
A Traction Energy Asia study says CPO use for biodiesel has risen while food-sector demand has not fallen between 2018 and 2022. The government has raised the biodiesel blend from B30 to B35 since 2023 and continues to increase vegetable oil use in fuel.
Growing biodiesel demand for palm oil competes with food and feed uses and tightens vegetable oil supply, supporting prices. The study itself is advocacy-driven and does not change policy directly.
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.
After 842 past bullish policy events, Soybean Oil moved a median +0.2% over 5 sessions (52% higher; middle half -1.6% to +2.1%), and -0.5% 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.