Malaysia biodiesel recovery continues

Malaysian biodiesel exports hit 20,186 metric tons (MT) in December as the country’s battered biodiesel industry continued a recovery rooted in the collapse of feedstock costs in mid-2008. December’s exports were up a spectacular 520% from December 2007 and a healthy 11% from November’s already strong 18,116 MT, data released by the Malaysian Palm Oil Board showed. According to Platinum Energy Sdn Bhd CEO Edward Leung, Malaysia has the potential to supply more biofuel to Europe, U.S. and other regions as palm-based biodiesel is cheaper than rapeseed and soy-based feedstock. Meanwhile, Asia Bioenergy Bhd Executive Director Looi Kem Loong said many local biodiesel manufacturers were exploring cheaper feedstock alternatives, such as oil extracted from algae and palm oil fatty acids distillates (PFAD). Prices of palm oil-based biodiesel depend on the fluctuating prices of crude oil and crude palm oil (CPO). (January 23, 2009)