By Faith Parum, Ph.D. and Cameron Castillo
American Farm Bureau Federation
Diesel is used throughout agricultural production, powering tractors, combines, irrigation equipment and the trucks that move crops, livestock and farm inputs. With diesel prices rising sharply in recent weeks, fuel costs have become an even larger concern during one of the most fuel-intensive periods of the year.
A recent Farm Bureau analysis detailed the global supply disruptions and tight fuel markets behind the increase in diesel prices. For farmers, the effects show up directly in the cost of operating equipment and indirectly through higher transportation costs.