The company anticipates stronger demand following the mandated increase in the biodiesel blend, which rose from 2 percent to 3 percent last October. It is set to increase to 4 percent by October this year.
D&L president and CEO Alvin D. Lao said the recent blend adjustment has already pushed the company to operate at higher capacity.
“Demand is quite strong,” Lao said, noting that D&L’s biodiesel operations ramped up from 40 percent capacity to over 60 percent, compensating for gaps left by other suppliers.
Lao expressed confidence that the upcoming blend hike will lead to additional orders from oil companies, with sales expected to grow by the third quarter of 2025, ahead of the new blend implementation.
Beyond biodiesel, Lao cited easing inflation, lower interest rates, mid-term election spending, and the recovery of tourism and hospitality as key factors supporting the company’s performance.
“These are tailwinds for the economy, and the normal trend in our company is that as long as the economy is doing well, then we are a beneficiary,” he said.
