Farmers across the Prairies weigh in on soaring diesel costs

Canadian Prairies (Rural Roots Canada) – As diesel prices remain high across the country, farmers across the Prairies are sharing their thoughts with Rural Roots Canada.

We asked farmers in several Facebook groups how higher fuel costs are affecting their operations, whether they’re changing how they operate because of diesel prices, or whether it’s simply a cost they have no choice but to absorb.

Kirk Erickson, from Bonnyville, Alberta, says it’s a big hit to the bottom line.

“Combine took 225 litres today. Definitely felt that one. We will likely till less land and rely more on herbicide to control weeds instead of the cultivator,” says Erickson.

That sentiment was echoed by Saskatchewan farmer Lee Fortin.

“Our $2,000 a day budget to harvest this crop has exploded to $4,000-$5,000 a day. I don’t need to be an economist to know that’s very bad for the bottom line.”

Brian Allison, a farmer from Red Deer, Alberta, tells RRC there’s little he can do about the price of diesel.

“We just have to bite the bullet and pay the bill,” he says. “The one change we are looking at is being more selective about fall harrowing. We’ll attempt to do only what absolutely has to be done. Diesel prices are certainly going to increase freight costs.”

“Our fuel bill for the whole year is now what it takes just to run the combine,” says Saskatchewan-based farmer Joel Bailey. “No choice but to absorb it… can’t pass it on.”

Read more: ‘Fluid Situation’: Fertilizer Canada monitoring costs as conflict in Iran rages on

Clarice Hambly runs a small cow-calf operation near Wildwood, Alberta. She says the price of diesel impacts every facet of the operation.

“The prices have hit hard! Usually, we sell calves when they get to our desired market weight, but this year we are waiting until we have a trailer load because it is an hour’s drive to the sales barn. This means we will get a lower price for the heavier calves and increased feed costs as we hold the older calves.”

Ashley Kira Sicard, also near Wildwood, says it’s a difficult situation for all farmers.

“I bought straw bales off a man yesterday that told me he couldn’t afford to fuel up his tractors anymore,” she relates. “Made me sick to my stomach hearing that.”

Auston Fullerton, from Saskatchewan, was succinct.

“Is there another option other than to absorb it?” he asks. “Combines don’t run on fairy dust.”

As fuel prices rose last Spring, Ottawa introduced a temporary suspension of the federal fuel excise tax, which has since been extended through January. It will collect 50 percent of the regular excise tax rate from the start of February until the end of March 2027.

Meantime, the Conservative Party of Canada is calling on the feds to adopt an emergency Diesel Price Relief Action Plan, arguing that high diesel prices are increasing costs for farmers, businesses and consumers and exposing weaknesses in Canada’s fuel supply system.

Globally, diesel supplies are tight. Refining capacity and inventory haven’t been able to keep up with demand. The Iran conflict and the ongoing war between Russia and Ukraine have also made the situation even more difficult.

The post Farmers across the Prairies weigh in on soaring diesel costs first appeared on Rural Roots Canada.