Rise In Metals Prices Could Impact Shooting Market
Expect the price of bullets and cartridge brass to climb upwards. Though demand for loaded ammunition has slacked off somewhat in the USA, as the buying frenzy of 2008-2009 has abated, there is still strong demand for sporting ammo and reloading components. Shortages persist for some types of reloading components and military ammo demand remains strong. But the primary reason for higher brass and bullet prices is the rise in raw materials costs. In the past year, the price of copper has risen from about $2.00/lb to over $3.50/lb. Likewise, the cost of lead (used for bullet cores) has jumped from $0.60/lb to $1.05/lb.
Will this trend continue? Probably. As the world economy sputters into recovery, increased global demand for raw materials will probably continue to drive metal prices upwards — and that means reloading components will cost more. A 100-count box of 140gr bullets contains two pounds of metal. If raw material costs rise $2.00 or $3.00 per 100 bullets, eventually we will see higher bullet prices.
The Economist predicts rising metal prices through 2011: “Growing optimism about the world economy helps explain why prices are surging. News from developed economies has become sunnier. And metal-hungry China ([which] consumes a third of the world’s base metals) is expected to grow so fast that its metal demand could return to pre-crisis levels in a year or so. Supply and demand is not the only thing helping keep prices aloft. There is an ‘extraordinary market’ for copper that has departed from fundamentals, reckons Andrew Keen at HSBC. Growing copper inventories at metals-exchange warehouses (half a million tonnes or so by some estimates) have coincided with increasing prices. The same seems to be happening with aluminium, lead and nickel.”
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Tags: Brass, bullets, Metals Prices
I can see why bullets and brass have gone up but why has powder price gone the same way ? ( thats in ripoff u.k. )
Why can’t component prices go down when raw material prices go down. Yet when raw’s go up, components continue their climb.
This data is misleading copper and lead was much higher 2-3 years ago. They dropped dramatically 1-2 years ago, and have now risen. They are still much lower that they were 3 years ago.
“This data is misleading copper and lead was much higher 2-3 years ago. They dropped dramatically 1-2 years ago, and have now risen. They are still much lower that they were 3 years ago.”
I bet they still use the increase to raise costs.
This has already affected certain brands and types of ammo. Last week I went to the Walmart and bought a large quantity (500 I think?) box of the Federal 22lr ammo. I have purchased lots of these in the past for about $12 or $13 dollars a box. These things had gone up to 19 bucks! Strangely enough, I looked around and saw all of the common pistol ammo (9mm and 40S&W) was as cheap as it had ever been, and lots of it to boot. Go figure.