Coco oil millers seek hike in biodiesel blend to 5%

The CIIF-Oil Mills Group (CIIF-OMG) has asked the Philippine government to raise the mandated biodiesel blend from the current 2% to 5% to spur the growth of the local coconut industry. In a letter to Energy Secretary Angelo T. Reyes, Jesus L. Arranza, president and chief executive officer of CIIF-OMG, said an “upward adjustment of the minimum blend would result in sustained demand for copra/crude coconut oil, lessen dependence on foreign buyers of crude coconut oil, generate savings in foreign exchange that would otherwise go out to pay imported oil, and increase the utilization of the refining capacity of biodiesel producers.” Arranza said the CIIF is pushing for the increase in the blend to increase the non-traditional market for coconut oil which would, in turn, benefit more than three million coconut farmers in the country. (April 14, 2010)