Palm | Kelapa Sawit

KUALA LUMPUR, Jan 18 (Reuters) - Average palm oil prices are set to decline in 2012 for the first time in three years, squeezed by ample supply from Southeast Asia and faltering demand as global growth weakens because of Europe's debt crisis.

A median poll of 25 analysts tracking top palm oil producers Indonesia and Malaysia showed 2012 price expectations for the tropical oil stood at a median 3,000 ringgit ($960) per tonne, unchanged from a survey conducted in July.

The forecast goes 7.3 percent lower than a record average of 3,237 ringgit per tonne notched last year, when most of the gains came from floods swamping estates in Malaysia in early 2011 at a time of strong demand.

Analysts say the scenario is now different, with Malaysia's opening palm oil stocks well above 2 million tonnes and La Nina-driven rains in late 2011 having a very muted impact on output this year.