Another Price Increase

[Crowderfarms]

Have any of you priced Glyphosphates lately? Dang near double over last years prices.Must be the cost of them 2.5 and 5 Gallon jugs.. :shock: .

 

[ga. prime]

I just received that bad news yesterday. I usually use 1 or 2 thirty gallon barrels a year. Last year they were about $390/barrel or so. Yesterday, I talked to a fellow that sprays under a lot of pine trees in preparation for straw raking and he told me it was $900/barrel now.

 

[somn]

It is still $12.35 a gallon here.

 

[MikeC]

It is still $12.35 a gallon here.

Could you buy me a couple of million gallons at that price?
___________________________________________________________________

Glyphosate prices on the rise



(2/28/2008)
Jacqui Fatka

Monsanto announced Wednesday that it is increasing the price of its Roundup brand herbicides for the 2008 growing season as global demand is outstripping supplies. Jim Zimmer, Monsanto vice president of US Brands, said Monsanto has worked to maintain full capacity at its two U.S. manufacturing facilities and actually increased 2008 volume more than 20%, although its competitors have not done the same. Zimmer said many competitors' glyphosate production was either flat or down, leading to generic glyphosate being priced higher than Roundup.

Worldwide demand for glyphosate is at an all-time high, and although the surge in demand was anticipated, global manufacturers are struggling to meet the increase. Globally, there are 30 glyphosate manufacturing facilities, with many in China. Zimmer explained that as crude oil prices increase, the price of raw materials go up. In addition, China's booming economy requires some rerouting of power, and capacity sometimes sits idle, he said. Chinese environmental controls are also preventing some glyphosate manufacturing sites from running at full capacity.

Zimmer said the price increases were "reactive, not proactive," to the current supply situation, and in order to maintain the position as a reliable supplier, a price increase was necessary. "We are committed to being a reliable supplier and want to ensure that farmers who choose to purchase Roundup brand herbicides for use with their Roundup Ready crops have that supply available to them," he said.
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P.S. The formulations have changed also. Some say it's better and some say it doesn't work as good.

 

[somn]

It is still $12.35 a gallon here.

Could you buy me a couple of million gallons at that price?

I'm sure you could as long as you bought a couple million gallons from them last year. It is there way of keeping customers loyal to them. Seems to be working. New customers pay more.

 

[john250]

R.E. the Monsanto press release posted above by Mike C.
That is a very long winded way to say: "Because we can."

 

[ga. prime]

Perhaps unsurprisingly, the generic glyphosate I was buying last year (trade name Honcho) for $390/barrel ($13/gallon) was also made by Monsanto.

 

[Jogeephus]

R.E. the Monsanto press release posted above by Mike C.
That is a very long winded way to say: "Because we can."

Perhaps some of their decision to raise the price of their chemicals is driven by the media's recent boasts about the windfall farmers are going to get for their crops this year. For instance, cotton recently hit $0.96/lb. This would mean someone growing cotton could make a pretty decent profit. Only problem, there is no one out there ACTUALLY willing to pay this price. Sounds all to familiar.