New Update on Export Policy – Suspension of Export Permits Imposed on Certain Biodiesel Products

On 8 February 2022, the Minister of Trade (“MoT”) issued a new regulation No. 8 of 2022 regarding the Export Policy and Arrangement (“MDAG-8/2022”), as the second amendment of MoT regulation No. 19 of 2021.

This MDAG-8/2022 is issued because in order to optimize the availability of cooking oil raw materials and cooking oil, it is necessary to rearrange the policies and regulations for the export of crude palm oil, refined, bleached, and deodorized palm olein, and used cooking oil.

The major issues set in force in this MDAG-8/2022 are as follows:
The suspension of export permits was imposed on a number of biodiesel products, with Heading 3826:

  1. HS Code 3826.00.21
    Biodiesel and mixtures thereof, not containing or containing less than 70% by weight of petroleum oils or oils obtained from bituminous minerals.
    -Biodiesel, not containing petroleum oil :
    – – Palm Methyl Ester (including palm kernel methyl ester) :
    – – – With ester alkyl content 96.5% or more but not exceeding 98%
  2. HS Code 3826.00.22
    Biodiesel and mixtures thereof, not containing or containing less than 70% by weight of petroleum   oils or oils obtained from bituminous minerals.
    – Biodiesel, not containing petroleum oil :
    – – Palm Methyl Ester (including palm kernel methyl ester) :
    – – – With ester alkyl content exceeding 98%
  3. HS Code ex 3826.00.90
    Biodiesel and mixtures thereof, not containing or containing less than 70% by weight of petroleum oils or oils obtained from bituminous minerals.
    – Other

This MDAG-8/2022 became effective on 15 February 2022.

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