The year 2001 is becoming another bearish year for some oils and fats, especially palm products. This is based on the fact that prices of these selected oils and fats were generally low in the first 10 months of 2001 compared to their prices in the same period of the previous year. Table 1 indicates that the average price of refined, bleached and deodorized (RBD) palm olein was down to US$ 307 t-1 in 2001 from US$ 361 t-1 in 2000. The price of cottonseed oil declined from US$ 495 t-1 in 2000 to US$ 415 t-1 in 2001. The prices of other oils and fats, namely palm kernel oil, coconut oil, RBD palm stearin, RBD palm oil (FOB Malaysia) and crude palm oil (CIF) also showed the same trend. In the case of the FOB price of soyabean oil, Table 1 indicates a reverse price pattern, as it was sold higher in 2001 at US$ 346 t-1 than its price in the same period of 2000 (US$ 342 t-1). Tallow is another commodity that showed an increase in price, selling at US$ 324 t-1 in 2001 against US$ 292 t-1 in 2000. Table 1 illustrates that the prices of these oils and fats (except soyabean oil and tallow) had continuously declined for the third