Hodgdon Powder Article Today’s Bulletin

[6ShotsOr5?]

Thank you to @Forum Boss for posting the very informative Hodgdon article on powder availability in today’s Bulletin.

 

[D-4297]

Having dealt with the people at Hodgdon's , and one of their main secondary marketers , Powder Valley , I've found both these suppliers to be honest and reputable firms . No reason to disbelieve the information at all . Transparency is always a good thing .

 

[wkdickinson]

I can't say that I learned much from the Hogdon statement. I've never believed component companies are "selling their product to the government" or "hording it in some secret warehouse". They are businesses and the purpose of business is to make money for the owners/stockholders. So no doubt Hodgdon like Federal, CCI and everyone else is capitalizing on this shortage and selling as much as they can. By saying that I am not implying they are profiteering, some folks obviously are, but I sincerely doubt it is the manufacturers.

What I was hoping to read was how they intended to address the incremental market needs that are not being satisfied. I understand this situation is likely (hopefully) temporary and building new factories is not the solution. But there are ways of ramping up production etc. Instead it sounds like their intention is to "do the best we can", but it's pretty much "business as usual".

From a loyal Hodgdon user's standpoint that is disappointing. But from a business standpoint it is just plain stupid.

2/27/21 Edit: OK, a poor choice of words on my part!

 

[JimT]

I can't say that I learned much from the Hogdon statement. I've never believed component companies are "selling their product to the government" or "hording it in some secret warehouse". They are businesses and the purpose of business is to make money for the owners/stockholders. So no doubt Hodgdon like Federal, CCI and everyone else is capitalizing on this shortage and selling as much as they can. By saying that I am not implying they are profiteering, some folks obviously are, but I sincerely doubt it is the manufacturers.

What I was hoping to read was how they intended to address the incremental market needs that are not being satisfied. I understand this situation is likely (hopefully) temporary and building new factories is not the solution. But there are ways of ramping up production etc. Instead it sounds like their intention is to "do the best we can", but it's pretty much "business as usual".

From a loyal Hodgdon user's standpoint that is disappointing. But from a business standpoint it is just plain stupid.

I guess we will just have to accept the fact that they are stupid and you aren’t.

 

[243Mendoza]

This is where, I suspect, much of the powder is going https://www.gunbroker.com/All/search?Keywords=varget&PageSize=48&Sort=13&View=1

 

[JimT]

This is where, I suspect, much of the powder is going https://www.gunbroker.com/All/search?Keywords=varget&PageSize=48&Sort=13&View=1

And then here!

 

[NZ_Fclass]

Yes- we are waiting for ADI to deliver here! And they are just up the road, well 1500 k's up the road, and over the Tasman, but you know what I mean.

 

[Tommie]

Yeah. And Charmin is selling all their toilet paper to the government too.

 

[Doug Beach]

I’ll admit to knowing nothing of the specifics in the particular case of Hodgdon. I do know that much or all of their powder is relabeled imports. I also know that if a factory is running at close to maximum capacity, any “ramping” of production without building new facilities could only result in a tiny production increase, likely combined with a quality decrease.
It will start staying on store shelves, as soon as we quit buying every increment that we see.

 

[topclass2017]

Yeah. And Charmin is selling all their toilet paper to the government too.

and as the saying goes...politicians and diapers need to be changed for the same reason.

which explains why the government needs to buy all the Charmin it can

 

[bubz524]

I understand the powder shortages.I know everybody that buys a new gun ( a new first time buyer ) has to buy all the reloading equipment to start reloading. I can't believe that is happening. Somebody is making money on us.

 

[457ciSBC]

I can't say that I learned much from the Hogdon statement. I've never believed component companies are "selling their product to the government" or "hording it in some secret warehouse". They are businesses and the purpose of business is to make money for the owners/stockholders. So no doubt Hodgdon like Federal, CCI and everyone else is capitalizing on this shortage and selling as much as they can. By saying that I am not implying they are profiteering, some folks obviously are, but I sincerely doubt it is the manufacturers.

What I was hoping to read was how they intended to address the incremental market needs that are not being satisfied. I understand this situation is likely (hopefully) temporary and building new factories is not the solution. But there are ways of ramping up production etc. Instead it sounds like their intention is to "do the best we can", but it's pretty much "business as usual".

From a loyal Hodgdon user's standpoint that is disappointing. But from a business standpoint it is just plain stupid.

Let’s see, so paying additional overtime, hiring additional staff and creating additional shipping options and promising to ship even a more record amount of powder in 2021 in your mind does not constitute an effort towards” ramping up production”?
As a vested loyal end user, perhaps you should make an offer to purchase them and promise to manage them better, because apparently they are clearly stupid In your mind.

 

[R.Morehouse]

WOW......I have not looked at GB until just now. $601 current bid on 8lb of Varget........Having a REAL hard time wrapping my head around that one. I have enough powder to last me while but seeing where this seems to be going definitely has me re-thinking pulling the trigger just to kill some time. Maybe a few shots before going to a match to knock the dust off, but until the "New Normal" settles in I am seriously thinking of dialing things back a bit.....

Regards
Rick

 

[STOMP442]

Powder sales are at an all time high. Shortages are happening much more frequently and there have been more peaks than valleys in the last decade and that doesn't constitute the need for another production facility? With all the stupid craziness going on right now they could build their new facility and have it paid for in no time with all the extra powder they would sell. I honestly believe production could double right now and shelves would still be bare for the next year at least maybe two.

 

[Kracken McGraw]

Powder sales are at an all time high. Shortages are happening much more frequently and there have been more peaks than valleys in the last decade and that doesn't constitute the need for another production facility? With all the stupid craziness going on right now they could build their new facility and have it paid for in no time with all the extra powder they would sell. I honestly believe production could double right now and shelves would still be bare for the next year at least maybe two.

You may well be right. I was talking to a hunter the other day, he never loaded before and was buying the old Lee non press kits for several calibers. He was still looking for powder and primers to use, I just shook my head and wondered why he didn’t at least ask for some advice before purchasing.

 

[BigJohnson2]

A lot of people out there with new equipment and no primers. Those are probably the ones paying $300/1000 on GB.

 

[tmwinds]

Am I correct that Hogdon does not produce any powders? They only buy, package and distribute powder from manufacturers, mostly from foreign sources. Therefore having little control over supply volume.

 

[Texas10]

Right now there are thousands of Bots continuously scanning every supplier of reloading components and ammo, instantly notifying the owner of availability who then logs on and buys as much as possible only to resell on the secondary markets like GB.

It's not like I haven't thought about setting up one of these bots for myself, but this has led to overtaxing servers and some sites refusing to make these products available for internet sales.

What can we do to stop the hoarding and profiteering that puts so much of the availability in the hands of so few? Refuse to buy from them? Out them as a hoarder/profiteer?

Any thoughts?

 

[tmwinds]

Right now there are thousands of Bots continuously scanning every supplier of reloading components and ammo, instantly notifying the owner of availability who then logs on and buys as much as possible only to resell on the secondary markets like GB.

It's not like I haven't thought about setting up one of these bots for myself, but this has led to overtaxing servers and some sites refusing to make these products available for internet sales.

What can we do to stop the hoarding and profiteering that puts so much of the availability in the hands of so few? Refuse to buy from them? Out them as a hoarder/profiteer?

Any thoughts?

You are absolutely correct but I don’t think it’s possible to get people in a panic to stop buying from the gougers. It would be like trying to herd cats.

 

[243Mendoza]

...I just shook my head and wondered why he didn’t at least ask for some advice before purchasing.

Because that would take too much time and it's time to panic buy