Alabama Commissioner Pate Petitions USDA to Extend Diesel Subsidies to Logging Sector
State officials argue the $12.5 billion industry faces a $2.40 price surge, unlike the seasonal strain described for the farm program.
By Martin Reynolds ·
Alabama Agriculture and Industries Commissioner Rick Pate formally requested that the U.S. Department of Agriculture expand its recent fuel assistance program to include the state's logging industry.
Pate cited a sharp rise in fuel costs as the primary driver for the request. According to AAA data, the average price for a gallon of diesel in Alabama reached a record high of $6.16 in September. The current average stands at $5.86, marking an increase of more than $2.40 compared to levels seen a year ago.
The logging sector contributes approximately $12.5 billion annually to the Alabama economy, supported by a workforce of over 123,000 people across roughly 1,500 operations, per the Alabama A&M and Auburn universities extension program. Pate noted that loggers burn diesel continuously throughout the year, unlike farmers who experience peak usage during harvest.
"Loggers use a lot of diesel every day, heavy trucks with their gears low and just really burning a lot of diesel day in and day out over the whole year," Pate said. He added that the high costs are exacerbating existing financial pressures on the industry.
The USDA launched an $8 billion harvest fuel relief program in October specifically for farmers. While the agency confirmed it will release payment rates for farm crops this month, it has not yet indicated whether it will expand eligibility to include logging operations.
The request highlights the ongoing economic strain on energy-intensive industries in the state as fuel prices remain elevated.
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