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LDC eyes higher biodiesel output in Indonesia

Louis Dreyfus Company (LDC), a prominent agricultural commodity merchant, is set to bolster its palm oil refining operations in Indonesia, including the establishment of a new glycerine plant and ramping up biodiesel production, according to a senior company official.

LDC, renowned for its processing of agricultural commodities, has been strategically expanding its footprint in Asia to cater to the burgeoning demand for food products.

Rubens Marques, LDC’s Chief Executive for South and Southeast Asia, disclosed to Reuters this week, “LDC is making substantial investments to enhance its refining complex in Lampung, incorporating a new glycerine refining facility, edible oil packing plant, and warehouse.” He further explained, “These initiatives align with our strategy to broaden revenue streams by focusing on value-added products, while optimizing operational efficiency and leveraging synergies at the site.”

The glycerine refining plant in Lampung is slated to boast an annual production capacity of 55,000 metric tons, catering primarily to manufacturers of food, pharmaceutical, and personal care products.

Construction of the plant is set to commence this month, with operations scheduled to commence within 18 months, Marques revealed.

Marques also highlighted, “We are augmenting our biodiesel capacity at the site, not only to support increased biodiesel production but also to serve as an additional source of crude glycerine, a byproduct essential for the newly established glycerine refinery.”

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