-to-reduce-palm-oil-export-tax-biodiesel-mandate.md) | +2.6% | -7.0% |
| PALMOIL | 2026-02-11 | [Indonesia biodiesel pause, rising output seen limiting palm oil gains \| Reuters](https://feedsoft.ai/events/15489-indonesia-biodiesel-pause-rising-output-seen-limiting-palm-oil-gains-reuters.md) | -0.8% | +7.3% |

## Sources

- reuters.com: https://www.reuters.com/sustainability/climate-energy/indonesia-scraps-plan-introduce-b50-biodiesel-this-year-will-raise-palm-oil-2026-01-14/

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.