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

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

"We hope the trials could be finished in December, so that full implementation of B40 might be carried out in 2025," energy ministry senior official Eniya Listiani Dewi said in a statement on Tuesday.

The Indonesian Biofuel Producers Association (APROBI) said the market had the capacity to meet B40 need, with set up capacity expected to increase to 20 million KL every year next year from 18 million KL now.

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

The biodiesel industry would need 13.9 million metric loads of unrefined palm oil to produce 16 million KL biodiesel next year, from the estimated 11 million tons needed this year, he included.

Indonesia's biggest palm oil association GAPKI said a decrease in exports suggested there would be adequate basic materials to supply the B40 mandate in the meantime.

But the industry would need to examine "which one would be better", GAPKI chairman Eddy Martono stated, describing the possibility an increase in exports would make supplying 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 last year, while exports are anticipated to decrease by 2.47% to 29.5 million lots as domestic consumption increased, driven by biodiesel mandate.

The ministry had actually checked the biodiesel, mixed with 40% of palm oil, on a train for the very first time previously this week, while preparing to test the B40 mix on agriculture equipment, power plants and in the shipping industry, it said. (Reporting by Bernadette Christina and Dewi Kurniawati; Writing by Stanley Widianto; Editing by John Mair, Savio D'Souza and Barbara Lewis)