Saturday, November 29, 2008

Indonesia will build 142 biofuel industry

Indonesia will build a 142 biofuel industry until the end of 2009 to fullfill  the vegetable fuel both domestic and abroad.

The raw materials for biofuel is potential ehiugh in Indonesia, which comes from palm oil. Indonesia's CPO production each year ranges from 18 million tons, while domestic demand for oil around 6 million tons of CPO each year.

Estimated in 2009 the biofuel industry which use biofuel will grow and develop in Indonesia. According to Indonesia's strategic plan, the use of biofuel will cover five percent of the total fuel in 2025.

The decrease CPO price affected the fresh fruit bunches price because of weakening demand in export markets such as the United States become a source of financial crisis.

This condition may continue to occur one to two years. Palm oil can be processed into raw materials or other products up to 70 species. In addition, the industry's biofuel users also continue to market digenjot CPO remains high.

China, will increase the CPO consumption from approximately 3.5 million tons to five to 10 million tons each year. The EU is also targeting the increased use of bio-diesel from 4.8 million tons to be 14.8 million tons in 2010.

Currently for various purposes Indonesian palm oil still need 119 units of palm oil mills (MCC), with a capacity of 30 tons per hour TBS. Nowdays there are 419 new units of MCC in Indonesia.