Subscribe
to our newsletter

and select which news you want to receive

Big diesel price drop brings input cost relief for farmers

trekkers

Lloyd Phillips, Farmer’s Weekly, 7 October 2020

As things stand, South Africa’s summer crop farmers who hope to benefit from the significant drop in the diesel price from midnight on Tuesday, 6 October, are unlikely to have their orders interrupted or delayed.

This was according to Grain SA’s senior economist, Corné Louw, who said that he had not received any reports of diesel production and supply concerns from the South African Petroleum Industry Association (SAPIA), or from the road freight industry.

An announcement by the Minister of Mineral Resources and Energy, Gwede Mantashe, indicated that the wholesale diesel price was set to drop 90c/ℓ for diesel with 0,05% sulphur content, and 93c/ℓ for diesel with 0,005% sulphur content.

Mantashe said that these decreases were due to the combination of the rand’s average appreciation against the US dollar, a drop in the average Brent Crude oil price, and the decline in average international prices for refined fuels.
Read more

Share on facebook
Share on twitter
Share on linkedin