Philippine Coconut Industry Supports Higher Biodiesel Blend

The United Coconut Association of the Philippines (UCAP) has voiced strong support for the government’s plan to increase the biodiesel blend in diesel fuel to four percent starting in 2026. The move is expected to boost demand for copra, the dried coconut meat used to make coconut oil, the raw material for coco methyl ester or biodiesel.  
UCAP Vice-chairman Dean Lao, Jr. welcomed the government’s decision to maintain the biodiesel blend at the current three percent, the implementation of which was delayed due to rising copra and cooking oil prices. He said this at the press conference following the opening of the World Coconut Congress 2025 at SMX Convention Center Manila in Pasay City, 
Lao said the policy gives the industry time to prepare for the higher biodiesel mandate. He noted though that the benefits of biodiesel are often overlooked as well as the improved fuel efficiency.  “A comprehensive test showed that adding biodiesel improved mileage by 10 percent,” he said.
Philippine Coconut Authority (PCA) Administrator and Chief Executive Officer (CEO) Dexter Buted disclosed last month that the government is evaluating the market situation to determine when the suspension of the increase will be lifted. Buted, a member of the National Biofuel Board (NBB), said the body is keen on initiating the increase to B4 within the first quarter of 2026.  He said this would be driven by an increase in production, aided by the PCA’s fertilization program.