The HAZMAT cost is what's killing these guys. The charge is $22.50, for 1lb, 10lbs, 30lbs, whatever.
The way it's supposed to work:
Small Business 1 orders 12 1lb cans of Varget. He pays $18.99 a lb, and $22.50 for HAZMAT. Since he bought 12 cans, the HAZMAT charge rounds out to $1.88 a can. He adds that, plus a 12% profit margin (WAG on that number), to bring the total to $23.15 (round that up to $23.99 for realism).
This is what is happening (in your particular case):
Small Business 2 orders 2 1lb cans of Varget (maybe that's all there's left, maybe that's all he can afford, maybe it's a special order, etc). Varget is still $18.99, HAZMAT is still $22.50. However, since he ordered 2 cans, the HAZMAT fee is split in half, so add that to my made-up profit margin, $32.99 is your end total.
And I know how hard it is for a small business to keep up with reloading needs. My Dad's True Value stopped carrying reloading supplies because, as we all know, if you're going to carry one brand, you're going to end up carrying all brands. After Uncle Sam got me there was no one to keep track of what needed to be stocked and how much, so he sold it all at discount til it was gone.
When I reload for my shotgun, the savings margin is pretty tight, although I can still shave $4 a box off of equivalent store bought prices. However, when I reload rifle, the savings is huge, and I really enjoy doing it. I agree that $42 a lb of whatever is way too much to pay, but if I can get it through a local store for $2-$5 over what a bigger chain or online can get me, so be it, just because I know that keeping us reloaders happy is a big pain in the back 40.
Just my 2¢.
Frank