A farmer and contractor in the south-east of the country purchased ‘green’ agricultural diesel last week for just circa 46c/L excluding VAT (circa 52c/L including VAT), according to a receipt of sale seen by AgriLand.

Last week saw a notable decline in the price of green diesel in Ireland on foot of a “price war” between two of the world’s major crude oil suppliers – Russia and Saudi Arabia.

AgriLand contacted several diesel merchants last week, some of whom were quoting circa 54c/L excluding VAT (62c/L including VAT) for ‘green’ diesel – for larger orders (i.e. 1,000L or more).

The contractor in question made a purchase of 2,659L, with the overall price working out at €1,377.40, including VAT of €163.83.

This drop in crude oil prices comes amidst a recent row between Russia and Saudi Arabia, whereby the latter has embarked on a price war against the Russians – previously “viewed as an ally” of sorts.

As of this article’s publication, crude oil prices are hovering just below $30/barrel, continuing a decline from late last week, when the price stood at around $31/barrel.

It follows a trend of a downturn in the global economy since the World Health Organization (WHO) officially declared coronavirus (Covid-19) a pandemic.

When AgriLand reached out to diesel merchants for quotes last month (February), prices were said to be down at that point in the year. Now they appear to have fallen further.