Biodiesel programme can boost palm oil demand amid boycott threat, says minister
Primary Industries Minister Teresa Kok says discussions on funding the B20 programme still ongoing
KUALA LUMPUR: Primary Industries Minister Teresa Kok hopes the allocation of funds to boost the use of palm oil-based biodiesel fuel in the transportation sector would be expedited.
Kok said it is now more important to implement the B20 biodisesel programme which was announced in the recent budget, in light of “challenging times” with India.
“The quicker we implement B20, the better,” she told reporters after a gathering with ministry staff at the Malaysian Rubber Board here.
This comes in the wake of reports that India may review its imports of palm oil and other Malaysian products, following outrage over remarks on the Kashmir conflict by Dr Mahathir Mohamad.
Finance Minister Lim Guan Eng in his 2020 Budget speech had said that the B20 biodiesel for the transport sector would be implemented by the end of next year.
He said the move would increase palm oil demand by 500,000 tonnes every year.
She said inter-ministerial discussions on the B20 programme were still ongoing, involving her ministry, the finance ministry, domestic trade ministry as well as the international trade ministry.
“The problem with us now is we need to upgrade the tempo throughout the country – we need cooperation with petroleum companies, and we need more funding to come into the upgrading works,” said Kok.
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Meanwhile, Kok said palm oil industry players in Malaysia and Indonesia must work together to counter the anti-palm oil lobby in the West.