Price of tubing

[AdirondackSap]

Isnt maple tubing made from petroleum? If so why has the price of tubing gone up so much the past few years. The price of oil is at rock bottom plus the bulk syrup prices are lowering. Seems to me that the big packers manufactures are putting a pinch on the smaller sized operations. When i started maple back in 09 i could get tubing for 40 bucks a roll now some placed as much as 63 dollars a roll. That double the amount what you would get for a gallon of syrup at bulk price how can you make money?

[psparr]

Supply and demand. Start a tubing manufacturing business and give em some competition.

[Thompson's Tree Farm]

The lower oil prices need time to work through the system. I am sure the price of plastics will come down somewhat although probably not as much as we would like.

[TheMapleMoose]

Fuel oil is $1 per gallon less than we paid last year. I wouldn't expect to see that reflected in our syrup prices. Or anyone else's, for that matter.

[spud]

Isnt maple tubing made from petroleum? If so why has the price of tubing gone up so much the past few years. The price of oil is at rock bottom plus the bulk syrup prices are lowering. Seems to me that the big packers manufactures are putting a pinch on the smaller sized operations. When i started maple back in 09 i could get tubing for 40 bucks a roll now some placed as much as 63 dollars a roll. That double the amount what you would get for a gallon of syrup at bulk price how can you make money?

If you have a large operation in your area you might want to buddy up with them. They are buying tubing for $40-43 per roll right now.

Spud

[mapleguy]

Did you ever notice when the price of bulk syrup went through the roof equipment mfg.,s raised the price of everything, so the guy producing basically didn't get ahead. Capitalism at it's best!

[BAP]

It is like anything else you buy, they use any excuse to raise the prices immediately, but when their costs go down, they take forever to lower the selling price and then only by a small amount.

[Clarkfield Farms]

It's a very old "thing." In the stock market, it's the reverse, hence the old saying: "The bull walks up the stairs and the bear jumps out the window." It just is. :)

[markct]

I would bet most of the tubing we are buying was made before oil started to realy drop in the last 3 or 4 months or atleast the raw plastic for it was. Maple is of course realy seasonal so im sure they make tubing and stockpile it all year not just start the extruders up in fall when orders come in. As for the price of equipment going up when bulk was up I think it simply comes down to supply and demand. When bulk isn't worth much fewer people make purchases of evaporators ro etc. So naturaly when they sell more of them as the prices of syrup rise then they up the price a bit too as they can. When there is a bad crop and bulk prices go up do we say no we don't need the extra money per lb just pay me the same price for our bulk syrup that you did the year there was a bumper crop of syrup? No of course not we all gladly take the higher price and are happy about it, its no different that's a free market

[killingworthmaple]

Ok so where can we get cheaper tubing I see some 3/4 main line is going for $170 for 500 ft from one manufacture and $100 for another I am planning on purchasing the from the $100 manufacture.

Unless you have some laying around you would sell me for less.

Nathan
860-604-8115

[DrTimPerkins]

The lower oil prices need time to work through the system. I am sure the price of plastics will come down somewhat although probably not as much as we would like.

Exactly.

Oil doesn't turn into tubing immediately. First the oil is processed, and the raw material to make the plastic is sold. Then that is turned into plastic. Then it is sold to distributors and middle-men. Then those supplies are sold to maple equipment companies (or companies that supply maple equipment companies). To get good plastic prices they have to order a pretty good amount of the raw plastic. So the raw plastic might sit around in storage for a while. Finally it is made into plastic and may sit on the warehouse floor for a while. Altogether, it could take 3-6 months depending upon how fast the supply chain is working. If a manufacturer bought a huge stock of plastic (to make tubing) at a high price, and then the price of oil drops, it definitely will not result in an immediate drop in price.

Then there is the issue of supply and demand. With all the expansion going on, maple equipment companies are cranking out equipment (including tubing) about as fast as they can. If somebody is going to pay $50 a roll for tubing, and the price of the raw material drops, but the demand doesn't, the prices will stay firm.

[BreezyHill]

Ok so where can we get cheaper tubing I see some 3/4 main line is going for $170 for 500 ft from one manufacture and $100 for another I am planning on purchasing the from the $100 manufacture.


One must be careful, as Dr Tim said supply and demand. If there is little demand for one brand of tubing the price goes down. We we started retubing our bush three years ago I have used tubing from 3 different manufactures. One was ok, one was horrible, and the last one is great. I wouldn't even pay $100 for the horrible one. still stretching three season later, not round and the manufacturer would not doing anything about it.

Spend wisely and careful on cheap.

Ben

[maple flats]

Basically maple producers aren't supposed to profit, just the suppliers. That is why most bigger producers also run a dealership for 1 or more lines of maple equipment. Us little guys just enjoy the addiction.

[calvertbrothers]

Ok so where can we get cheaper tubing I see some 3/4 main line is going for $170 for 500 ft from one manufacture and $100 for another I am planning on purchasing the from the $100 manufacture.

Unless you have some laying around you would sell me for less.

Nathan
860-604-8115

Not to sound like a jerk but you pay for what you get. I bought all cdl tubing and saddles. I'm for one to cut cost but if u are running vacuum then tubing and saddles are not to cut cost on what I was told. And I seen first hand From my dealer. And what I mean is vacuum leaks and tubing life expectancy

[GeneralStark]

There are other major factors related to the price of plastics, especially food grade, in addition to what has been mentioned. Generally speaking, plastics are not manufactured from "crude oil" and are instead made from petroleum distillates, lpg, or natural gas derivatives. Energy is also required to make plastics, and the source varies depending upon the process. Food grade plastics require a higher grade base stock than plastics used is other applications, so just because petrol. products are generally more available due to increased extraction technologies in the industry, it does not mean the feed stock for maple tubing is necessarily more widely available and should therefore be cheaper.

[killingworthmaple]

Thank you for the info on the $100 tubing did not know it was poor quality I will buy the $170 one. Thanks again

Nathan