Malaysia, the world's second-largest palm oil producer, will make it mandatory for all vehicles to use biofuel from next year, the government announced on 24 March. The plan will now be implemented in stages in several central states from June 2011, the Plantation Industries and Commodities Ministry said in a statement, adding that the extra cost will be borne by petroleum companies. The policy "will benefit the country as biofuel is environmentally friendly and it will reduce our dependence on petroleum diesel," the ministry said."It will also strengthen the palm oil prices and enable the planters, especially smallholders, to benefit from the stronger palm oil price."
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