In the modern days, almost all industries need heating fuel for their operations. And, agriculture is one of them.
The farmers nowadays are deeply affected by the fluctuations in the fuel oil market. Fuel oil fluctuations significantly affect their business and profits.
There are many other reasons why the farmers are paying high costs even for a small amount of farm fuel. Due to the inadequate process of transport arrangements for farming, the farmers fall into the plans of high prices. This also occurs due to the unawareness of the current market price and trends.
This article will be a journey for you to get an idea about the step-by-step process of buying farm fuel and reducing over-payments.
7 Common Mistakes That Farmers Do While Buying Farm Fuel
This is very important for all kinds of farmers to choose the perfect kinds of heating oil as they face many challenges in agriculture. They face issues like unforeseeable patterns and forms of weather, disturbances in managing the crop yields, and price ups and downs in the market of the crops. They need a sustainable and well-managed process of farming. A good quality of farm heating oil works for fueling and lubricating the farm machines.
Let’s find and discuss what are the common mistakes that farmers make while purchasing agricultural oil and how to mitigate them.
Mistake 1: Inadequate transportation
In a few areas, the farmers do not get the proper level of transportation. They face challenges like the poor infrastructure of the roads, lack of transportation, and lack of making the choice that by which means they will carry their farm products and farm fuel.
Solution: Improving the urban planning
The farmers with the support of the government of the UK should work on managing and improving the urbanised plans. They should work on efficient planning for the land use, work for mixed-use development for the land, and sustainable development of the road and transport services. They should also work on getting the general public involved in this.
Facing climate change: Farmers should also be ready to face climate change situations for their farming operations with farm fuel. In the year 2020, the farmers of the UK faced rainfall and droughts. These natural disasters led to a 40% decrease in the yields of different kinds of crops like wheat. The UK saw a worse condition when it found that there was a 35% decrease among the farming of vegetables in the year 2023. This happened due to the unpleasant weather of summer.
Reducing the loss of biodiversity and soil decline: The deficient level of transportation can also be connected to the negative effects on the environment. They are affected by soil erosion and loss of habitats and biodiversity. For the farmers of the UK the Environment Act 2021, has prepared the goals to reduce the risk of species extinction and create a habitat full of wildlife. It also makes directions for the best use of farm oil storage.
Mistake 2: Lack of proper information on current market price
The farmers of the UK also lack the idea about the current market price or CMP of farm produce and raw materials for the farming. This can be coined as the price security and can be sold or purchased in a stock market within a given time frame.
Solution: More investment in the productivity of farming
As a solution to the given problem related to farm oil storage, there is a need to make more investment into the process of farming. The farmers should make more investments in research and development work for the best use of seeds, other farming machines, and farm oil storage.
Adoption of new technology: Farmers can work with various kinds of GPS trackers and real-time data for the effective use of farm products and farm fuel. They can also work with various autonomous machinery and modern kinds of sensors.
Mistake 3: Lack of sustainable farming
In the UK some places lack sustainable farming. Like for example some of the farmers use antibiotics for the animal’s work for farming. They do this even when the animals do not need this. On the other hand, the use of agricultural oil leads to water pollution and soil contamination in many of the areas.
Solution: Increasing the quality of farm produce
The farmers of the UK should work with different cutting-edge technologies to use farm oil storage in their work process. They also should focus on precision farming and water management. They should manage to adapt crops and smart agricultural technology.
Managing to have sustainable farming: Sustainable farming can become an unified method of managing livestock, cultivation, and the perfect use of agricultural oil. Some of the options for a sustainable process of farming can be a rotation of crops, methods of agroforestry, organic type of farming, etc.
Mistake 4: Not purchasing the fuel in the off-season
It has been recommended that farmers should purchase the fuel during the off-season. This will be good for them to save money. At this time they can also make needful repairs of the farm oil storage. If the farmers do not purchase the fuel off-season they may need to pay a high amount of money and at times they can get the fuel less than their needs.
Solution: Selecting a secure container
You should select a double-layered tank for the farm heating oil. This will prevent the fuel and the tank from any kind of leaks and spills.
Buying fuel in bulk: For managing the shortages in a season when fuel will be more in demand, you need to buy the fuel in bulk. This will make you prepared for any emergency and it will improve the productivity of the system of farm heating oil.
Adding a fuel stabiliser in the container: You can add a fuel stabiliser to the tank, this will make the engine work well without the formation of the sticky deposits.
Mistake 5: Overusing the farm machines
The farm machines filled with agricultural oil are very important for the improvements in the production of agriculture. In a case of overusing the farm machine can lead to more demand for fuel.
Solution: Selecting the correct fuel storage tank
You need to select the best kind of farm oil storage tank. You have to cheque the storage capacity of the tank and should avoid a tank that will be bigger or smaller than your needs.
Using smart farming techniques: You also need to adopt the smart farming technologies that are also coined as farm automation. This is added with the best process of crop monitoring and the use of agricultural robotics.
Mistake 6:Lack of land management
Farmers also face the challenges of the overuse of farm heating oil due to the lack of managing the farmlands. They face the challenges of land degradation and damages in the land due to the environment.
Solution: Arranging modern farming for rural farmers
For the best use of agricultural oil, the farmers need to arrange the modern process of farming. This can be done for the farmers who are in more remote areas. These categories of operations of farming can be coined as aquaponics and hydroponics or they can also be vertical farming and organic farming.
Management of farming as per the global economy: Farmers can also use the farming process while looking at the global economy. These can be various cropping techniques and methods of crop residue management, waste management and best use of agricultural oil.
Mistake 7: Lack of proper knowledge about the local suppliers
Many of the farmers do not have an idea about who are the local suppliers of his/her area for farm fuel. Thus, they face the challenges of not fulfilling the high demand and lack of getting the delivery on time.
Solution: Record keeping
The farmers should work on a proper level of record keeping for the use of farm heating oil and other machines. This can be added to planning, evaluating, and making the best decisions.
Relation with stakeholders: As a user of agricultural oil you should make relations with the dealers and the stakeholders. You should prioritise the different stakeholders and should have the best communication with them.
Finding the supplier risks and mitigating them: You should cheque the profile of the suppliers and diversify suppliers. You should identify the risk and cheque the outcomes that will come due to the risk.
UK Government Policies To Manage Farm Fuel Price
In the UK the price of agricultural oil is affected by market competition. In the year 2022, the country saw an increase in the price for the substances of diesel and petrol. The CMA or Competition and Markets Authority were instructed to check whether the farmers were still getting a good business of fuel.
ELMs or Environmental land management schemes: The UK government has worked for the scheme and rules of environment and land management. This has been initiated to give support to UK farmers to become financially strong to use farm heating oil and other sources of farming.
Use of rebated fuel: The farmers of the UK also use the rebated farm fuel. This is also coined as red diesel. This fuel can be used for horticulture and forestry with processes like arboriculture, and fish farming.
Fuel duty: In the UK the perfect level of rate for diesel and substances of petrol is 52.95 PPL and this rate is also for different kinds of bio-fuel and other agricultural oil.
The Bottom Line
In conclusion, this can be said that if you avoid the given common mistakes you will not need to pay more for farm fuel.
You need to cheque the heating system regularly and keep that in a place where there will be no chance of any damage or accidents.
You need to find the best dealer in your area and should cheque the price structure they are offering.
You also should be prepared to face any sudden risk or any sudden occurrence of weather changes.