By Daniela Julia-Cano, FOX23.com News Staff
AFTON, Okla. — Diesel prices are hitting record highs in Oklahoma, putting added pressure on farmers, truck drivers and other businesses that rely on the fuel to keep moving.
AAA Oklahoma said the statewide average for diesel reached $5.87 a gallon on Wednesday, which is around $2.60 more than last year’s average of $3.37
The national average for diesel was $6.31 a gallon.
In the Tulsa area, AAA reported an average of $5.95 a gallon.
A stop in Vinita showed diesel selling for $5.89 a gallon, while a station in Afton had diesel priced at $5.99.
For farmers, the higher prices can quickly add up.
Dillon Johnson, a farmer with Johnson Brothers Grain and Livestock in Afton, said his operation farms more than 5,000 acres and runs more than 1,000 head of cattle.
The operation uses diesel for tractors, combines, trucks and other equipment.
Johnson said the farm purchases between 50,000 and 60,000 gallons of bulk diesel each year.
“Every single thing I mentioned involves putting diesel in the tank,” Johnson said.
Johnson added that higher fuel costs are making it harder to plan for the future.
“It’s tough. That affects our long-term planning. It affects profitability for this year, but also expansion plans.”
One tractor used by the operation can hold more than 400 gallons of diesel.
At current prices, filling a tank that size can cost thousands of dollars.
Johnson said farmers also have limited options when it comes to simply using less fuel.
“We can’t really continue to operate at the level we are and run less equipment and burn less fuel.”
The higher diesel prices also extend beyond the farm.
Johnson said trucking companies are increasing rates to help cover their higher fuel costs.
He said truckers may charge an additional $1.00 to $2.50 per mile, depending on the circumstances.
“And everything that you see in a store has been on a truck at some point.”
AAA Oklahoma said global crude oil market volatility is contributing to higher fuel prices.
The organization said geopolitical conflicts and changes in the global oil market can affect crude prices, which then impact what drivers pay at the pump.
For now, Johnson said his operation is watching the market closely as it tries to plan around higher fuel and other input costs.
