INDONESIA’S palm oil fund agency predicts it will collect 29 trillion rupiah (S$2.5 billion) in revenues from export levies in 2024, slightly below this year, its chief executive said on Thursday (Dec 7).

Eddy Abdurrachman provided the 2024 estimate to reporters based on an assumption that palm oil prices will fall next year and without providing a figure for 2023.

Indonesia, the world’s biggest exporter of palm oil, uses proceeds from the levy to subsidise biodiesel and fund palm replanting programmes.

Exporters pay levies at a rate that is determined based on a government-set palm oil reference price.

Indonesia earlier this year widened its mandate for palm oil blend in biodiesel to 35 per cent from 30 per cent, called the B35 programme, the world’s highest mandatory mix of palm oil in biodiesel. REUTERS