Indonesia sets palm biofuel plant condition for jet purchases from US, France: minister

Indonesia has asked for its companies to be allowed to build palm oil jet fuel plants in the US and France as a condition for its airlines to buy Boeing and Airbus planes, its trade minister said. This marks the latest effort by the world’s biggest palm oil producer to find ways to help mop up output of the tropical oil, its second-largest export. EU negotiators in June agreed to phase out use of palm oil in transport fuels from 2030 due to concerns over high indirect greenhouse gas emissions, while the United States in April placed an anti-dumping tariff of up to 341% on Indonesian biodiesels. Indonesia’s trade minister, Enggartiasto Lukita, on Monday told reporters he had conveyed the country’s palm oil fuel plant requirement for jet purchases to the US secretary of commerce during a visit to Washington in late July. “We have asked that Indonesian companies be allowed to produce jet biofuel in the US,” he said. The aim is to source “all raw materials” for the plants from Indonesia, he added. The United States has responded “positively” and Indonesia has also conveyed the same requirement to Airbus, he added.<br/>