Price of Supplies etc....

[Woodhog]

Has anyone noticed a lowering of Logging supplies  prices ..

Things like files, saw chains, saws, clothing, boots,  pull chains, equipment and parts .

I see the price of steel, copper, nickel, etc has fallen by huge amounts,  transportation (sea freight etc.) has dropped over half... along with of course the price of crude oil..

Have you noticed engine oil, chain oil, grease etc going down yet????

This has been going on over 2 months now and I dont see much change in the stuff I have to buy around here yet....

I dont know much about economics but it would seem everything will have to rack back in price a lot and quite soon??

[ely]

same goes for groceries, it will be along while before the prices fall back inline,imo.

[Ron Wenrich]

Not necessarily right away.  While the costs of certain things have gone down, the things in inventory were produced when prices were higher. 

Groceries are an excellent example.  The groceries on the shelf today were produced with higher priced commodities.  They were also raised with higher priced commodities.  Fertilizer will go down next year.  Fertilizer prices for this past year have to be passed on in the current price structure.

Same goes for logging supplies.  A lot of that stuff was made when steel prices were high.  We have to clean up inventory before we can get to those lower prices.  The only other way out would be for the manufacturer to lower prices.

Its kind of like no one complaining about selling into a rising lumber or log market, but it sure ain't as good as selling into a falling one.