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Bio-diesel firms are fired up by results of 'gutter oil' crackdown

By Zheng Caixiong (China Daily)

09:36, December 28, 2011

GUANGZHOU - The crackdown on gutter oil for edible use by the Ministry of Public Security in the past three months has proved a boon to bio-diesel companies in Guangdong province.

Zhou Kequan, deputy general manager of Foshan Zhenghe Bio-Energy Co Ltd, said many companies, which stopped producing bio-diesel from waste oil when the demand for recycled gutter oil from restaurants made it too expensive, now plan to restore production because the price of gutter oil has dropped in the wake of the crackdown in the past few months.

"Due to the crackdown on recycling gutter oil as cooking oil, most of the gutter oil is being used by bio-energy companies," Zhou told China Daily on Monday.

"The price for a ton of gutter oil is now less than 5,000 yuan ($793), compared with 6,000 yuan three months ago," Zhou said.

Gutter oil is made from the old oil discarded by restaurants and other eateries and it is so called because it is sometimes salvaged from sewers.

Following a special campaign launched across the country in September, police have smashed 60 gangs and criminal networks producing and selling gutter oil as edible oil and seized more than 60,000 tons of gutter oil.

There has been a dramatic reduction in the use of gutter oil for edible use after the crackdown in the past two months, police sources said.

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