# Indonesia's Biofuel Plan Will Impact Global Palm Oil Price, Analysts Say

> Analysts at the Indonesian Palm Oil Conference said Indonesia's B30 biofuel mandate, effective January 2020, will raise domestic palm oil consumption. They forecast Rotterdam palm oil prices of $650 to $700 per ton for January to June 2020, up from a decade low of $507 last year. Thomas Mielke warned that any small drop in export supply would tighten the world market.

- Date: 2019-11-03 · published 2019-11-03T12:00:00.000Z
- Category: policy · region Indonesia · magnitude high
- Page: https://feedsoft.ai/events/4288-indonesia-s-biofuel-plan-will-impact-global-palm-oil-price-analysts-say
- Commodities: [Palm Oil](https://feedsoft.ai/c/PALMOIL.md), [Soybean Oil](https://feedsoft.ai/c/SBO.md)

## Why it matters

Mandated domestic biodiesel use removes palm oil from export markets, which can lift global vegetable oil prices. Palm oil is hard to replace, so supply shortfalls have outsized price effects.

## Read by commodity

- SBO: bullish ▲
- PALMOIL: bullish ▲

## Linked price moves

| Commodity | Date | Window | Change % | z-score | Why linked |
| --- | --- | --- | --- | --- | --- |
| PALMOIL | 2019-11-06 | 5 | +14.0% | 5.9 | Indonesia's B30 mandate from January 2020 raises domestic consumption and cuts export supply, with analysts forecasting higher prices. |
| PALMOIL | 2019-11-04 | 5 | +13.0% | 6.4 | The B30 mandate effective January 2020 raises Indonesian domestic consumption and cuts export availability, with analysts forecasting higher prices. |

## 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 | 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 | 2025-06-02 | [Indonesia's B50 push could lift global palm oil prices: report](https://feedsoft.ai/events/24322-indonesia-s-b50-push-could-lift-global-palm-oil-prices-report.md) | +2.3% | +3.8% |
| PALMOIL | 2025-07-31 | [Indonesia's August CPO Reference Price and Its Implications for Global Palm Oil Markets](https://feedsoft.ai/events/15543-indonesia-s-august-cpo-reference-price-and-its-implications-for-global-palm-oil.md) | +1.9% | +5.3% |
| PALMOIL | 2020-08-07 | [Indonesian B40 biodiesel plan back on track as palm oil prices improve - Biofuels International Magazine](https://feedsoft.ai/events/51471-indonesian-b40-biodiesel-plan-back-on-track-as-palm-oil-prices-improve-biofuels.md) | -1.6% | +5.9% |
| SBO | 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) | -1.3% | +0.1% |
| SBO | 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) | +3.7% | +16.2% |
| SBO | 2025-07-31 | [Indonesia's August CPO Reference Price and Its Implications for Global Palm Oil Markets](https://feedsoft.ai/events/15543-indonesia-s-august-cpo-reference-price-and-its-implications-for-global-palm-oil.md) | -2.0% | -1.4% |

## Sources

- jakartaglobe.id: https://jakartaglobe.id/business/indonesias-biofuel-plan-will-impact-global-palm-oil-price-analysts-say

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