A new report from Farm Credit Canada says record-high diesel prices are squeezing already tight margins for farmers.
It estimates a 2,000-hectare canola farm in Saskatchewan would see its fuel bill rise by between $68,000 and $106,000 in 2026.
Natural Resources Canada says the national average price for a litre of diesel averaged $2.68 for the week ended Tuesday, up from $1.50 during the same week of 2025.
Getting crops to market is also getting costlier, with fuel service charges now accounting for 45 per cent of moving freight by truck.
As for how that filters through to grocery bills, the report says diesel costs are only one contributor to food inflation and that impact hasn’t been felt yet.
Farm Credit Canada is a Crown corporation that provides financing and advisory services to agriculture and agri-food businesses.
This report by The Canadian Press was first published Oct. 22, 2026.