Soyaoil and palm oil prices seen rising on demand

Soyaoil and palm oil prices are likely to rise because of strong demand partly caused by sluggish production of other edible oils and fats, Hamburg-based analysts Oil World said.
Global production of the 15 main edible oils and fats excluding soyaoil and palm oil was likely to rise by 3.0 percent in 2006/07, the lowest rate of increase in many years and sharply down from the 6.2 percent rise in 2005/06, it said.
If demand for all 17 main oils and fats continued to rise "the necessary additional supply will have to come partly from a further reduction of soyaoil stocks and partly from larger soyabean crushings," it said. Palm oil stocks were low. Substantial rises in soyaoil and palm oil prices were expected in 2006/07, it said.