MN Diesel Prices Soar to All-Time High Amid Global Tensions

Diesel prices in Minnesota have reached an all-time high of $6.26 per gallon, according to GasBuddy.

The record-breaking price is attributed to geopolitical tensions between Ukraine and Russia, as well as refinery outages in Chicago, said Patrick De Haan, Head of Petroleum Analysis.

This comes at a critical time for farmers, who are preparing for the harvest season. De Haan warned that the high diesel prices will trickle down to consumers and increase grocery store prices.

Edward Usset, a grain market economist from the University of Minnesota, noted that fuel costs have averaged 4% of direct costs for farmers over the past decade, but emphasized that diesel prices impact other expenses such as seeds, fertilizers, and chemicals. He also stated that corn and soybean prices have recovered nicely in recent weeks.