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Indonesia is offering incentives to developers of a new 100% palm oil-based green diesel that meets Euro IV standards. The industry minister said the country hopes to replace costly fuel imports within three years, and the bio component of its road diesel is expected to rise to 30% in 2020.
If commercialized, a palm-based green diesel would add structural demand for palm oil and reduce Indonesia's fuel import bill. The benefit is a multi-year effect, so near-term price impact is modest.
nst.com.myReutersJul 25, 2018After 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.
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.
