Questions about "the new normal"

[drop_point]

I keep reading that the new current high prices of components, namely primers, is due to component costs for the manufacturer and that it isn't going to come down. Its "inflation," so they say.

Meanwhile, bullet prices haven't gone up 3x+ in price. What raw materials are driving the increased price of primer manufacturing? Additionally, I'm seeing the big box stores and large shops charging these prices, yet I keep seeing primers at the local gun shops barely inflated selling limited quantities of primers for less than half the big shops. If this is the "new normal", why aren't their costs so much higher? Are they losing money with every sale?

Any insiders, please provide insight as to how the local little guys are significantly cheaper than the big stores that should have volume purchasing discounts.

 

[moorepower]

If your seeing primers at LGS cheap, buy them for future use. Inflation is real, and it's not going to get better. If YOU had a business that had $10 million in inventory, 100 employees that you are paying higher wages, higher insurance, higher taxes, higher unemployment insurance, higher utilities, and no idea how much the next order was going to cost, how much would YOU charge? If YOU were a big box store and were selling primers $35 a 1000 and were selling 100,000 at a time, and saw those same people that were buying 100,000 selling on Gunbroker for $100 per thousand, what would YOU do. Sometimes a LGS with 1 or 2 people working has an advantage .

 

[Mark W]

The one small shop owner that I know well enough to trust tells me that his primer costs have skyrocketed hence his price increases on the rare occasion that he can even get the primers that he ordered.

All the primers that I’ve came across in person since they started showing back up have been between $7 and $10 per 100. This puts them right around the same price of online primers minus the stiffing we get on shipping and hazmat fees.

 

[SGK]

Not much has gone up to justify a 3x increase in prices - except people's seemingly willingness to pay (at least for now). A lot of this is businesses trying to claw back a period of difficulty. If people keep paying current prices they will for sure become the new normal and margins for producers and retailers will end up being phenomenal. For now supply is scarce and so there's no need to compete on price. It won't stay that way forever.

(Tyson Foods reported an absolutely blow out 4th quarter. In beef, for which they have circa 48% market share, they managed to raise prices about a third. Volumes declined only slightly, about 8%, and they experienced the best margins in decades. People were prepared to pay up for beef.)

 

[drop_point]

Not much has gone up to justify a 3x increase in prices - except people's seemingly willingness to pay (at least for now). A lot of this is businesses trying to claw back a period of difficulty. If people keep paying current prices they will for sure become the new normal and margins for producers and retailers will end up being phenomenal. For now supply is scarce and so there's no need to compete on price. It won't stay that way forever.

(Tyson Foods reported an absolutely blow out 4th quarter. In beef, for which they have circa 48% market share, they managed to raise prices about a third. Volumes declined only slightly, about 8%, and they experienced the best margins in decades. People were prepared to pay up for beef.)

I agree, as long as people pay it, they will keep those prices. Of course guys like Federal aren't having to claw back..so are prices being raised by the middle man or the retailers? Local guy told me his cost, and it wasn't anywhere near the $100/1000 mark.

 

[K22]

In my opinion, inflation is real and it's only going to get worse because the Fed didn't act in time. Now the preverbal "horse is out of the barn". You can't deficit spend like the government has for so many years and not create massive hyper-inflation.

I haven't seen any primers in my area at local shops since last summer. But then again, I don't visit them that often either, but I've been told by other that they have experienced the same thing.

Bullets are also in short supply or non-existent in my area, namely Nosler and Sierra. Hornady's are somewhat available. Bullet prices have risen but not to the degree of primers if you can find them.

For whatever it's worth, a dealer told me that the mfg.'s are opting to use primers for loaded ammo rather than offering them as components because they make more money off of loaded ammo. I'm not sure if that explains why CCI primers are also not available.

Reloading components is only small fraction of the commodities that is being impacted. Of course, there are always those businesses that will take advantage of the situation and charge whatever they can get away with.

So, I hope I'm wrong, but I do believe we are in an era of shortages and high prices for the foreseeable future.

 

[wkdickinson]

I've read several references to "LGS" recently. Can some one enlighten me as to what business it refers to?

 

[PigButtons]

LGS =Local Gun Shop.

 

[hogpatrol]

I've read several references to "LGS" recently. Can some one enlighten me as to what business it refers to?

Local Gun Shop

 

[L.Sherm]

Meanwhile, bullet prices haven't gone up 3x+ in price.

I just bought some 6.5 Berger 140's for 51.00 a 100 at Blue Collar Not even close to 3x.
I believe its 8.00 more than 2 years ago when I paid 43.00, if they can make money in business by only raising there components like that well you figure out what the rest are doing not rocket science.
The willingness for people to pay 90.00-150.00 for primers is the new " NORMAL"
Nothing has gone up 3-4x but that.

 

[DShortt]

The 'new normal' will be whatever the majority of buyers are willing to pay. If the manufacturer can't make a profit then they'll change their processes/product line or go out of business. If this happens often enough then a few manufacturers will make the product at a price higher than the majority of buyers will pay. Then either the majority will pay that price or do without.

Market forces. Supply and demand. The biggest problem currently is demand and fear.

 

[Coyotefurharvester]

It isn't the new normal Joe wants, because we still need ammo for firearms, which we shouldn't be able to own. With the Fed issuing a trillion a week to banks around the world, our dollar will hit new lows. Low dollars, tight supply chains, high energy costs, limiting mining,high crime, healthcare, raising taxes, interest rates, all will make it appear capitalism doesn't work anymore. Then the "government" will have" no choice" but step in and switch to digital currency. That's when you will see the new normal, your spending will be limited to WHAT the government(non elected administrators) will ALLOW you to purchase as there will be no private savings or hand to hand payment.

 

[JimPag]

I keep reading that the new current high prices of components, namely primers, is due to component costs for the manufacturer and that it isn't going to come down. Its "inflation," so they say.

Meanwhile, bullet prices haven't gone up 3x+ in price. What raw materials are driving the increased price of primer manufacturing? Additionally, I'm seeing the big box stores and large shops charging these prices, yet I keep seeing primers at the local gun shops barely inflated selling limited quantities of primers for less than half the big shops. If this is the "new normal", why aren't their costs so much higher? Are they losing money with every sale?

Any insiders, please provide insight as to how the local little guys are significantly cheaper than the big stores that should have volume purchasing discounts.

Well bullet Jackets have gone up significantly this year from last year as far as buying components for making your own bullets. I'm sure if this keeps up guy's like Randy Robinette are just going to say screw this and stop making bullets for sale. Even though I don't shoot Berger 30 Cal 115 grain bullets I bought 7500 of them 3 years ago and I paid $179.00 per 500. Just looked on Powder Valley and they sell them for $254.00 per 500. That's 508.00 per thousand. That's way more than even guy's like Bart and Robinette sell their custom bullets for. When you use to buy Berger's for 36 cents each while the custom bullets were selling for 40 to 45 cents each those Berger's were a bargin. NOT ANYMORE.

 

[Kracken McGraw]

I was reading on another thread why a business stated they had to sell their #400 primers for $100/1000 in big lots. Just this week Powder Valley would sell up to 5000 for $75/1000, just seems like a lot of price variations out there to potential customers.

 

[acloco]

There is also one more item at work in the scenario we are living in.

Who owns all of the current primer manufacturing in the U.S. now?

 

[Kracken McGraw]

When you drive by new car dealerships now with empty lots it feels like we’re just a step away from being Cuba. I am glad we still have some components showing up to load with. I don’t know which direction we’re headed, but it’s eye opening!

 

[tsyarnall]

Believe it or not, it wouldn’t hurt a person to educate themselves on the Big Reset or Reset 2030.

 

[drop_point]

Believe it or not, it wouldn’t hurt a person to educate themselves on the Big Reset or Reset 2030.

"The Great Reset" from the World Economic Forum/Agenda 2030.

 

[drop_point]

There is also one more item at work in the scenario we are living in.

Who owns all of the current primer manufacturing in the U.S. now?

Two companies do. But its been YEARS since Remington was a solvent company. I hadn't seen Remington primers for sale since well before the bankruptcy. So we still have "Winchester" and Vista. Not all that much has changed, really. But why the price disparity? I've seen primers anywhere from $60/1000 to $150/1000. Even primers of the same maker.

 

[Kracken McGraw]

Uncle Larry’s supply of primers sure has dried up lately.