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VEGOILS-Palm edges up on stronger crude oil, profit taking

* Palm up 0.6 percent on-week

* Market seen falling in longer term - trader

(Updates with closing prices, quotes)

By Emily Chow

KUALA LUMPUR, April 20 (Reuters) - Malaysian palm oil

futures made gains on Friday evening, their first in three

sessions, tracking strength in crude oil prices and as the

market saw profit taking in evening trade.

The benchmark palm oil contract for July delivery

on the Bursa Malaysia Derivatives Exchange rose 0.5 percent to

2,414 ringgit ($619.77) a tonne at the close of trade.

The market is also up 0.6 percent for the week, charting a

second week of gains in three.

Trading volumes stood at 41,199 lots of 25 tonnes each at on

Friday evening.

"The market is seeing some profit taking," said a Kuala

Lumpur-based trader, adding that gains in crude oil prices also

lent support to palm's prices. "Whenever crude reaches $70, it

will be supportive to palm."

Oil prices were set for a second consecutive week of gains

on Friday, buoyed by tightening supplies and continued support

from OPEC and its allies on supply cuts.

Palm oil's gains were weaker earlier in the day, but edged

up on the back of shipment data. Malaysia's palm oil exports

rose 2 percent between April 1-20 versus the corresponding

period last month, inspection company AmSpec Agri Malaysia on

Friday.

Cargo surveyor Societe Generale de Surveillance however

reported a 1.8 percent decline for the same period.

On a longer term outlook, palm oil prices are expected to

decline, said a futures trader earlier in the day.

"Moving forward, the market should be going down as

production picks up on seasonal pattern, and on a softening of

exports due to the reintroduction of export duties," he said.

Malaysia extended a duty suspension implemented at the start

of 2018 until end-April in a move to encourage demand to reduce

inventory levels and support prices.

The duties will resume in May at a 5 percent export tax

rate.

Palm oil production in top growers Indonesia and Malaysia in

April is forecast to rise on-month in line with seasonal trend.

Malaysian March output had rose 17.2 percent month-on-month to

1.57 million tonnes, its highest March production since 2000,

according to data from the Malaysian Palm Oil Board.

(MYPOMP-CPOTT)

In other related oils, the Chicago Board of Trade's July

soybean oil contract slightly rose 0.03 percent, while

September soybean oil on China's Dalian Commodity Exchange

was also up 0.03 percent.

The Dalian September palm oil contract edged down

0.04 percent.

Palm oil prices are affected by movements in rival edible

oils, as they compete for a share in the global vegetable oils

market.

Palm, soy and crude oil prices as of 1120 GMT

Contract Month Last Change Low High Volume

MY PALM OIL MAY8 2410 +22.00 2385 2420 1771

MY PALM OIL JUN8 2416 +13.00 2394 2421 5325

MY PALM OIL JUL8 2416 +11.00 2393 2422 16810

CHINA PALM OLEIN SEP8 5010 -2.00 4996 5040 277682

CHINA SOYOIL SEP8 5810 +2.00 5800 5846 382256

CBOT SOY OIL JUL8 31.69 +0.00 31.57 31.74 5656

INDIA PALM OIL APR8 645.00 +1.90 643.00 646.8 415

INDIA SOYOIL APR8 765.3 +0.55 764.2 766 1900

NYMEX CRUDE MAY8 68.12 -0.17 67.97 68.62 2174

Palm oil prices in Malaysian ringgit per tonne

CBOT soy oil in U.S. cents per pound

Dalian soy oil and RBD palm olein in Chinese yuan per tonne

India soy oil in Indian rupee per 10 kg

Crude in U.S. dollars per barrel

($1 = 3.8950 ringgit)

($1 = 66.0200 Indian rupees)

($1 = 6.2915 Chinese yuan)

(Reporting by Emily Chow; Editing by Sunil Nair)

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