American ranchers are victims of a 65% jump in the price of diesel
A 65% jump in the price of diesel in America after the war with Iran has brought American ranchers to the brink of bankruptcy. The post American ranchers are victims of the 65% jump in diesel prices appeared first on Safir Arjan.
According to Ambassador Arjan, ABC News warned in a report today (Friday) that the jump in the price of diesel in the United States, along with the increase in production costs, has put additional pressure on ranchers and agricultural activists; So that some of them can no longer bear the increase in the cost of fuel and have to pass this price jump to the customers.
The average price of a gallon of diesel hit $6.32 on Thursday, up more than 65 percent since the war against Iran began in February, according to data from the American Automobile Association.
The increase in the price of fuel has occurred in a situation where the machines and cars used in different sectors of agriculture and animal husbandry are dependent on diesel and increase the cost of transportation and production.
One rancher struggling with these conditions is Scott Belden, 55, of Broken Arrow, Oklahoma. He, who offers fodder harvesting services in addition to cattle breeding, says that the cost of fuel and other production inputs has gone out of control and has made it difficult for him to continue his economic activity.
Belden uses between 90 and 100 gallons of diesel per day during the harvest season because all of his vehicles and equipment run on it.
According to him, the increase in the price of diesel fuel has added between 1,000 and 1,400 dollars to his business expenses and has practically turned fodder harvesting services into a loss-making activity.
He says that he has no choice but to buy diesel to continue his activity, but it is not possible to transfer all additional costs to customers; Because they are also facing economic pressures. Belden warns that if fuel prices are not contained quickly, more businesses will be forced to cover the loss from their financial resources; A situation that cannot continue for a long time.
Rising cost of living and economic pressure have become one of the main concerns of voters on the eve of mid-term elections for the US Congress.
Belden, who voted for Donald Trump three times, believes that high fuel prices could hurt Republicans.
He describes diesel as the lifeblood of the American economy and says that almost all consumer goods, from food and clothing to other products, are moved by diesel vehicles.
Despite his previous support for Trump, Belden says his decisions have contributed to higher fuel prices and welcomes the election of a new president in the future.
According to this report, Trump sees the increase in fuel prices as the price of preventing Iran from obtaining a nuclear weapon and has promised that the prices will decrease quickly after the end of the war.
He also identified Ukraine's attacks on Russia's energy infrastructure as the cause of increasing pressure on the fuel market.
Last week, Trump reached an agreement with Russian President Vladimir Putin to import 300,000 tons of Russian diesel and promised more shipments.
However, experts believe that these imports will have a limited effect on reducing prices. Belden also doesn't expect prices to drop quickly, saying fuel usually gets more expensive quickly, but it will take longer to come down.