JAKARTA, July 24 (Reuters) - Indonesia, the world's greatest palm oil manufacturer, is evaluating fuel with a view to increasing to 40% from 35% the share of palm-oil blended into biodiesel next year, the energy ministry stated.

If carried out, the B40 mandate might increase biodiesel intake to up to 16 million kilolitres (KL) next year, the ministry said, from 13 million KL estimated to be consumed in 2024.

"We hope the trials could be ended up in December, so that complete execution of B40 might be carried out in 2025," energy ministry senior official Eniya Listiani Dewi stated in a declaration on Tuesday.

The Indonesian Biofuel Producers Association (APROBI) stated the market had the capacity to fulfill B40 demand, with installed capability expected to rise to 20 million KL every year next year from 18 million KL now.

"However we will need more basic materials to fulfill B40 need," Ernest Gunawan, the secretary general of APROBI informed Reuters on Wednesday.

The biodiesel market would need 13.9 million metric lots of crude palm oil to produce 16 million KL biodiesel next year, from the approximated 11 million lots required this year, he added.

Indonesia's most significant palm oil association GAPKI stated a decrease in exports suggested there would be sufficient basic materials to provide the B40 mandate in the meantime.

But the industry would need to examine "which one would be better", Eddy Martono stated, describing the possibility a boost in exports would make providing the domestic market less feasible.

Indonesia's palm oil output is estimated to reach 54.4 million lots in 2024, a 2.26% increase from in 2015, while exports are expected to decrease by 2.47% to 29.5 million heaps as domestic intake rose, driven by biodiesel required.

The ministry had evaluated the biodiesel, blended with 40% of palm oil, on a train for the very first time previously this week, while planning to evaluate the B40 mix on farming machinery, power plants and in the shipping market, it stated. (Reporting by Bernadette Christina and Dewi Kurniawati