Indian oilseeds and soyaoil futures jumped on Friday after the government raised import duties on crude and refined edible oils, and on an expected drop in rapeseed production. India has raised the import tax on crude edible oils and refined oils by 5 percentage points each to protect local farmers from rising imports.
Indian rapeseed futures rose to their highest in 26 months, while soyabeans hit their four-month high. Soyaoil rose to its highest in more than three months. A rise in Malaysian palm oil also underpinned sentiment. Palm oil futures hit their highest in over a month as fears of floods disrupting supplies in the world's second-largest producer outweighed earlier losses.
The key January rapeseed contract on the National Commodity and Derivatives Exchange ended up 1.64 percent at 4,327 rupees per 100 kg, after rising to 4,335 rupees earlier in the day, the highest since October 29, 2012. The January soyabean contract rose 1.3 percent to 3,402 rupees per 100 kg, after rising to 3,457 rupees earlier in the day, the highest since August 22. At 1211 GMT, the key January soyaoil contract was up 3.68 percent at 633.40 rupees per 10 kg, after rising to 634.5 rupees, the highest since September 19. Oilseeds and soyaoil futures could ease in the next session on profit-taking.