Archive · 25 Jul 2025
Edible Oil Industry Faces Food vs. Fuel Debate
Imagine that the price of cooking oil is going up around the world.
Some countries are also using the oil to make fuel for cars, which means there might not be as much oil available for food.
This has led to some discussion.
Also, India and Indonesia, two major players in the palm oil business, have agreed to work together to make sure they can supply enough cooking oil while also protecting the environment.
They want to share ideas and help each other to grow more palm oil in a sustainable way to make sure everyone has access to it.
Industry leaders discuss potential 'food versus fuel' debate due to rising edible oil prices and biodiesel diversion.
Indonesia's palm oil export surplus may decrease as more palm oil is used for biodiesel.
The Indian Vegetable Oil Producers' Association (IVPA) and the Indonesian Palm Oil Association (IPOA) signed an MoU to boost productivity and sustainability.
The MoU focuses on joint research, technology transfer, and best-practice sharing for the palm oil sector.
India imports over 60% of its edible oil, with Indonesia as its largest supplier.
- Who
- Industry leaders, the Indian Vegetable Oil Producers’ Association (IVPA) and the Indonesian Palm Oil Association (IPOA)
- What
- Rising edible oil prices may trigger 'food versus fuel' debate, and an agreement was signed to boost palm oil sector sustainability.
- When
- July 2025
- Where
- New Delhi, India and Indonesia
- Why
- To address concerns about edible oil prices and supply, to promote sustainable practices, and to ensure stable trade.
Food Security
Biofuel Production
Edible Oil Use
Food Security
Concerns over increasing edible oil prices and diversion for biodiesel production
Biofuel Production
Focus on biodiesel program to decrease reliance on fossil fuels
- Palm Oil Price
- $1,000-$1,100 per tonne
- Indonesia Palm Oil Consumption
- 25-26 million tonnes (mt)
- Indonesia Palm Oil for Biodiesel
- 15 mt
- Indonesia Palm Oil Exports in 2024
- 29 mt
- Indonesia Palm Oil Exports by 2030 (if B50 implemented)
- 23 mt
- Indonesia-India Trade in 2024
- $26 billion
