Bulk Pricing

[SUGARSMITH]

I don"t know where else to post this so I will put it here. Do commercial/ bulk buyers set the lb prices at the beginning of the year or do they change periodically throughout the year ? Historically are there better months to sell bulk than others. I would just assume to get rid of my crop now than later if the price doesnt change, but if it flexes I will wait.

Any thoughts

[Maple Hill Sugarhouse]

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[VtSugarhouse]

Sitting on bulk syrup this year is not a bad idea. Bulk syrup is high right now but may go higher if the American dollar stays and the Canadians only have an average year.
Basically Quebec governs the price market because they are the largest producer in the world.
At the moment packaging co.'s are paying as high as $2.75 lb for grade "B" and Dark Amber.
Last year a lot of organic syrup was sold accross the board at $2.65 a lb. This year Canada has no back log of syrup and with the increase in fuel who knows where the price is going to end up.
I know of producers in the last 60 days which have sold Med Amber and Fancy for $3.00 and $3.25 a lb.
So its your call. Do what you think will bring you the best price.

I'm sitting on mine ....it doesnt go bad and the interest rate is increasing all the time.

Good Luck!!

[fred]

bascoms is paying 2.30 right now but will probably go to 2.50 by may. that is what ive based my prices on as well. and yes it will go up in the fall probably 3.25 or higher. the people who sold out the first of feb made out well!!!!!

[jdj]

Fred, 2.30 a lb for what grade? Thanks

[skinny78]

Is there a general conversion factor used to convert gallons of syrup to pounds of syrup?

[MaplePancakeMan]

each gallon of syrup weighs just over 11 pounds ( i believe) if at the correct density and free of all other dirt/niter etc.

[802maple]

Maple Grove is 2.40 for fancy, 2.35 medium amber, 2.30 A-Dark,2.00 Grade B and1.95 for Commercial, with a later payment to come if the price goes up.

I have bought for Maple Grove for years and as some have said it has gone up in the fall sometimes but not all the time. I have seen it drop in the fall as well. Any of these 3.00 plus purchases must have been made from very small packers or sugarmakers that needed syrup as I don't believe that major packers are paying that much, I could be wrong. Some organic producers may have got that much for their product.

[fred]

i pay the same across the board because i sell all grades for the same price.and as i said before it costs the producer the same money or more the darker you go to make

[VtSugarhouse]

Just for info Haven King of Maple Grove just paid $2.75 lb for Dark Amber at the Farm Show in Barre. Naturally he will buy for less if you want to sell it for less.

[WESTVIRGINIAMAPLER]

I don't want to throw snow on the fire, but I hope it don't go above $ 3.00. If it goes up above this, the retail price is going to turn off consumers and we are going to be right back to the low prices that were a problem a few years ago. With the economy the way it is and not getting any better, people don't need to pay much higher prices for syrup and greed will kill the market. I know it's the law of supply and demand, but we have got to draw the line somewhere.

To most people, syrup is a luxury item and not a neccessity. A lot will still buy, they may just buy one quart instead of normal 2 or 2 quarts instead of normal 4 quarts. I am starting to see that this year and I haven't raised prices. Gas is going to be over $ 4.00 a gallon this summer and most people are on fixed income and gas for the vehicle is more important than syrup.

[Maple Hill Sugarhouse]

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[WESTVIRGINIAMAPLER]

Kevin,

I was thinking the same thing. I don't wish for a federation, but would be nice if we had some kind of pricing regulations. As in my case, when the syrup is gone for the year, it is gone. Just start taking orders for the next year. Doubt this is going to happen too much with running out of sryup for the bulkies and I am glad the prices are higher as everything in maple is thru the roof. Evaporators and supplies including tubing has close to doubled in 10 years and I have raised the price of my syrup 20%. If I went from $ 10 to $20 per quart, I wouldn't have to worry about selling much of it, might as well quit.

[Maple Hill Sugarhouse]

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[WESTVIRGINIAMAPLER]

It is funny that there hasn't been a whispher of criticism of the federation in my recent memory.

Things that make you go hmmmmmm.

[VtSugarhouse]

Also seems funny Canada has no back log of syrup and the province of Quebec was the buyer last year for Maine syrup at $2.65 a lb.
Canada's quota system has all but gone along the wayside.
The American dollar is at parr and the price of fuel oil has gone over $4.00 per gallon.
Almost makes you wonder where the price of syrup this year will end up?



Makes you think .....now doesnt it?

[802maple]

I am not saying that syrup won't be getting 2.75 a lb. All I'm saying is this is what I am allowed to pay for syrup at this present time, and this is a advance price with an additional amount to make up the difference between that and the final price coming at a later date. I will be surprised that bulk syrup hits 3.00 dollars a lb. is all I'm saying. If it is a good year it will probably level out somewhere near 2.75. If I am wrong in the fall I will publicly apologize for my error of judgement

[Justin Turco]

I am not sure how all this works. The quota system in Canada has gone on the wayside? Was their quota designed for max production or was it designed to limit production, to keep prices high? I think I read that their government (the federation??) is trying to up production bigtime. Is that true? That can't be good for U.S. producers who are trying to Match the low price of Canadian syrup that you can buy in any grocery store these days. Not picking on my friends from Canada, just trying to understand the dynamics of this market. When I was a kid in the 80's I think we paid 40 for a gallon and you couldn't buy it in Hannafords or Grand Union. Times have changed.

[802maple]

It was basically designed to limit the production as to not flood the markets like in the past. From conversations with some of my Canadian friends I believe they have lifted the quotas up to 10 percent more, and I understand that is happening. Maybe some of our Canadian friends on here could verify that.

[Dennis H.]

This almost sounds like OPEC of Maple syrup!

[802maple]

It is pretty much like that as Quebec is the driving force of our bulk prices like it or not. It is very similar actually especially here in Vermont as we can't possibly make enough syrup for the major packers here in the state due to the fact that it is nearly impossible to tap the millions of taps on government land (ie statelands and federal lands). So the packers have to look elsewhere.

[WESTVIRGINIAMAPLER]

There is getting to be so much demand for American syrup that even if the Canadian reserves go way back up which is not likely, it won't have nearly as big of effect on the prices here as it did in the past.