An overview of potential production of bio-lubricant in Indonesia

Abstract

The European Union’s embargo on Indonesian crude palm oil (CPO) has resulted in excess of domestic palm oil reserves. The embargo has resulted in a build-up of domestic CPO due to the fact that the majority of Indonesia’s CPO production is exported overseas. The CPO price has dropped in recent months as a result of CPO overstock. On the other hand, as a by-product of rice production, Indonesia produces millions of tons of rice bran. The bran is treated more as waste than a resource for raw material to produce valuable products, such as bran oil. The need for lubricants in Indonesia is expected to rise as the number of cars and industries grows. As a result, some lubricant requirements must be met through importation because domestic manufacturing is insufficient. Palm oil and bran oil are both excellent candidates for conversion into biolubricants. This paper looks at the possibility of biolubricant production in Indonesia using alternate raw materials rather than petroleum-based sources. The paper begins by detailing the country’s lubricant demand, then moves on to the probable availability of biolubricant raw materials in Indonesia, and finally to the biolubricant process production method.