Norfolk farmers warn of production 'squeeze' if oil prices stay high
It comes as the price of heating oil- used to power most machinery- sits at the highest it's been in four years
Last updated 11 hours ago
Local farmers are warning that domestic food production could be squeezed- if heating oil prices remain high.
The price of it fell slightly yesterday, after a sharp spike, and will affect prices of kerosene and red-diesel that are used across the agricultural sector, including to power most machinery.
It's also a type of resource that over 150 thousand households in Norfolk rely on.
The Chancellor's meeting with energy bosses and regulators to ensure prices remain fair.
"You've got a perfect storm of all your outputs going up"
Will Sargent lives and work just south of Norwich:
"This could add a massive, massive cost to rural businesses and those living rurally as well. They will have a certain budget for what they are going to spend and this has doubled that budget.
"It can become unaffordable for some people to heat their homes.
"We are struggling to sell our produce for the cost of production. So, a lot of it is going to leaving the farm at a loss.
"That's before the upcoming increase in heating oil and energy costs. You're going to see standing charges going up significantly soon as well. You've got a perfect storm of all your outputs going up significantly.
"The volatility is still very worrying"
Patrick lives and farms near King's Lynn:
"Heating oil rises are a concern. Luckily we filled up our stocks in November and we won't have to buy some more until September or October.
"But the volatility is still very worrying"
"If there were to be a price cap introduced here then people using kerosene would not be impacted as they are now.
"It would take out some of the volatility over the short-term".