Impact of Iran Conflict Increasingly Felt: UK Limits Diesel Distribution, Ireland Considers Fuel Subsidies

REPUBLIKA.CO.ID, JAKARTA — Wholesale diesel traders in the UK have begun limiting sales to farmers, according to a Telegraph report citing industry associations on Tuesday (24/3). Fuel retailers are reducing order volumes to meet as many demands as possible, from the previous 10,000 litres per farmer to around 2,000 litres, said Patrick Crehan, Fuel Procurement Manager at Anglia Farmers. According to Crehan, the restrictions so far are affecting Scotland and the Essex region east of London. Farmers in Scotland say retailers are only selling up to 500 litres of diesel per customer. The National Farmers’ Union states it is monitoring the situation, but there have been no reports of widespread problems related to diesel or fertiliser supplies. According to RAC, one of the country’s largest automotive service companies, diesel prices in the UK have risen 17 per cent since the start of the escalation related to Iran, while petrol prices have increased 9 per cent. Agricultural machinery in the UK uses red diesel, which is subject to lower tax rates.