Prices for tractor diesel have fallen sharply in the past month. Buying groups, agri contractors and other large buyers were this week getting quotes of under 60c/l plus VAT. In early November equivalent prices were at 70c/l plus VAT. The drop over four weeks since then is approximately 14%.

The fall reflects the decrease in international oil prices, which is stemming from nervousness in financial markets about future global economic growth.

The addition of 13.5% VAT brings tractor diesel to 79c-80c/l. Meanwhile, white road diesel is on offer at 135c-136c, with 23% VAT delivered, for buyers wanting to fill a bulk tank.