Opec expects stronger demand than previously forecast for its oil next year as low prices start to curb output from high-cost producers such as US shale companies.The production cartel now expects demand for its crude will top 30m barrels a day in 2016, an increase of about 1m b/d from this year, as its strategy of keeping the taps open and squeezing non-Opec suppliers shows signs of working. The revisions came after the International Energy Agency, the body that advises western governments on energy policy, said Opec’s “no cut” policy was finally gaining traction. However, Opec did not go as far as the IEA, which claimed the collapse in oil price has slammed the brakes on the US shale industry with a rebound in output in the coming months looking “elusive”. “US oil production has shown signs of slowing. This could contribute to a reduction in the imbalance of oil market fundamentals, however, it remains to be seen to what extent this can be achieved in the months to come,” Vienna-based Opec said in its monthly report. Opec now expects US shale, or tight oil, production will grow by only 50,000 b/d next year, down from 450,000 b/d this year.