Biodiesel production could account for as much as 25 percent of total soyoil consumption in the US, Argentina, Brazil and European Union in 2008/09, oilseeds analyst Oil World forecast on Tuesday. "This development is limiting soy oil export supplies on the world market already today and has contributed to wide price premiums over palm oil," the Hamburg-based group said.
The four regions in 2007/08 are forecast to have raised soyoil usage for biodiesel by 800,000 tonnes on the year to 3.5-3.6 million tonnes, or 22 percent of their total soy oil consumption, it said.
"In 2008/09, biodiesel production could account for as much as 25 percent or around 4.4 million tonnes of total soy oil usage in the countries," Oil World said. "Under this assumption, combined (2008/09) soyoil usage in the food sector of the four counties is expected to stagnate at 12.8 to 12.9 million tonnes, the same level as in the preceding two seasons."
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