California Fuel and Fertilizer Costs and Global Food Prices Rise
From the Farm Information Network, I’m Bob Larson with your agri-food update.
** Rising fuel and fertilizer costs are impacting California farmers and could create uncertainty in the food market.
Just over a year ago, a gallon of diesel tractor fuel cost an average of $ 3.25, and now it costs about $ 4.50.
The cost of fuel has tripled since 2020 for airplanes used for agricultural applications.
Farmers say the trend could affect supermarket product selections if they have to change planting decisions because of the costs.
** USDA announced final pandemic assistance payments for the lumber industry starting this week.
USDA will provide $ 200 million through pandemic assistance to loggers and haulers, loggers and log trucking companies.
The funds are intended for companies that suffered a loss of gross revenue of at least 10% in 2020, compared to the previous year.
Eligible applicants must have earned at least 50% of gross income from timber harvesting or transportation.
** World food prices rose for a fourth consecutive month in November, driven by strong demand for wheat and dairy products.
According to the Food and Agriculture Organization of the United Nations, the FAO food price index averaged 134.4 points in November, its highest level since June 2011 and 1.2% higher to that of October.
www.agrimarketing.com, the index tracks monthly variations in international prices of commonly traded food products.
The index for November was 27.3% higher than the previous year.