bulk vs individual sales [Archive]

barkeatr

10-24-2009, 06:38 AM

we are starting to sell syrup commercially , my family and me after 4 years of making 8 gallons or so on a half pint.

we find the idea selling syrup at bulk rate attractive. We would keep a smaller portion for family and friends and a few sales and pack the rest up for bulk sales. Im thinking 150 taps at a minimum.

do many folks bulk sell the majority of thier syrup?

I just think instead of dealing with the packaging, i will just add 30 taps or so and produce a bit more syrup..

are there downsides of selling bulk?

WESTVIRGINIAMAPLER

10-24-2009, 07:42 AM

At that size, you should be easily able to build up a retail base and sell it all that way. Much higher $$$$ vs wholesale unless you don't want to fool with retailing it.

KenWP

10-24-2009, 08:31 AM

Problem with 150 taps is it might not give you enough to fill a barrel of syrup to sell bulk and if it did it would be different grades from beginning to end so would go for a lesser grade mixed in a barrel. Would be a one shot deal to sell but would not give you the return you would get retail once you get a base to sell to. Also you miss out on the fun of talking to new customers.

Haynes Forest Products

10-24-2009, 08:44 AM

Barkeatr When you say BULK who will you sell it to bulk? In Wisc. to sell bulk to a wholesaler you will have to be inspected and be able to prove that you passes the inspected. I would go with the expansion plans and sell in bigger containers to friends and family.

3rdgen.maple

10-24-2009, 06:41 PM

jdj

10-25-2009, 12:05 AM

Haynes I think as of 2010 you have to be inspected and pass to sell bulk syrup anywhere. If you went to say Bascom's and did not have proof of inspection you would be rejected. The only way around it is to have someone inspected already to take it in for you.
Barkeater with that many taps I think you would have no problems selling your syrup direct. In light of everything you did to make the syrup bottling is the easy part. Instead of getting 2.50 to 3.00 bucks a pound you could get around 5 bucks a pound selling direct.

Like Barkeater, I live in Franklin County, NY and to get $5 a pound for syrup($55/gal) off the shelf is out of the question! The average price range of syrup around here is $36-42 per gallon. This area is economically deprived!! I sure wish the income level around here was high enough to get $5 a pound, that would be nice because when I go to the manufacturers to buy syrup equipment I pay the same as the producers that can get $5/lb .

WESTVIRGINIAMAPLER

10-25-2009, 01:53 PM

I sell only in quarts and pints, so I have been averaging $ 50 @ gallon as I sell quarts for $ 12 and pints for $ 7. This coming season, I plan to go to $ 13 @ quart and $ 7.50 for pints as I have been at the last prices for 3 years. Quarts move faster and you can increase your profit margin even though you have to buy 3 extra jugs.

3rdgen.maple

10-25-2009, 10:39 PM

jdj I am on the salmon river and get alot of tourist. I have been selling quarts at 16 bucks for years. No questions asked. That is 5.81 a pound. It is rare when someone ask's for a gallon jug. I got people that will by 2 or 3 gallons at a time and only want the quarts. I told one guy once if he got it in a gallon jug it would price better and he said I don't care I want quarts. I have not bought a gallon jug in many many years. I guess it is all about price and demand. If it ends up being more profitable selling bulk then go for it. You guys could also offer other items like cream, sugar or candy as it will get you more money per pound as well.

danno

10-26-2009, 02:00 PM

[QUOTE=3rdgen.maple;84610]Haynes I think as of 2010 you have to be inspected and pass to sell bulk syrup anywhere. If you went to say Bascom's and did not have proof of inspection you would be rejected.

Did I miss this thread - is this new? I've never been asked to show proof of inspection when selling wholesale in NY. And I believe my NY buyer in-turn sells to Maple Grove. Or maybe I'm wrong.

Anyway, must a producer now be inspected to sell retail and/or wholesale in NY?

dschultz

10-26-2009, 04:12 PM

According to what my inspector said,any producer in any state that is going to sell syrup to a bulk buyer needed a license for 2010 production and if you are to have it in a store or sell it at a farmer's market you need a license.But if you are to make syrup and sell it right out of your house you do not need a license.

PerryW

10-26-2009, 04:51 PM

I've been selling to Bascoms for 20 years and have never been asked for proof of inspection.

But for 150 taps, I would consider retail since the price seems higher and more stable than the bulk prices.

3rdgen.maple

10-26-2009, 07:26 PM

I am pretty sure this takes effect january 1 2010. I just emailed Bruce at bascom's to confirm or deny this. I know i read an article somewhere Where he was explaining how to get the license and the reason for it but darn if i cannot find it. I will post his reply When i get it.

WESTVIRGINIAMAPLER

10-26-2009, 09:35 PM

Unfortunately with the socialist regime in office, this is going to continue to get worse and in our lifetimes, we may not able to even make syrup without paying several thousand dollars per year for all the fees they impose which will basically drive out everyone but the big guys and kill the market.

3rdgen.maple

10-27-2009, 11:08 PM

Okay guys it appears that I am wrong and for the life of me I still think I read this somewhere but maybe it was just something the industry was talking about doing but never did. Here is a copy of the response to the email I sent Bruce. Again sorry for the misleading info.

No we can buy delivered to Bascom in N.H. U.S. field syrup drums from
farmers without any inspection or license. We do inspect the syrup for grade
when we receive.

brookledge

10-28-2009, 08:48 PM

Lets hope it stays that way.
I'm glad you were wrong this time

Keith

tuckermtn

10-28-2009, 08:58 PM

I may be out of place here,

but can we talk syrup, not politics...

3rdgen.maple

10-29-2009, 05:34 PM

I may be out of place here,

but can we talk syrup, not politics...

We are talking about syrup and not politics. We are discussing selling bulk vs. selling direct to the consumer. The topic of being licensed to sell bulk came up and I was wrong and posted the response from Bruce Bascom. Did I miss something.

I guess I did sorry tuckermtn I just picked up on that.

danno

10-30-2009, 08:06 PM

3rdgen - maybe you were thinking of selling organic syrup - pretty sure that requires certification?

Rhino

10-30-2009, 08:53 PM

D. Schultz, I had a inspector come on October 5th for a preliminary walk thru. Had a good talk about selling my bottled syrup. since I sell all my bottled syrup at 4 famers markets and thru my home I don't need any inspection of my bottling facility or a permit. At first the inspector was doubting this but she e-mailed me the next day that I was right. If your inspector claims you need one to sell at farm markets have them double check. I am getting the processing license so I can sell bulk. Had to cut a check for $95.00. Heard that WI. packers might have trouble getting syrup from other states and Canada because of the WI. inspection laws. Fact or fiction?? any one else hear this?

dschultz

10-31-2009, 09:36 AM

Rhino,
Thank's, that good to know about the farmer's market.I'll have to ask my inspector about that again and see what he say's.I'll be getting a license so I'm covered either way.

michelle32

10-31-2009, 10:00 AM

You don't need a organic certification. Unless you Sell more than $5000.00 in produce. Weather its syrup or veggies. Over $5000.00 you must be certified to sell as organic.
Keith

barkeatr

11-27-2009, 09:15 AM

THANKS for all the input folks..im going to read these closer.. and make a plan!

barkeater

Gary R

11-28-2009, 07:18 AM

Barkeatr,

I too, am at that point. I know it would be easy to sell 10-15 gal. retail. But, I would need to get inspected, deal with all the jugs and sell it. Around here there aren't many true wholesalers. There are guy's that buy it, but they in turn sell it to companies like Maple Grove. Middle men and they have to make money also. The other possibility is to sell it to a retail producer. Around here, there are retailers that sell out of syrup. If you get to know them, they may be willing to buy it 5 gal. at a time. You won't have to travel far to deliver it and you should get a good price for it as if they had to buy it from the big wholesalers.

Another idea, what to do?:)

Jim Brown

11-28-2009, 10:54 AM

GaryR. Make all the syrup you can and I'll buy it from you 5 gallon at a time(LOL).You need more taps!!

Jim

Gary R

11-28-2009, 07:03 PM

Haha!, Jim you were in my thoughts when I posted it. If I add more taps, I'm going to need more GPH. I'll have to build another evaporator and on we go.

I think it's a good deal for the guy looking to sell a few gallons.

jrthe3

11-28-2009, 08:29 PM

gary r i thought you did not need to be inspected if you made less than 1000 gallons of syrup

Gary R

11-29-2009, 08:03 AM

Boyd,

I have no clue as to the regulations. I'm sure they are different state to state. This is one of those things that we should have the regulations (link) posted on the local associations web site and possibly the thread on this site for PA maple producers. It would make our customers feel better and we would have a quick resource to make sure we comply.

Here you go for PA: http://weblinks.westlaw.com/toc/default.aspx?Abbr=pa%2Dst%2Dweb&Action=ExpandTree&AP=N5300941D8E8740EA8FA4086531546FF0&ItemKey=N5300941D8E8740EA8FA4086531546FF0&RP=%2Ftoc%2Fdefault%2Ewl&Service=TOC&RS=WEBL9.11&VR=2.0&SPa=pac-1000&pbc=4BF3FCBE&fragment#N5300941D8E8740EA8FA4086531546FF0

Sorry for the high jack. We should find these for all the states.

Jim Brown

12-01-2009, 01:21 PM

jr; You are correct about the 1000 gallon part. I choose to be inspected and licenced as it makes it easier when talking to customers.Not to mention that they look good hanging on the wall were the customers can see them! Inspections are free,water test cost $35.00 and licences are $35.00.Both are done just before the start of the season in Feb.

Jim

Dennis H.

12-02-2009, 12:01 AM

Hey Gary what is that info abput that you have a link for?
I can't seem to get the link to work from my end.

Gary R

12-02-2009, 07:57 AM

It should have taken you to the actual laws regulating Maple syrup production. I went to PA Dept. of Ag. first. A couple of clicks away I was directed to a law firm web site. They maintain the laws on the web for the Dept. of Ag. I went into a secure site so that may be why the link did not work. I only viewed a little bit but, it appears anyone selling syrup retail or wholesale "may" be inspected and "must" get a water test if using a private well. Those producing over 1000 gal. "must" get a license.