0317 GMT - Indonesia's planned rollout of the 50% biodiesel blend mandate by 2H 2026 is expected to tighten palm oil supply and boost crude palm oil prices, CIMB Securities analyst Ivy Ng Lee Fang says in a note. The policy, aimed at reducing diesel imports and strengthening energy security, could generate an additional four million tons of CPO demand, she says. While feedstock constraints may prompt a 45% blend mandate initially, the full 50% blend implementation would be structurally positive for planters. CIMB maintains its overweight rating on Malaysia's agriculture & forestry sector, with SD Guthrie, IOI Corp., TA Ann, and Hap Seng Plantations as top picks. (yingxian.wong@wsj.com)
(END) Dow Jones Newswires
October 09, 2025 23:17 ET (03:17 GMT)
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