Record-high diesel prices add pressure for Missouri farmers
COLUMBIA, Mo. (KMIZ)
Diesel prices reached record highs again in Missouri and Columbia on Monday, putting more burden on farmers already facing high operating costs and tight profit margins.
AAA reported Missouri’s average diesel price at $5.91 per gallon Monday, up more than 36 cents from $5.549 one week ago. The statewide average has increased nearly 94 cents from $4.972 one month ago and about $2.50 from $3.406 one year ago.
AAA lists Monday’s statewide average as the highest diesel price recorded in Missouri.
“Record diesel prices are another significant blow to farmers who are already dealing with historically high input costs and tight margins,” Missouri Farm Bureau President Garrett Hawkins said in a statement to ABC 17 News. “Fuel touches nearly every part of a farm operation, from running tractors and combines to hauling grain, livestock and supplies. When diesel prices rise, the cost of producing food rises with them.”
Hawkins said farmers are often unable to pass their increased operating expenses directly to customers.
“Farmers are price takers,” Hawkins said. “We don’t get to simply pass higher fuel, fertilizer, seed and equipment costs along to our customers. Those expenses come directly out of the farm’s bottom line.”
Columbia’s average diesel price also reached a record high Monday at $5.903 per gallon. That is up more than 39 cents from $5.510 one week ago and more than $1 from $4.891 one month ago.
Diesel averaged $3.449 per gallon in Columbia one year ago.
Some stations in Mid-Missouri are selling diesel for $6 per gallon or more.
GasBuddy reported the national average price of diesel increased 31.6 cents during the past week to $6.183 per gallon.
Patrick De Haan, head of petroleum analysis at GasBuddy, attributed the increase to several international developments, including tensions between the United States and Iran, hostilities in the Red Sea, the shutdown of Saudi Arabia’s East-West pipeline and attacks that took two Russian refineries offline.
“Diesel prices could climb even faster in the wake of the new refinery attacks,” De Haan said. “While most of the country transitions to cheaper winter-blend gasoline this week, the scale of ongoing geopolitical escalations makes meaningful price relief unlikely in the near term.”
Gasoline prices are also increasing across Missouri.
GasBuddy reported Missouri’s average gasoline price increased 15.9 cents during the past week to $3.99 per gallon Monday. The statewide average is 15 cents higher than one month ago and $1.11 higher than one year ago.
The national average price of gasoline increased 17.2 cents during the past week to $4.25 per gallon. That is 19 cents higher than one month ago and $1.14 higher than one year ago.
