'Green' diesel prices reportedly down 11c/L in places

Agricultural diesel prices have experienced an unusual change over the last number of weeks in light of the coronavirus outbreak in China.

With imports into and exports out of China coming to a standstill over the last month, this has created a large surplus of oil across the global market, sources told AgriLand.

Imports

It is understood that, for oil merchants who import their diesel on a daily basis, there have been significant price drops on “green” agricultural diesel prices.

Alternatively, companies who import large quantities of oil less frequently may still be trading at the higher prices that were seen on the market before trade in China came to a halt.

The expectation is that, once demand for oil returns in the Chinese market, prices will return to their “normal” rate.

Price of ‘green’ diesel in Ireland today

AgriLand spoke to a number of agricultural diesel merchants across the country this week, with reports of lower prices emerging as of late.

There appears to be some value to be found from shopping around for “green” diesel in Ireland at the moment with a range of prices being reported.

Some merchants quoted the price of agricultural diesel to be sitting at 72c/L including VAT.

While this was said to be a 10-11c/L fall in price from a month previous, there were even lower prices reported elsewhere.

Prices tended to vary depending on the quantity ordered also. One firm said an order of 500L would cost €360 including VAT or 72c/L. This per litre rate would apply up as far as 800L, after which prices fell to 69c/L, meaning an order of 1,000L would amount to €690 including VAT.

One particular merchant reported prices of 55c/L excluding VAT, working out at circa 62c/L including VAT. This was by far the lowest prices reported.

According to the prices above, 500L of agricultural diesel would cost circa €312 including VAT, with 1,000L amounting to double that – €624.