Tall oil shortages to ease off.

The article reports that the markets for crude tall oil (CTO) and derivatives are anticipated to slide into balance in 2007, after more than a year of tightened supply. A supply shortage drove CTO prices to a record high in 2006 as pulp and paper mills began burning CTO as fuel rather than sell it to the chemical industry. Strong global demand for derivatives, particularly tall oil fatty acid (TOFA) and toll oil rosin (TOR) aggravated CTO tightness in 2006.