U.S. EPA biodiesel mandate could boost palm imports

According to Mark Wakeford, chief executive of Indofood Agri Resources Ltd., palm oil demand in the U.S. could grow in the coming months, due to the recent U.S. biofuel mandate.
The U.S. Environmental Protection Agency (EPA) announced that it would expand the mandate to 1.28 billion gallons in 2013, up by 28% year-on-year. The U.S. policy for biodiesel is aimed primarily at domestic supply; this means that crude palm oil will be the cheapest vegetable oil for edible use if more soybean oil goes into biodiesel.
Wakeford added: “So either way, it could lead to increased imports of CPO or olein into the U.S., as long as there are no import restrictions.” (September 17, 2012)