# Indonesia to revamp palm oil levy to support biodiesel programme

> Indonesia plans to revise its palm oil export levy so collections rise with export prices, with a $5 increase for every $25 rise in price. The current flat $55 per tonne levy has applied since June. The levy funds the gap between palm-based biodiesel costs and crude oil prices, which widened after crude's 2020 slump.

- Date: 2020-09-08 · published 2020-09-08T12:00:00.000Z
- Category: policy · region Indonesia · magnitude medium
- Page: https://feedsoft.ai/events/51005-indonesia-to-revamp-palm-oil-levy-to-support-biodiesel-programme
- Commodities: [Palm Oil](https://feedsoft.ai/c/PALMOIL.md)

## Why it matters

A price-linked levy would raise exporters' costs when palm prices climb, which could cap export competitiveness and pressure palm prices, while funding the B30 biodiesel mandate that supports domestic demand.

## Read by commodity

- PALMOIL: bearish ▼

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| PALMOIL | 2026-01-14 | [Indonesia scraps plan to introduce B50 biodiesel this year, will raise palm oil export levy \| Reuters](https://feedsoft.ai/events/15497-indonesia-scraps-plan-to-introduce-b50-biodiesel-this-year-will-raise-palm-oil.md) | +0.6% | +4.5% |
| PALMOIL | 2018-12-04 | [Indonesia relaxes palm oil levy rules \| The Star](https://feedsoft.ai/events/61467-indonesia-relaxes-palm-oil-levy-rules-the-star.md) | +0.7% | +8.4% |
| 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 | 2024-11-22 | [Indonesia Cuts Palm Oil Levy to Be Competitive, Boost Exports](https://feedsoft.ai/events/15606-indonesia-cuts-palm-oil-levy-to-be-competitive-boost-exports.md) | +0.2% | -3.7% |
| 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

- english.kontan.co.id: https://english.kontan.co.id/news/indonesia-to-revamp-palm-oil-levy-to-support-biodiesel-programme
- thesun.my: https://thesun.my/business/indonesia-to-revise-palm-oil-levy-to-support-biodiesel-programme-ex3918006/

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