SD Farmers Union Seeks Fuel Tax Holiday

The South Dakota Farmers Union is urging state leaders to hold a special legislative session to reduce the state fuel tax. The organization aims to ease financial burdens for farmers facing high diesel prices.

South Dakota Gov. Larry Rhoden during the second gubernatorial debate at South Dakota Public Broadcasting's Sioux Falls studio. Sept. 28, 2026.

The South Dakota Farmers Union asked state leaders during an October morning session to approve a fuel tax holiday, cutting gasoline and diesel levies from 28 cents to 1 cent per gallon. The push follows complications from executive orders aimed at easing high fuel costs across the United States. Lawmakers face pressure to protect agricultural producers from tax penalties as global supply chains remain disrupted.

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