Are You Buying Ammo To Offset The Planned Price Increases?

[Harry Paget Flashman]

Just bought another 600 7.62X54R and 500 more 8X57. I got rid of my anxiety about having enough .308 & .223 by getting rid of those rifles and about 2500 rounds of ammo. I've got plenty of everything else except for the .32 S&W Long that I shoot in the 1895 Nagant. But I'm not sweating that. I've got 100 rounds and as slow as it is to reload, that's plenty.

 

[Soybomb]

Buying while prices are high increases demand and drives prices higher. Self-fulfilling prophecy

I believe rising metal and fuel prices probably have more to do with rising ammo costs than demand. Anyone else?

 

[pdowg881]

I have no clue about this stuff so here's my question...

Will ammo prices always generally rise over the long run because of finite resources? Or can there suddenly be huge drops because a bunch of ore deposits are mined etc?

And here's a good one: For a piss poor college student such as myself what combo of ammo should I be looking for in the following calibers with 100$:
22lr(have 500rnds right now)
Various 12 ga I dont hunt so buck and slugs are HD. I mostly use birdshot.
7.62x39(I of course prefer the cheapest crap availible. Probably wolf.)

 

[Black Majik]

I think it's also partly the ammo whoring people are doing that is contributing to steady price increases.

But yes, I'm hoarding ammo also. Bought a case of 9mm. Waiting for the gunshow this weekend to pick up some more from Miwall. And after I get my paycheck probably gonna get some more .45 ACP too.

Good thing I don't shoot much rifle.

 

[Xenia]

I am buying as much as I can this month and kicking myself that I didn't start doing this a couple months ago.

 

[GRB]

I believe that ammo prices rose last year or so, and will rise again this year, for three main reasons:

1) The wars in which we are invloved tend to use up an awful lot of the resources that go into making ammo - not just to make wartime ammo but used to make other military things too.

2) The cost of fuel is so darned high, and ammo and its components are not light weight stuff when it comes to shipping. So has manufacturers pay more to get shipments, they pass the cost onto us.

3) Greed, my bet would be the price rise is not indicative of the true added cost to manufacturers, and they are in part using it as an excise to price gouge in addition to paying highter shipping bills, and having less resources.

All the best,
Glenn B

 

[Andrewsky]

Not really. I believe the real price of ammo will fall in the future once we're out of the Middle East.

I'm still buying it just to keep up with what I shoot though.

I have around 800 shotgun shells, 800 .308, and 2,000 .22LR. So I'm gtg for the guns I have.

 

[theken206]

short answer yes, long answer......yes but not totally becuase of the 'spected super increase

 

[Jorg Nysgerrig]

I believe rising metal and fuel prices probably have more to do with rising ammo costs than demand. Anyone else?

I didn't say demand was the only or even the primary cause, only that it would drive it higher. Obviously metal and fuel prices are huge factors in this and I've been saying so for almost two years. My point is that rabid demand brought on by fears or price hikes results in driving the prices up faster than even changes in raw materials.

This is how markets work.

 

[GRB]

Jorg,

I tend to disagree with this to a point:

My point is that rabid demand brought on by fears or price hikes results in driving the prices up faster than even changes in raw materials.

I don't know that this is necessarily true. If folks buy these brands of ammo now, when still less expensive than will be the upcoming new production ammo from CCI/Federal, Remington and Winchester after Sept. 1, the price will rise only by what the companies plan to have it rise.

The reason I think so is because there likely will be no 'rabid fear driven' buying of the newer higher priced ammunition. People will have stocked up on the lower cost stuff to avoid having to buy the higher priced stuff. Therefore the market will replace the depleted stock with new stock at the planned newer prices; and there will be no need to make the prices go even higher, unless people also start rabidly buying the new stuff off of the shelves. That would be very unlikely at the higher prices unless of course there is another 9/11 or something like that.

All the best,
GB

 

[revjen45]

In supply chain management laying in a stock of something you need to beat an expected price increase is called hedge stock. It is considered a good idea.

 

[Redneck with a 40]

I don't buy factory ammo. I reload and I have built a very nice stockpile of 357 mag and 40 S&W over the last year or so. 40 S&W = 3000 rounds of 155 grain Rainier's at 11 cents/round and 2000 125 grain Remington SJHP's for 12 cents/round. I bought all these components last year, so I beat the price increases. Factory ammo is running 25-30 cents/round, ya'll can have that.

The only factory ammo that I do buy is 7.62x39 Wolf ammo. I'm not worried about this either, as I have 2000 rounds on hand.

 

[FMJMIKE]

I stopped buying ammo and stopped target shooting about a year ago. No more ammo for me until prices drop. Just a few .22lr... I think all this panic buying is driving the price increases. I wish people would stop !!!

 

[woody99]

I've been buying more than ever. (9mm and .45) Only problem is that I keep shooting more and more! I am starting to take my brass back with me now, in anticipation of reloading in the future.

 

[Jorg Nysgerrig]

Glenn, as far as I'm concerned the buying now is the rabid fear driven buying at high prices. The prices are not low now, they are lower than the may be in a few months, but these prices are still quite high and demand is still soaring.

 

[Dr. Peter Venkman]

I believe that ammo prices rose last year or so, and will rise again this year, for three main reasons:

1) The wars in which we are invloved tend to use up an awful lot of the resources that go into making ammo - not just to make wartime ammo but used to make other military things too.

2) The cost of fuel is so darned high, and ammo and its components are not light weight stuff when it comes to shipping. So has manufacturers pay more to get shipments, they pass the cost onto us.

3) Greed, my bet would be the price rise is not indicative of the true added cost to manufacturers, and they are in part using it as an excise to price gouge in addition to paying highter shipping bills, and having less resources.

All the best,
Glenn B

1. If this was the case ammunition prices would have increased greatly back in 2003 at the kick off of Iraq. I've been told that's its "China" using all of the resources, but this does not explain surplus ammunition prices. I don't see any major news stories of China buying surplus ammunition in the millions and breaking them down for raw resources

2. Fuel cost is now down to levels before the initial spike two years ago. For two years I was pumping regular unleaded in my Bronco for roughly $3.30. Right now the cost is $2.70 and I'm in California.

3. I believe this is the main reason as well as Supply & Demand. On top of this, ammo hoarders seem to have no problem purchasing ammunition for a higher price - when one vendor sells for a higher price, all other vendors will follow suite to make the same amount of money.

 

[GRB]

Doc V,

1) This is not a knee jery reaction by the manufacturers. What makes you thik they would have one, they are not the government. Ammunition prices did increase sharply for the exact type of ammunitionused in the Afghanistan and iraq wars by our allies - 7.62x39 caliber. They did not increase markedly in 2003 but as supplies became short in 2005 and 2006, the prices increased in 2006 by almost double for ammo that was in shortage. Likewise for .223 ammo, guess who uses that in the military.

2) So fuel prices have gone down in the last 6 months to what they are now. Thgis does not make up for the price being so high for so long and the manufacturers shelling out for so long. Sop they planned a price increase for this September. Read their own letters of explanation, and try to remember what fuel prices were two years ago.

3) As far as supply and demand goes you are correct to that but not to ammo hoarders. Look to the wars again.

This hapens everytime we are at war for an extended period and not just regarding ammunition. The wars have a lot to do with it. So do fuel prices, which also have a lot to do with the wars. It often takes time for these prices to go up because we have a lot on surplus on hand at least with regard to ammunition and components.

All the best,
GB.

 

[woof]

I believe shipping costs are behind 75% of ammo price increases and shipping costs are not going to stop rising. I'd look for 10-20% increases per year and whether that justifies stocking up depends on one's individual finances.

 

[Lone_Gunman]

I believe the real price of ammo will fall in the future once we're out of the Middle East.

You don't really think we will ever leave the Middle East do you?

I think we will stay til the last drop of oil is pumped out.

 

[wideym]

I spent 750 bucks on ammo yesterday. A few years ago it would have filled my car with boxes, now it only gets you a case of 308, a box of 357, and 250 rounds of 223. I used to keep only 1000 rounds of each caliber on hand but now if I find a deal on ammo I pick it up, even ammo for guns i don't have.

 

[woof]

Whether and when we leave the middle east there will continue to be various wars and insurgencies. I doubt there will ever be a year in which anyone could say - the world used less ammo this year than back in 2007.

 

[Cannonball888]

I wasn't until you mentioned it.

***runs off to place telephone order contributing to further demand-sided inflation***

 

[Dravur]

I just buy

when I see a sale. I was fortunate that I bought a ton of ammo when it was cheap. I did not know it was going up, I just like to buy tons of ammo. It keeps my UPS driver in shape. I have 9 cases of 9 each SA battlepacks left in .308, so I am set for a while.

.223 I think I have about 8k rounds left that I bought in bulk a few years ago.

9mm, Bought Gart Sports out of WWB when it was 2.88 a box. Literally had to make two trips with my pickup.

Only about 2k rounds of .45

Low on .40...

Have a few k rounds of .22 but I buy a box every time its on sale. But I also shoot alot of it.

So, about 45k ammo and I am set for a while. I can wait for sales and for prices to drop.

 

[Rokyudai]

Just wondering.....

I agree with reasons stated by Glenn for price increases. I do want to add my thought which is: Would or could increased demand from our own soil cause a price hike as well? Reserve military and even local LEO with their task forces may (as a result of 'being placed on heightened alert') require more frequent range qualifying tests for their unit/depts. The result is even small town departments placing substantial orders for ammo. Now, multiply that number across the nation with every local dept and tactical unit. Perhaps this can be a noticeable factor? I'm trying to think unconventional and not put everything on war although it's quite obvious its reality. Any thoughts from the LEO members or other wise sages?

 

[MD_Willington]

I bought a little bit, but the majority of my ammo is cheap foreign stuff, my Saiga doesn't care where the ammo is from, last time it had a delightful medley of Lake City reloads & Remington... bon apetite...