Farmers say Indiana diesel order could save thousands of dollars DANVILLE, Ind. — A corn and soybean farmer said Thursday morning at his Hendricks County farm that Gov. Mike Braun’s order to allow the on-road use of dyed diesel arrived just in time for the most energy-intensive season. Dav id Hardin grows corn and soybeans on about 2,000 acres near Danville. He expects to use several thousand gallons of off-road diesel, on-road diesel, and gasoline this month as he harvests crops and hauls them to market. This is the most fuel he will use all year for his three grain-hauling tractor-trailers. Hardin bought a fuel contract in January to lock in prices, which was before the war with Iran began. That contract expired this summer. Since then, price spikes from the war prevented him from securing new contracts, forcing him to buy fuel at market prices. “The rising diesel costs have added several thousand dollars to our costs, ones that we definitely didn’t have budgeted for, but there is no alternative for using diesel fuel in our equipment,” Hardin said. “We’re just fortunate that we’re able to get the fuel and we’ll have to figure out how to stomach the price.” Indiana typically charges a 63-cent-per-gallon special fuel tax on diesel. This tax is separate from the state’s gas tax holiday. However, the state exempts diesel used for commercial vehicles that stay off the road, such as farm or construction equipment. This “dyed diesel” is chemically identical to regular diesel but contains red dye so inspectors can identify unauthorized use. Braun issued an order Wednesday in Indianapolis to allow farmers to use off-road diesel in on-road trucks through Nov. 4. Hardin estimates the order could save him as much as $1,500 a week. “I know that doesn’t sound like much, but in farming, every penny counts,” Hardin said. Courtney Kingery, CEO of the Indiana Corn Marketing Council, Indiana Corn Growers Association, and Indiana Soybean Alliance, expects most farms to save between $1,000 and $2,000 this month. She said diesel is vital for transporting products, which is where the savings will happen. There are about 20,000 corn and soybean farms in Indiana; 95% of them are family-owned. “This announcement could not have come at a better time to relieve a little bit of those costs to Hoosier farmers,” Kingery said. The governor’s order expires Nov. 4, coinciding with the end of the gas tax holiday. Kingery said a wet spring means the harvest likely will happen after that date, and she hopes Braun extends the order. The Indiana State Police enforces laws regarding off-road diesel. A state police spokesperson said troopers are determining how to handle enforcement during this period. ...read more read less