28/2/06 JAKARTA (Asia Pulse) - The association of palm oil companies (Gapki) predicted the prices of crude palm oil (CPO) will hover around US$450 per ton this year.

The price would not dive lower than US$415 per ton and it could peak at US$490, Gapki chairman Derom Bangun told the newspaper Bisnis Indonesia.

Bangun said his forecast is based on the CPO price annual cycle.

Lately the price has surged to US$460 from US$430 and it will likely climb higher to US$490 on growing demand in the international market, he said.

The rising trend began after the trans fatty acid (TFA) label was made effective in the United States in January, 2006, boosting world demand for CPO.

Growing demands have been recorded in India, China and Pakistan. ADVERTISEMENT
 
 

(ANTARA)