Lock in price of Diesel?

You absolutely could lock in fuel for a year or more if you wanted but it would be a big gamble. If I liked the price of fuel today I could go to my supplier and buy X amount of gallons of fuel. Wouldn't have to take delivery, just use as needed. Pretty sure you can trade fuel just like you can trade gold, grain or any other commodity

 

What's with this cost plus program? Why doesn't everyone get on it? Are there special requirements?

 

Ya. Not be a broke fool that isn't capable of putting a few grand on a fuel card and needs to get a fuel advance from brokers.

 

Call up pilot flying j and tell them you want to buy a year's supply, but not take delivery and have the rate locked in at today's price. Let us know what their response is.

 

Yeah as I said before it really only works if you are local or come home a lot. I buy all my fuel from a local bulk fuel supplier and absolutely can do that

 

You can even get contracts where if actual cash price goes lower than your contracted price you pay the lower

 

If I could lock in for 6 or 12 months and use at any station I definitely would do that. I bought $400,000 worth last year. I’d love to pay less.

 

If you really think you're large enough...
A Beginners Guide to Fuel Hedging - Futures

 

i don't think so. each day at my former employer, the office gal called the 3 diesel suppliers they did business with, for the daily prices, EACH DAY..

the cheapest one, got that call to fuel up our trucks, THAT NIGHT.

so i cannot "see" any lock in diesel prices, and why would one do so..??

if the price drops (and IT WILL) you will still pay that higher price, cuz you "locked into it"....not very smart.

and please tell us the companies that "you know" do this, i'd be interested in thier bottom line at the end of the month.