JAKARTA, July 24 (Reuters) - Indonesia, the world's biggest palm oil producer, 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 implemented, the B40 required could increase biodiesel usage to up to 16 million kilolitres (KL) next year, the ministry said, from 13 million KL approximated to be consumed in 2024.

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

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

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

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

Indonesia's biggest palm oil association GAPKI stated a decline in exports meant there would be adequate basic materials to supply the B40 mandate for now.

But the industry would need to assess "which one would be more valuable", GAPKI chairman Eddy Martono said, describing the possibility a boost in exports would make providing the domestic market less feasible.

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

The ministry had actually evaluated the biodiesel, combined with 40% of palm oil, on a train for the very first time earlier this week, while preparing to evaluate the B40 mix on farming machinery, power plants and in the shipping market, it said. ( by Bernadette Christina and Dewi Kurniawati; Writing by Stanley Widianto; Editing by John Mair, Savio D'Souza and Barbara Lewis)