Promising Outlook: Propane Stocks High and Prices Favorable for Farmers

As harvest season swings into full gear and grains are rapidly gathered from the fields, farmers are gearing up to fire their dryers and transport their crops to market. Fortunately, the propane outlook for fueling these dryers is notably more favorable than the previous year.

The Propane Education and Research Council (PERC) reports a significant increase in propane stocks compared to last year. The average wholesale price currently stands at less than $1 per gallon, a considerable drop from the approximately $1.50 per gallon observed in the previous year.

Another encouraging sign is that this year’s harvest aligns with a typical drying season, which may require less crop drying than anticipated. However, there is a wildcard to consider on the horizon: winter.

As the winter season approaches, the potential for extreme cold temperatures looms. Such weather conditions could drive up the demand for propane, subsequently affecting prices. While the current propane situation is favorable for farmers, the volatility of winter remains a factor to watch closely.