Record-high diesel prices are adding to farmers’ expenses and prompted the American Farm Bureau Federation (AFBF) to call for immediate federal relief.

AFBF President Zippy Duvall sent a letter Oct. 1 to President Donald Trump requesting the administration temporarily suspend the federal highway diesel tax for agricultural transportation and waive federal penalties for emergency use of dyed diesel on highways.

The national average on-highway diesel price has reached $6.38 per gallon, and farm diesel in parts of the country has climbed to nearly $6 per gallon.

“Higher diesel expenses are hitting farmers at one of the most fuel-intensive times of the year—harvest,” Duvall wrote. “Diesel is essential for the American economy and for farmers. Everything on the farm, from running tractors, combines and irrigation equipment to transporting crops, livestock and inputs requires diesel. Farmers and ranchers cannot postpone harvest or simply stop using diesel when prices rise.”

AFBF asked the administration to temporarily suspend the federal highway diesel tax for agricultural transportation. The federal tax and fees on highway diesel total 24.4 cents per gallon.

Farm Bureau also requested federal penalties be waived to allow emergency use of dyed diesel on highways.

Dyed diesel, also known as farm diesel, is generally exempt from federal highway taxes because it is used in tractors, combines, irrigation equipment and other off-road applications. Federal penalties can apply when dyed diesel is used in vehicles traveling on public roads.

Several states, including Texas, have temporarily eased restrictions as farmers face higher fuel costs during harvest.

Texas Gov. Greg Abbott issued a statewide disaster declaration Sept. 28 that temporarily suspended state restrictions on dyed diesel use on Texas roads. The declaration also increased allowable weights for certain fuel, agricultural and timber loads.

Alabama, Arkansas, Georgia, Indiana, Louisiana, Missouri, Nebraska, Oklahoma and South Dakota have taken similar steps to provide relief. But federal requirements remain in place and that limits how much relief states can provide on their own.

AFBF analysis shows the increase in diesel prices can add thousands of dollars to harvest expenses. Farm diesel increased about $2.60 per gallon from September 2025 to September 2026.

Farm Bureau estimates that increase adds about $5.28 per acre in diesel costs for cotton farmers. Rice farmers could see an additional $14 per acre, while corn farmers face an estimated increase of nearly $8 per acre. Actual costs vary based on acreage, production practices, equipment and other factors.

Higher diesel costs also affect agriculture through increased expenses to transport crops, livestock and farm inputs.

AFBF said removing the federal excise tax temporarily and waiving federal penalties on dyed diesel could provide more immediate relief during harvest.

“Farm Bureau stands ready to support the administration on practical solutions to reduce fuel costs for America’s farmers and ranchers,” Duvall wrote.

Read the full letter here.