Somali government fighters, backed up by Ethiopian troops, have attacked Islamist positions sparking heavy fighting, an Islamist leader says.
The clashes have occurred in Dinsoor, 110 kilometres (70 miles) south-west of government base Baidoa.
Islamist leader Sheik Sharif Sheik Ahmed called on all Somalis to "stand up and defeat the enemies".
The fighting come two days after the UN approved plans to send peacekeepers to
If the Ethiopian involvement is confirmed, it would be the first time that Islamist and Ethiopian troops have come into direct contact.
Observers have long feared a regional conflict breaking out in
'Many deaths'
Deputy Defense Minister Salat Ali Jelle confirmed the fighting to the BBC but denied that Ethiopian troops were involved.
The BBC's Mohammed Olad Hassan in the capital,
He says telecommunications to Dinsoor have been cut off.
An Islamist commander in the area, Sheikh Mohamed Ibrahim Bilal, told the AFP news agency: "I don't have the exact toll, but I am told many people have died."
Mr Ahmed said the attack had been repelled.
"Our forces have been raided by Ethiopian troops, so people get up and fight against the Ethiopians," he said after Muslim Friday prayers in
The Union of Islamic Courts (UIC) has taken control of most of southern
On Thursday, UN Secretary General Kofi Annan said African nations who will contribute to the proposed force should persuade the UIC that it would not be an "invasion force".
"It is important that we get the Somalis to understand that the force is coming in to help," he said.
The resolution proposes sending an African protection force to Baidoa and easing an international arms embargo on
The US-led resolution, adopted unanimously by the 15-nation Security Council, said the government represented "the only route to achieving peace and stability" in
The Islamists have also accused
One pro-government fighter was reportedly killed in the clashes.
'Front-line states'
Despite the exclusion of the "front-line states" the UIC still reject the idea of foreign peacekeepers, saying Islamic laws have already brought stability to areas they control.
"Deploying foreign forces to
However, observers believe it will be a long time before any peacekeepers arrive and say the UN resolution may be primarily intended to show symbolic support for the government.
The East African body, Igad, which is supposed to supply the troops is understood to be split over the idea.
The government and the UIC are due to hold peace talks in
The
A recent UN report accused several countries, including
Photo Caption
Government troops