# Indonesia unlikely to back down on B40 biodiesel mandate, helping sustain elevated palm oil prices, says RHB

> RHB Research says Indonesia is determined to implement its B40 biodiesel mandate, which blends 40% palm oil with diesel, possibly as soon as March. RHB expects Indonesian palm oil exports to fall 7% in 2025 and forecasts CPO prices to stay elevated.

- Date: 2025-03-25 · published 2025-03-25T12:00:00.000Z
- Category: policy · region Indonesia · magnitude medium
- Page: https://feedsoft.ai/events/15578-indonesia-unlikely-to-back-down-on-b40-biodiesel-mandate-helping-sustain
- Commodities: [Palm Oil](https://feedsoft.ai/c/PALMOIL.md)

## Why it matters

Firm B40 implementation absorbs rising Indonesian palm supply and shrinks exportable volumes, supporting palm oil prices through 2025.

## Read by commodity

- PALMOIL: bullish ▲

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| PALMOIL | 2018-08-06 | [Global palm oil prices set to rise on Indonesia's biodiesel mandate](https://feedsoft.ai/events/63406-global-palm-oil-prices-set-to-rise-on-indonesia-s-biodiesel-mandate.md) | +1.8% | +0.9% |
| PALMOIL | 2024-10-09 | [Higher biodiesel mandates in Indonesia to curb palm oil supplies, analyst says](https://feedsoft.ai/events/7766-higher-biodiesel-mandates-in-indonesia-to-curb-palm-oil-supplies-analyst-says.md) | -0.0% | +10.4% |
| PALMOIL | 2023-05-17 | [Malaysia Says Committed to Raising Palm Oil Biodiesel Mandate](https://feedsoft.ai/events/15734-malaysia-says-committed-to-raising-palm-oil-biodiesel-mandate.md) | -1.4% | -6.4% |
| PALMOIL | 2023-06-26 | [Indonesia's Biofuel Blending Mandate Effects on Palm Oil Supply & Price](https://feedsoft.ai/events/15726-indonesia-s-biofuel-blending-mandate-effects-on-palm-oil-supply-and-price.md) | +0.6% | +14.6% |
| PALMOIL | 2016-11-25 | [Indonesia sticks to its guns on B20 biodiesel, despite rising palm oil prices \| New Straits Times](https://feedsoft.ai/events/73758-indonesia-sticks-to-its-guns-on-b20-biodiesel-despite-rising-palm-oil-prices.md) | +3.8% | +5.0% |

## Sources

- theedgemalaysia.com: https://theedgemalaysia.com/node/749170
- tridge.com: https://www.tridge.com/news/indonesia-unlikely-to-back-down-on-b40-biodi-qyygtl

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