Governor Jeff Landry issued an executive order to allow Louisiana farmers and timber harvesters to use dyed diesel on vehicles that use public roads and highways. The order suspends the penalty for using off-road fuel in licensed highway vehicles through October 22nd.
Louisiana Farm Bureau President Richard Fontenot says this is important, because dyed diesel is nontaxable, which will help producers combat record high diesel prices.
“This allows us, as producers, to finish taking our crop in, and our timber industry to finish bringing those crops in with these escalating fuel prices,” Fontenot explained.
Diesel prices are at an all-time high, averaging over $6 a gallon across Louisiana. Fontenot says that record cost affects expenses for farmers across the board, especially during peak harvesting time.
“We’ve probably doubled the expenses of where we are historically, for the last 20 years, with these fuel prices; and all those affect the bottom line of what we can and can’t do,” Fontenot noted.
As price takers, farmers are having to eat the record energy costs. Louisiana Agriculture and Forestry Commissioner Dr. Mike Strain says the rise in diesel costs came at a bad time.
“Even with high-yield corn at 200+ bushels per acre, they’re going to break even on maybe make a few dollars; but this hard, because this is right at harvest,” Strain said.
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