# Palm Oil News - Assumed, Subsidy to 11 Biodiesel Factory is Misused

> Fahmi Hafel of Indonesia Development Monitoring warned that the Crude Palm Oil Supporting Fund could be misused, with tens of billions of rupiah at risk. He argued the fund has depressed domestic fresh fruit bunch prices and reduced export volumes. He said the government should reconsider subsidies for biodiesel producers.

- Date: 2017-05-30 · published 2017-05-30T12:00:00.000Z
- Category: policy · region Indonesia · magnitude low
- Page: https://feedsoft.ai/events/70912-palm-oil-news-assumed-subsidy-to-11-biodiesel-factory-is-misused
- Commodities: [Palm Oil](https://feedsoft.ai/c/PALMOIL.md)

## Why it matters

Scrutiny of the levy-funded biodiesel subsidy could lead to changes in how it is paid out, which would affect domestic palm oil demand. Lower domestic prices for growers also reduce farm-level incentives to produce.

## Read by commodity

- PALMOIL: neutral

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| PALMOIL | 2023-10-03 | [Palm Oil News - Biodiesel Subsidy Delivered Profits for Corporates: Put Away Smallholders](https://feedsoft.ai/events/15695-palm-oil-news-biodiesel-subsidy-delivered-profits-for-corporates-put-away.md) | -2.7% | -1.5% |
| PALMOIL | 2018-04-24 | [Indonesian oil palm smallholders sue state over subsidy to biofuel producers](https://feedsoft.ai/events/65411-indonesian-oil-palm-smallholders-sue-state-over-subsidy-to-biofuel-producers.md) | -0.3% | -2.3% |
| PALMOIL | 2026-01-08 | [Indonesia mulls palm oil export levy hike to support biodiesel mandate \| Reuters](https://feedsoft.ai/events/15499-indonesia-mulls-palm-oil-export-levy-hike-to-support-biodiesel-mandate-reuters.md) | +0.2% | +7.4% |
| PALMOIL | 2019-03-03 | [Biofuel, supply and EU top in mind as palm oil players meet \| FMT](https://feedsoft.ai/events/60205-biofuel-supply-and-eu-top-in-mind-as-palm-oil-players-meet-fmt.md) | -3.0% | -2.8% |
| PALMOIL | 2018-12-26 | [Indonesia to continue subsidizing biodiesel despite slashing palm oil export levy  : The Daily Digest](https://feedsoft.ai/events/61470-indonesia-to-continue-subsidizing-biodiesel-despite-slashing-palm-oil-export.md) | +5.0% | +7.8% |

## Sources

- en.infosawit.com: https://www.en.infosawit.com/news/5707/assumed--subsidy-to-11-biodiesel-factory-is-misused

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