FCI Raises Alarm Over Sharp Surge in Green Diesel Prices

New figures from the Association of Farm & Forestry Contractors in Ireland (FCI) reveal that the average price of green diesel (marked gas oil) recorded its largest monthly increase since March 2026 during July, prompting renewed concerns about pricing practices within the fuel supply chain.

According to the latest FCI Agri-Diesel Price Index, average green diesel prices continued to climb throughout July, even as white diesel prices eased and, in some cases, returned to below their pre-war levels.

For farm contractors, diesel is not an optional cost: it is an essential input that powers harvesting, planting, cultivation and a wide range of agricultural operations. Unlike motorists though, contractors purchase fuel in bulk and therefore often have little choice over where they source their fuel, with many rural areas served by only a small number of suppliers.

FCI believes this lack of competition may be contributing to disproportionately higher price increases for agricultural diesel, raising questions about whether the recent rises can be fully justified by movements in wholesale fuel markets alone.

While white diesel remains more expensive overall because of road taxes and duties, its price has fallen steadily in recent months. In contrast, green diesel prices have remained at an all-time high, widening the gap between wholesale market trends and what agricultural users are paying.

FCI National Chair, Norman Egar, said:

"While white diesel prices fell back below pre-war levels at many filling stations during July, green diesel never returned to pre-war levels. That is difficult for contractors to understand and accept, especially given that both fuels originate from the same base product."

FCI National Chairperson Norman Egar

"The only real difference is that agricultural diesel contains a marker dye. There is no obvious justification for the scale of the price volatility we have experienced in recent months. Contractors, who depend on diesel every day to provide essential services to farmers, deserve greater transparency around how these prices are determined”, he added.

FCI are calling for greater scrutiny and transparency in the agricultural fuel market to ensure that green diesel prices accurately reflect underlying wholesale costs and that farm contractors are not disproportionately bearing the burden of unjustified price increases.