Rising fuel costs force farms to cut production but cattle must still be fed

Farmers in Finland face steep additional costs this growing season due to soaring fuel prices, with some forced to reduce production—but livestock farms have no choice but to cultivate feed, public broadcaster Yle reports.

Jari Paulasaari, who runs a cattle farm in Ilmajoki with around 1,000 beef cattle, says fuel expenses have nearly doubled, reaching almost €2 per litre. “It’s frustrating, of course, but there’s nothing we can do about it,” he admits. His farm spans 550 hectares of crop and pastureland, plus 30 hectares of peat fields for animal feed—leaving no room to scale back production.

The Central Union of Agricultural Producers and Forest Owners (MTK) estimates that fuel price hikes could cost the entire agricultural sector between €160–200 million this year. Large farms face tens of thousands in extra fuel costs alone; the Paulasaaris’ farm could see an additional €90,000 in expenses if prices remain high.

Cattle farms hit hardest

While crop farmers may leave fields unsown or reduce fertiliser use, livestock farms must grow feed regardless of cost. “We can’t stop feeding the cattle,” says Päivi Paulasaari, co-owner of the farm. “We won’t compromise on animal welfare or feed quality—it’s the foundation of our work.”

Fuel isn’t the only rising cost: transport, plastics, and contracted services have also become more expensive. With no way to stockpile fuel—storage permits limit quantities—farms must absorb the increases. “At our scale, storing enough fuel just isn’t practical,” Jari Paulasaari notes.

No relief without higher food prices

MTK warns that farms have exhausted cost-saving measures, leaving no option but to pass expenses to consumers. “Savings are gone. The only way forward is to adjust food prices,” says Anna-Kaisa Jaakkola of MTK South Ostrobothnia.

Crop farmers may shift to more profitable plants like caraway, oilseeds, or legumes, but livestock farms can only streamline operations. “We’ll cut unnecessary trips and optimise work,” Päivi Paulasaari says. “But the fields must be tended, and the harvest brought in.”