McAllen, TX (KRGV) — Diesel prices in the Rio Grande Valley are running about $2 more per gallon than this time last year and farmers and distributors say they are already feeling the impact.

According to AAA, the average price is $5.57 in the Upper Valley and $5.63 in the Lower Valley. At Johnson Farms in Santa Rosa, the higher prices have made deliveries a lot more expensive.

Travis Johnson's family has farmed there since 1918, growing corn, cotton, sesame and some vegetables.

"Sometimes we can go through a thousand gallons a day or more depending on how many tractors we're running or harvesters," Owner Travis Johnson said.

Johnson said farm diesel that traditionally cost him between $2 and $3 a gallon is now above $5. That adds up fast.

"It could be as much as $2,000 a day more for diesel," Johnson said.

Farmers typically use red-dyed diesel to power equipment like tractors, but it is generally restricted from vehicles traveling on public roads.

Gov. Greg Abbott declared a statewide disaster over diesel prices. His order expands where red-dyed diesel can be used and eases some permitting requirements for trucks carrying fuel and agricultural products, allowing loads up to 95,000 pounds.

But Johnson said the relief is limited for his farm right now.

"I don't think it's really going to have that much of an economical effect because for the most part, we are already using red dye diesel in all of our tractors, combines, etc. So, it's really just more of the trucks," Johnson said. "Which would have been great in June or July, but now that it's September, we're not really hauling as much grain."

Once food leaves the farm, diesel is still part of the equation. Villita Avocados in Pharr moves produce from the Valley to customers across the country and into Canada, with about 30 to 40 deliveries heading to different states each week.

Chief Strategy Officer Aaron Acosta said part of the governor's order could help right away.

"Those are really immediate fixes, which is great, right? It helps us. One, the weight limit helps us a lot because it lowers a per unit cost. Like if we can send more boxes, you know, when we factor in the total cost... it helps," Acosta said.

More product on one truck can lower the shipping cost per box. But Acosta said if high diesel prices stick around, some of those costs could eventually move down the supply chain.

"We try to keep prices as stable as we can for as long as we can, but there comes a point when you have to start really factoring it in," Acosta said.

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