Malaysian agency to jump-start biodiesel industry

Malaysia’s main palm oil agency has leased out three biodiesel plants to palm oil firms to help jump-start the country’s fledgling biofuel sector. The Malaysian Palm Oil Board (MPOB) has built the RM90-million (US$26.11 million) plants to help producers tide over rising feedstock costs and slumping crude oil prices, MPOB director-general Mohammed Basri Wahid said. “Palm prices will remain steady because of rising demand from the energy sector in Europe, United States and Japan,” he said, adding that rapidly expanding demand from the food sector was also keeping prices firm. (March 27, 2007)