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

If executed, the B40 required could increase biodiesel usage to up to 16 million kilolitres (KL) next year, the ministry stated, from 13 million KL approximated to be consumed in 2024.

"We hope the trials might be completed in December, so that full application of B40 might be brought out in 2025," energy ministry senior official Eniya Listiani Dewi stated in a statement on Tuesday.

The Indonesian Biofuel Producers Association (APROBI) stated the market had the capacity to satisfy B40 need, with set up capacity expected to rise to 20 million KL annually next year from 18 million KL now.

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

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

Indonesia's greatest palm oil association GAPKI said a decline in exports meant there would be enough raw materials to supply the B40 required in the meantime.

But the industry would need to evaluate "which one would be better", GAPKI chairman Eddy Martono said, referring to the possibility a boost in exports would make supplying the domestic market less feasible.

Indonesia's palm oil output is estimated to reach 54.4 million loads in 2024, a 2.26% increase from last year, while exports are anticipated to decline by 2.47% to 29.5 million heaps as domestic consumption rose, driven by biodiesel required.

The ministry had actually tested the biodiesel, blended with 40% of palm oil, on a train for the first time previously today, while to check the B40 mix on agriculture machinery, power plants and in the shipping market, it stated. (Reporting by Bernadette Christina and Dewi Kurniawati