Oleochem Analytics — Global food and biofuels corporation Cargill, based in Minnesota, is building a sustainable palm oil refinery in Lampung, Indonesia, which is expected to be completed in late 2022.
The company will invest $200 million in the Indonesian plant, but it has not confirmed its specific capacity yet.
Cargill wants to develop a sustainable palm supply chain and provide verified deforestation free products to customers, according to a statement released by the company in its website earlier this month.
“The new refinery will play a key role in connecting sustainable crude palm oil production in Indonesia to demands in North America and Europe through a fully integrated supply chain from plantation to customer”, the company said.
Concerns about sustainability of palm oil cultivation has prompted several countries – among them France, Austria, Germany, the Netherlands and even Sri Lanka – to ban the use of palm oil and palm oil-based biofuels in their markets.
In addition, EU’s 2018 new Renewable Energy Directive (RED II) plans to totally phase out palm oil-based biofuels by 2030.
