The major industrialized countries will use less oil this year and in 2009 than initially forecast, according to the International Energy Agency.

The Paris-based organization said Wednesday it has sliced by 160,000 barrels a day its forecast of oil consumption by the countries of the Organization of Economic Co-Operation and Development.

The energy group, which gives advice to its 27 member countries, now figures that the major developed economies will consume 48.4 million barrels of oil a day in 2008.

At that level, the main industrialized countries, such as Canada and the United States, will consume 1.4 per cent less oil and derivatives than they did in 2007.

The IEA now estimates that global oil demand will average 86.8 million barrels a day in 2008 and 87.6 million barrels a day in 2009.

In addition, the agency expects the United States to use about four per cent less oil in 2008, mainly because of lower economic growth. In its original forecast, the IEA predicted a drop of 2.3 per cent in American oil demand this year.

The International Energy Agency did not break out Canada's demand separately in its forecast. But, comparing Canada's oil usage this June with last June, the country is burning one per cent less energy in 2008 versus 2007.