The average price of U.S. diesel reached a new all-time high of $5.94 a gallon on Wednesday, up 4 cents from the prior record set Monday, according to AAA. That puts prices up 61% from a year ago, reports Agri–Pulse.
Kim Chipman with Agri-Pulse says “Ag economists are predicting another downturn for key crops this year as Congress struggles to get billions of dollars in federal aid to growers on top of roughly $12 billion in payments from the Trump administration.”
USDA raised its forecast for 2026 farm earnings last week, citing high receipts for key crops and government payments. However, renewed attacks between Iran and the U.S. are pushing up fuel prices. The volatility, Chipman says, is making it tough for ag producers to hedge against high fuel costs.
AgroLatam’s Emily Trask reported that “fuel is one of the most visible farm expenses because producers purchase it directly, but the actual economic impact extends much further.”
Source : Farm Equipment