Minnesota Farmers Ride Crop Price Highs, but Diesel Costs Loom as Threat

Farmers in Minnesota are benefiting from high corn and soybean prices, which have reached some of their best levels in three years. However, rising diesel costs above $6 a gallon could threaten profitability.

University of Minnesota crop economist Ed Usset notes that while higher costs may reduce profits compared to previous years, farmers should still make money this harvest season.

The surge in crop prices is attributed to tight U.S. supply and resumed purchases from China, one of the largest buyers of Minnesota soybeans. The ongoing war between Russia and Ukraine has also boosted grain prices due to diminished export capacity.