Dec 1 (Reuters) - Indian soyoil futures NSOZ6 were on track to close higher for a second straight day as a weaker rupee pushed import costs higher and lower crushing thinned supply.

The December soyoil futures rose to 726.60 Indian rupees ($10.63) per 10 kg on Thursday at 1225 GMT, a day after the contract rose to its highest intraday level in about 2-1/2 years.

However, soft commodities such as rapeseed and sugar continued to be volatile.

Indian sugar futures NSMZ6 slumped by more than one percent to 3,418 rupees after snapping an eight-day losing streak on Wednesday.

The volatility in sugar prices in India is due to the cash crunch faced by debt-ridden sugar mill owners in the central Indian state of Uttar Pradesh and the anticipation of higher production this season, a trader said.

The December rapeseed contract NRSZ6 was down about 1 percent on Thursday, at 4,788 rupees per 100 kg, due to profit-taking.

SOYBEAN



* The December soybean contract NSBZ6 was largely flat at 3,115 rupees per 100 kg.



CORN, WHEAT



* December corn futures NMZFZ6 lost about 0.5 percent to close at 1,434 rupees per 100 kg, while the December wheat contract NWTZ6 fell 0.3 percent to 2,019 rupees per 100 kg.

($1 = 68.3599 Indian rupees)

(Reporting by Sudarshan Varadhan in New Delhi; Editing by Vyas Mohan) ((Sudarshan.Varadhan@thomsonreuters.com ; +911149548059; Reuters Messaging: sudarshan.varadhan.thomsonreuters.com@reuters.net))