This study demonstrated the potential use of local palm fatty acid distillate (PFAD) as alternative feed-stock for fatty acid methyl esters (FAMEs) production and the possibility to replace the conventional acid-catalyzed esterification process (with H(2)SO(4)), which was industrially proven to suffer by several corrosion and environmental problems, with non-catalytic process in supercritical methanol. At 300 degrees C with the HAD to methanol molar ratio of 1:6 and the reaction time of 30 min, the esterification of PFAD in supercritical methanol gave FAMEs production yield of 95%. Compared with transesterification of purified palm oil (PPO) in supercritical methanol, the production of FAMEs reached the maximum yield of only 80% at 300 degrees C with higher requirement for methanol (1:45 PPO to methanol molar ratio). Compared with the conventional acid-catalyzed esterification of PFAD, only 75% FAMEs yield was obtained in 5 h. The presence of water in the feed (between 0 and 30% v/v) was found to lower the yield of FAMEs production from HAD significantly. This negative effect was proven to be due to the further hydrolysis of FAMEs, which nevertheless can be minimized when high content of methanol was used. (C) 2009 Published by Elsevier Ltd.