Diesel prices in the U.S. have climbed above $6 per gallon for the first time, reaching a national average of about $6.05 compared with $3.70 a year ago. The increase comes as the war with Iran and other global conflicts disrupt oil supplies and push crude prices above $100 per barrel. Because diesel powers much of the country’s trucking, freight, farming, and delivery networks, businesses are already facing higher transportation costs, with some passing those expenses on to consumers. Grocery prices could be particularly vulnerable, especially for meat, produce, and other foods that require frequent transportation or diesel-powered farm equipment.
Why This Matters:
Diesel is the fuel that keeps much of America’s supply chain moving, so record prices do not stay at the pump. Higher transportation and farming costs can work their way into grocery prices, delivery fees, and the cost of everyday goods, adding more pressure to household budgets. With diesel now more than $2 per gallon higher than a year ago and global fuel disruptions continuing, keeping food storage at home can help reduce dependence on increasingly expensive and unpredictable supply chains.
Read the full article here.
Source: NPR
By: The Associated Press
