25/01/2007 (The Economic Times), Mumbai - Soyoil futures rose on Friday after Indonesia raised its base export price for rival palm oil, a move that could push up domestic prices as the country imports 40 per cent of its vegetable oils.

At 3:15 pm the February contract on the National Commodity and Derivatives Exchange was up 1.17 per cent at Rs 589.80 per 10 kg. The March contract rose 1.39 per cent to 595.80.

Indonesia raised base export prices for crude palm oil to $944 a tonnes in February from $869 a tonne in January. Base export price is used to calculate tax paid by the exporters.

"The hike in base export price will make imports expensive and push up domestic prices," an analyst with ICICI Direct said.

India buys crude palm oil from Malaysia and Indonesia, while soyoil is mainly imported from Argentina and Brazil. Soyoil prices in the spot market in the central city of Indore rose 1.27 per cent to Rs 56,000 per tonne on the Indonesian move.

In Malaysia, the April palm contract was up 0.59 per cent at 3,224 ringgit per tonne.