{"id":31162,"date":"2026-03-13T16:52:08","date_gmt":"2026-03-13T09:52:08","guid":{"rendered":"https:\/\/gapki.id\/en\/?p=31162"},"modified":"2026-03-18T11:10:05","modified_gmt":"2026-03-18T04:10:05","slug":"mideast-conflict-makes-palm-oil-attractive-source-of-energy","status":"publish","type":"post","link":"https:\/\/gapki.id\/en\/news\/2026\/03\/13\/mideast-conflict-makes-palm-oil-attractive-source-of-energy\/","title":{"rendered":"Mideast Conflict Makes Palm Oil Attractive Source Of Energy"},"content":{"rendered":"<p>MUMBAI\/KUALA LUMPUR &#8211; Rising crude oil prices and higher freight rates driven by the Middle East conflict could boost demand for palm oil \u200bfrom the biodiesel sector and for food use, as Asian buyers seek prompt \u200cshipments, industry officials told <em>Reuters<\/em>.<!--more--><\/p>\n<p>Indonesia and Malaysia&#8217;s output rose to a record high in 2025, swelling stocks and weighing on prices. But the conflict has suddenly made palm oil attractive to the \u200bbiodiesel industry, pushing prices to their highest level in more than a year.<\/p>\n<p>&#8220;Palm oil \u200bis now trading at a steep discount to gasoil, with the \u2060current spread lucrative enough to boost demand from the biodiesel industry,&#8221; said Anilkumar Bagani, \u200bresearch head of Mumbai-based vegetable oil broker Sunvin Group.<\/p>\n<p>Oil prices surged more than 25% on Monday (11\/03\/2026) \u200bto their highest levels since mid-2022 as some major producers cut supplies and fears of prolonged shipping disruptions gripped the market.<\/p>\n<p>Indonesia, the world&#8217;s largest user of palm oil-based biodiesel, said it may revive plans \u200bto roll out a B50 grade of palm oil biodiesel mid-year to counter surging \u200bcrude oil prices.<\/p>\n<p>In January, Jakarta shelved the plan to produce B50, an equal blend of palm \u200coil biodiesel \u2060and conventional diesel, citing technical and funding challenges and continued with the B40 mandate instead.<\/p>\n<p>A long-term policy shift from countries such as Indonesia is likely only if palm oil trades at a consistent discount to gasoil over an extended period, said Bagani.<\/p>\n<p>Used in \u200beverything from cakes and \u200bfrying fats to \u2060cosmetics and cleaning products, palm oil makes up more than half of global vegetable oil shipments and is especially popular among \u200bconsumers in emerging markets, led by India.<\/p>\n<p>Southeast Asia is well positioned \u200bto consistently \u2060supply palm oil to buyers in Asia, the Middle East, and Europe, said Carl Bek-Nielsen, vice chairman and chief executive director at United Plantations Berhad.<\/p>\n<p>Palm oil supplies remain ample and \u2060can \u200bbe shipped quickly to Asian buyers, but it has \u200bnow become more expensive than rival soy oil, which could limit gains in demand, said a New Delhi-based dealer \u200bwith a global trade house. (*)<\/p>\n<hr \/>\n<p><span style=\"font-size: 15px;\">Reuters. 2026. <em data-start=\"115\" data-end=\"179\">\u201cMideast Conflict Makes Palm Oil Attractive Source of Energy.\u201d<\/em> Reuters, 9 Maret 2026. Tersedia pada: <a class=\"decorated-link\" href=\"https:\/\/www.reuters.com\/sustainability\/climate-energy\/middle-east-conflict-could-spur-palm-oil-demand-biodiesel-sector-2026-03-09\/\" target=\"_new\" rel=\"noopener\" data-start=\"218\" data-end=\"348\">https:\/\/www.reuters.com\/sustainability\/climate-energy\/middle-east-conflict-could-spur-palm-oil-demand-biodiesel-sector-2026-03-09\/<\/a><\/span><\/p>\n","protected":false},"excerpt":{"rendered":"<p>MUMBAI\/KUALA LUMPUR &#8211; Rising crude oil prices and higher freight rates driven by the Middle East conflict could boost demand for palm oil \u200bfrom the biodiesel sector and for food use, as Asian buyers seek prompt \u200cshipments, industry officials told Reuters.<\/p>\n","protected":false},"author":1,"featured_media":31163,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"neve_meta_sidebar":"","neve_meta_container":"","neve_meta_enable_content_width":"off","neve_meta_content_width":70,"neve_meta_title_alignment":"","neve_meta_author_avatar":"","neve_post_elements_order":"","neve_meta_disable_header":"","neve_meta_disable_footer":"","neve_meta_disable_title":"","neve_meta_reading_time":"","footnotes":""},"categories":[3708,3709],"tags":[],"class_list":["post-31162","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-publication","category-recent-news"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v22.2 - 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