Ammo Shortage

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HankB
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Re: Ammo Shortage

#31

Post by HankB »

If it's simply a matter of people hoarding the ammo, then a lot of new garages must be getting built, since the shortage has gone on so long the horder's original garage must be overflowing by now.

I talk to some dealers and they claim that their suppliers aren't getting ammo from the factories in the usual quantities . . . and the shortage is so pervasive and widespread that a week or two back, it hit the front page of the Austin paper.

I figured it was just the Obama buying panic, but as things keep on, and as I hear from those in the business that the ammo simply doesn't seem to be entering the market, I'm beginning to wonder . . .
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03Lightningrocks
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Re: Ammo Shortage

#32

Post by 03Lightningrocks »

HankB wrote:If it's simply a matter of people hoarding the ammo, then a lot of new garages must be getting built, since the shortage has gone on so long the horder's original garage must be overflowing by now.

I talk to some dealers and they claim that their suppliers aren't getting ammo from the factories in the usual quantities . . . and the shortage is so pervasive and widespread that a week or two back, it hit the front page of the Austin paper.

I figured it was just the Obama buying panic, but as things keep on, and as I hear from those in the business that the ammo simply doesn't seem to be entering the market, I'm beginning to wonder . . .
I had an interesting conversation with someone working at a local gun shop/range. I brought up the suppliers as a possible cause. He pointed out something I had not considered. Before the panic set in, gun shops and sporting goods stores had stock sitting on the shelves. When new shipments came in, it went into the stock room. The suppliers were not trying to spread the ammo amongst every single store in the whole United States. They could send a few cases here and there. A few boxes here and there. Even if your local Wally World got no ammo for a week or two....no big deal. The average guy would not even know it. They all had stock in the store rooms. Now that all the stored up stocks have been wiped out, the suppliers are now trying to restock more stores than their production can keep up with. It takes a pretty hefty investment to ramp up production to triple or quadruple your normal rate. The ammo manufacturers are surely aware that this demand will subside, just like high oil prices, in due time and don't want to increase their capacity and not be able to support it when the paranoia dries up.
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Liberty
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Re: Ammo Shortage

#33

Post by Liberty »

One thing that sorta bugs me about this sort of thing is that f the domestic manufacturers caant keep up, where are the foreign suppliers? I would assume that Obamaism has created a national demand not a worldwide demand. It would seem as though the international supplies should be able to kick in and fill in the void not met by the likes of Olin who refuse to increase manufacturing capability.
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Oldgringo
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Re: Ammo Shortage

#34

Post by Oldgringo »

The oil companies, in cahoots with OPEC, cut back on production so as to create an artificial shortage which created higher demand which drove up prices.

This whole ammo shortage {business} stinks to the high heavens!

jeeperbryan
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Re: Ammo Shortage

#35

Post by jeeperbryan »

Oldgringo wrote:The oil companies, in cahoots with OPEC, cut back on production so as to create an artificial shortage which created higher demand which drove up prices.

This whole ammo shortage {business} stinks to the high heavens!

Is this based on something? I don't recall this and I don't remember changing my demand for oil because of an "artificial shortage" in the past 2 years. Actually, I remember cutting back on my oil consumption. If anything, oil companies might have cut back on production because they forsaw a higher future price.
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Oldgringo
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Re: Ammo Shortage

#36

Post by Oldgringo »

jeeperbryan wrote:

...Actually, I remember cutting back on my oil consumption....
...and, when you, I and others cut back on our consumption, the price of oil did what...?

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Re: Ammo Shortage

#37

Post by jeeperbryan »

Oldgringo wrote:
jeeperbryan wrote:

...Actually, I remember cutting back on my oil consumption....
...and, when you, I and others cut back on our consumption, the price of oil did what...?
along with lower demand, a few quarters of negative GDP, dried up lines of credit, and increased unemployment rates.....prices have gone down. but you still didn't answer my question about the "artificial shortage" that created the increased demand you speak of. is this claim based on actual data? are you saying that we're experiencing an "artificial shortage" of ammo caused by ammo manufacturers?
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Keith B
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Re: Ammo Shortage

#38

Post by Keith B »

I really don't think there is any conspiracy here as many are trying to make to out to be. It is simply a factor of two things; higher demand and volume buying/stockpiling.

We saw a large increase in people buying guns, many who either were inactive or never even have owned before. New guns and gun owners means a higher demand for ammo in general. Also, the fear that the Obama administration wants to try and extremely tax ammo, stamp the cases, etc. is causing many folks to panic buy and stockpile due to the fear of higher prices or it not being available any longer. The demand has simply overran the manufacturers production capabilities and they can't keep up. It takes time to ramp up the production volumes, so every bit they make ships out and gets sold out almost immediately.

Give it another few months and the revenues from the amount they have been selling will allow them to increase production. Also, as folks get their stockpiles built up, the demand will slow and we will start seeing ammo available again, just like the reappearance of the elusive and thought to be nearing extinction AR-15. ;-)
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Oldgringo
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Re: Ammo Shortage

#39

Post by Oldgringo »

jeeperbryan wrote:
Oldgringo wrote:
jeeperbryan wrote:

...Actually, I remember cutting back on my oil consumption....
...and, when you, I and others cut back on our consumption, the price of oil did what...?
along with lower demand, a few quarters of negative GDP, dried up lines of credit, and increased unemployment rates.....prices have gone down. but you still didn't answer my question about the "artificial shortage" that created the increased demand you speak of. is this claim based on actual data? are you saying that we're experiencing an "artificial shortage" of ammo caused by ammo manufacturers?
You've confirmed that lower demand, for whatever reasons, caused the price of fuel to come down. Quite obviously, the demand for ammo is greater than the manufacturer's and merchant's supply. Perhaps the factories are producing at peak capacity and perhaps not. In either event, there is a real shortage.

Please tell us why, in your opinion, there is a real shortage of ammo and what you propose to correct this very real lack of product?
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03Lightningrocks
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Re: Ammo Shortage

#40

Post by 03Lightningrocks »

Keith B wrote:I really don't think there is any conspiracy here as many are trying to make to out to be. It is simply a factor of two things; higher demand and volume buying/stockpiling.

We saw a large increase in people buying guns, many who either were inactive or never even have owned before. New guns and gun owners means a higher demand for ammo in general. Also, the fear that the Obama administration wants to try and extremely tax ammo, stamp the cases, etc. is causing many folks to panic buy and stockpile due to the fear of higher prices or it not being available any longer. The demand has simply overran the manufacturers production capabilities and they can't keep up. It takes time to ramp up the production volumes, so every bit they make ships out and gets sold out almost immediately.

Give it another few months and the revenues from the amount they have been selling will allow them to increase production. Also, as folks get their stockpiles built up, the demand will slow and we will start seeing ammo available again, just like the reappearance of the elusive and thought to be nearing extinction AR-15. ;-)

:iagree: :iagree: :iagree:

mr surveyor
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Re: Ammo Shortage

#41

Post by mr surveyor »

and now that the manufacturers, distributors and dealers have seen that the "public" is willing to pay these (often 200% or more) inflated prices, will they still return to the already over inflated pre-election prices?


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03Lightningrocks
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Re: Ammo Shortage

#42

Post by 03Lightningrocks »

mr surveyor wrote:and now that the manufacturers, distributors and dealers have seen that the "public" is willing to pay these (often 200% or more) inflated prices, will they still return to the already over inflated pre-election prices?


surv
I wonder this myself. I think they will be forced to drop the prices as supplies increase. Hope so anyway.

Here is an interesting take on the shortage from a law enforcement viewpoint.


http://www.policeone.com/police-product ... -shortage/" onclick="window.open(this.href);return false;

jeeperbryan
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Re: Ammo Shortage

#43

Post by jeeperbryan »

Keith B wrote:I really don't think there is any conspiracy here as many are trying to make to out to be. It is simply a factor of two things; higher demand and volume buying/stockpiling.

We saw a large increase in people buying guns, many who either were inactive or never even have owned before. New guns and gun owners means a higher demand for ammo in general. Also, the fear that the Obama administration wants to try and extremely tax ammo, stamp the cases, etc. is causing many folks to panic buy and stockpile due to the fear of higher prices or it not being available any longer. The demand has simply overran the manufacturers production capabilities and they can't keep up. It takes time to ramp up the production volumes, so every bit they make ships out and gets sold out almost immediately.

Give it another few months and the revenues from the amount they have been selling will allow them to increase production. Also, as folks get their stockpiles built up, the demand will slow and we will start seeing ammo available again, just like the reappearance of the elusive and thought to be nearing extinction AR-15. ;-)
I can't agree more. Too many conspiracy theorists on here. There is no "artificial shortage" of ammo due to manufacturers cutting back on production.
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Keith B
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Re: Ammo Shortage

#44

Post by Keith B »

03Lightningrocks wrote:
mr surveyor wrote:and now that the manufacturers, distributors and dealers have seen that the "public" is willing to pay these (often 200% or more) inflated prices, will they still return to the already over inflated pre-election prices?


surv
I wonder this myself. I think they will be forced to drop the prices as supplies increase. Hope so anyway.

Here is an interesting take on the shortage from a law enforcement viewpoint.


http://www.policeone.com/police-product ... -shortage/" onclick="window.open(this.href);return false;
I have seen higher prices at gun ranges and stores that are taking advantage of the shortage to grab a it while they can, but it seems the chain stores (Wal-Mart, Academy, Dick's, etc.) have not increased their prices. The only way I can see that happening is if the manufacturers or distributors increase the price the store pays.
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Oldgringo
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Re: Ammo Shortage

#45

Post by Oldgringo »

jeeperbryan wrote:

Too many conspiracy theorists on here. There is no "artificial shortage" of ammo due to manufacturers cutting back on production.
Thanks, that sure takes a load off of my (feeble) mind. I'll really start to feel better when I see ammo back on the shelves at pre-no "artificial shortage" shortage prices. Have a nice day. :tiphat:
Last edited by Oldgringo on Mon May 04, 2009 11:44 am, edited 1 time in total.
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