California continues to face limited refinery capacity amid the ongoing war in Iran, disrupting global shipments.
"There's a lot of sleepless nights. There's a lot of stress, and people just trying to do the best they can," said Andrew Genasci, executive director of the San Joaquin Farm Bureau. "Anything that's coming onto the farm or leaving the farm is now more expensive."
Those feeling it the most are those who provide the food supply to much of the United States: farmers.
Genasci says farmers don't have many options to pass these expenses along.
The farm bureau says high oil prices, high taxes and low refinery space in California are creating a perfect storm.
"You had already poor prices, no contracts, and the weight of trying to make decisions that really likely could decide whether you survive as a farmer or not here in the next couple of months or even the next couple of weeks," Genasci shared. "That's all just weighing on people right now."
"I wish I had the 'Oh, do this and you'll save money.' I think people are just doing what they have to do," Genasci continued. "This time of year and with the heat we've had, things are rocking and rolling out there. You really don't have much of an option."
A lot of oil is being held up by the closure of the Strait of Hormuz in the Middle East. Even if the strait opened now, all that oil still needs to make its way through the refineries, which means prices wouldn't immediately drop.
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