Farming Costs Skyrocket: Fuel +90%, Fertilizers +82% in Six Years

La Unió Llauradora warns that Valencian farmers face summer with soaring expenses not reflected in producer prices.

Generic image of agricultural machinery with Mediterranean landscape in the background.
IA

Generic image of agricultural machinery with Mediterranean landscape in the background.

Valencian farmers and ranchers are facing the summer months with significantly higher production costs than six years ago, as warned by La Unió Llauradora i Ramadera.

The situation becomes particularly critical during the summer, a time when many farms increase their needs for water, energy, fuel, and other inputs. Official data from the Ministry of Agriculture shows that the general price index paid for goods and services used in agricultural activity stands at 129.54 (with 2020 as base 100), indicating that agricultural inputs are nearly 30% more expensive in general terms. However, some key costs have seen much sharper increases.
Fuel costs have risen by over 90% since 2020, while fertilizers have increased by 82% and energy by 48%. Other significant rises include machinery maintenance and repair (+39%), phytosanitary products (+29%), and general operating expenses (+28%). The surge in fertilizers, especially nitrogen-based ones costing more than double what they did four years ago, is particularly concerning. For instance, urea has gone from 52.69 to 72.84 euros per 100 kilos in one year, an increase of 38%.
This scenario affects both irrigated crops, where water and energy costs for pumping increase, and dryland crops, where fuel, machinery, and fertilizers remain significant expenses. In the livestock sector, daily costs for feeding, watering, and caring for animals keep feed, fuel, electricity, and veterinary service costs high.
La Unió Llauradora also points out that the inflation in costs is not adequately reflected in the prices producers receive. While fuel and fertilizers are 90% and 82% above 2020 levels respectively, the farm-gate prices for many products do not compensate for this increase. The price differentials between origin and destination are 321% for zucchini, 385% for lettuce, 424% for lemons, and 423% for pork, highlighting the need to strengthen the food chain to ensure fair remuneration.
Given this situation, the organization calls for the effective application of the Food Chain Law to prevent the weakest link from disproportionately bearing cost increases. Carles Peris, Secretary General of La Unió, emphasizes that "producing food today costs much more than six years ago, and many of these extra costs are directly borne by the farmer or rancher."
As structural measures, La Unió advocates for the creation of a professional agricultural fuel tax with reduced taxation, as well as measures to lower energy bills through promoting self-consumption, renewable energies, and modernizing irrigation systems. They also request action regarding the sharp increase in fertilizer prices and a strategy to reduce external dependence on essential raw materials.