Taiwan CPC looks to grow jatropha in Indonesia

The Taiwanese refiner is seeking to grow between 20,000 and 50,000 hectares of jatropha trees to expand its raw material sources to produce biodiesel, he said. If successfully implemented, the oil extracted will be exported to Taiwan for use in its domestic market, though the company is not discounting the possibility of selling it as a biodiesel blend overseas in future. Jatropha has been promoted as a sustainable feedstock suitable for biodiesel production due to social and environmental concerns. The inedible crop is said to be able to grow on semi-arid or marginal land and therefore does not take land away for food production. According to one research conducted by the Overseas Development Institute — an independent think tank based in London on international and humanitarian issues — it found that jatropha would only produce high yields if grown in good soil in areas with good irrigation. The study also noted that if jatropha becomes more profitable, it will become more attractive for farmers as a crop, potentially displacing food supplies. Currently, there are no large scale jatropha plantations anywhere in the world that can meet the feedstock needs of biodiesel producers, and very little is known as to when the industry might see vast amounts of jatropha. (June 15, 2009)