Farmers should re-think energy needs: FCC

Even with oil now trading below US$40 a barrel, down from US$147 last July, Canadian farmers should prepare for higher energy costs in the longer term, Farm Credit Canada warns.

But today’s oil and gas prices give farm and agribusiness operators a chance to “re-evaluate their current energy practices and plan how they will manage their energy needs in the future,” said Brenda Frank, senior director of strategy and business insight for the federal farm lender.


“Throughout the world, energy supplies that are inexpensive, safe and easy to recover are increasingly scarce,” Frank said on the release Monday of a feature on the subject in FCC’s semi-annual Knowledge Insider publication. “Many experts agree that we are at or near peak oil production. These factors suggest that higher energy prices will likely return.

“This temporary respite from higher energy costs offers a window for agriculture producers and businesses to develop a transition plan that will help them succeed in the energy environment of the future,” she said.

Grainews