SE WI / Pellet Price Up $1.10 per bag??? New Trend?

Post in 'The Pellet Mill - Pellet and Multifuel Stoves' started by Snowmobileaddict, Jun 20, 2013.

  1. Snowmobileaddict

    Snowmobileaddict
    Expand Collapse
    Member

    Joined:
    Oct 12, 2012
    Messages:
    95
    Likes Received:
    21
    Loc:
    Cedarburg, WI
    I plan on also including a note in the pellet price report section of the message board, however I also wanted to start a dialogue here as well.

    Does anyone know if this is going to be a normal price now for pellets in WI? I've been burning Somersets from Menards at $3.89 per bag for all last year's heating season. They have been that price for nearly one year.

    From last week to this week they jumped to $4.99 per bag at every Menards in WI. Thats a big jump. I thought typically the summer months was when the price became more reasonable.

    Any ideas as to why the price increased? Home Depot has the same trend now for its Pellets however they never really have a brand worth buying. I realize that this new price falls more in line with what folks pay on the eastern seaboard, but this quite a bit more than what us midwesterners paid last season. Yikes.
     
    Collapse Signature Expand Signature

    Helpful Sponsor Ads!





  2. moey

    moey
    Expand Collapse
    Minister of Fire

    Joined:
    Jul 12, 2012
    Messages:
    1,306
    Likes Received:
    317
    Loc:
    Southern Maine
    Lowes ( by me ) raised their prices last spring/summer for wood pellets then lowered them in Sept when everyone else started to get them in.
     
    Collapse Signature Expand Signature
  3. StihlHead

    StihlHead
    Expand Collapse
    Guest

    Prices here are up about 5% by the ton lately. Not sure if its seasonal, or some wood product price pressure. OSB is down to $11 a sheet again, after peaking at $16. 2x4s are still high though, over $2.50 for an 8 ft. board.
     
  4. 343amc

    343amc
    Expand Collapse
    Feeling the Heat

    Joined:
    Nov 23, 2005
    Messages:
    375
    Likes Received:
    181
    Loc:
    West Michigan
    Menards around my area did the same thing. They went from 3.50/bag to 4.49/bag.

    At this point my local pellet dealer has the same prices as last year. We'll see what fall brings.
     
    Collapse Signature Expand Signature
  5. Snowmobileaddict

    Snowmobileaddict
    Expand Collapse
    Member

    Joined:
    Oct 12, 2012
    Messages:
    95
    Likes Received:
    21
    Loc:
    Cedarburg, WI
    I hope they pull back some from $4.99. That's kind of a bummer. At least we only use pellets to heat our finished basement. The rest of the house has natural gas forced air.
     
    Collapse Signature Expand Signature
  6. smoke show

    smoke show
    Expand Collapse
    Guest

    I buy in spring(March-April) and prices were normal then.
     
  7. slls

    slls
    Expand Collapse
    Minister of Fire

    Joined:
    Jun 9, 2008
    Messages:
    1,489
    Likes Received:
    51
    Loc:
    central maine Lat 45
    When oil equals pellets, oil wins.
     
    Collapse Signature Expand Signature
  8. blades

    blades
    Expand Collapse
    Minister of Fire

    Joined:
    Nov 23, 2008
    Messages:
    2,076
    Likes Received:
    549
    Loc:
    WI, Milw
    Why the price increase, simple, cost of electric, NG, and fuel is all up. That and the bulk of pellets produced state side are shipped over seas, where they turn a better profit.
     
    Collapse Signature Expand Signature
  9. moey

    moey
    Expand Collapse
    Minister of Fire

    Joined:
    Jul 12, 2012
    Messages:
    1,306
    Likes Received:
    317
    Loc:
    Southern Maine
    Still considerably cheaper then oil which would have to be around ~$2.25 to equal a $5 bag of pellets. It will go down again, Menards will have there 12% rebate weekend Lowes has 10% of coupons. You can usually buy 10% HD coupons on ebay. And pellet prices go down in the fall when the big box stores put up the big signs saying pellets have arrived.
     
    Collapse Signature Expand Signature
  10. Snowmobileaddict

    Snowmobileaddict
    Expand Collapse
    Member

    Joined:
    Oct 12, 2012
    Messages:
    95
    Likes Received:
    21
    Loc:
    Cedarburg, WI
    I stocked up for the upcoming heating season in April when Somersets were still $3.89 a bag. Yesterday I was thinking up picking up some more just to increase my stash and noticed the big price hike. We'll see what happens in the coming months I guess.
     
    Collapse Signature Expand Signature
  11. moey

    moey
    Expand Collapse
    Minister of Fire

    Joined:
    Jul 12, 2012
    Messages:
    1,306
    Likes Received:
    317
    Loc:
    Southern Maine
    Lowes still has pellets for 4.38 a bag. Order them online with a scavenged 10% off code from a deal site. Use your discover card and get a additional 10% off ( 5% using shop discover 5% for home improvement stores ). Pellet price is $3.56 a bag for someone in NE. One of the cheapest way to get pellets at least in New England. Basically how I bought most my pellets last year even found some $20 of $100 coupons online making the price $3.17 a bag using the method above.
     
    Collapse Signature Expand Signature
  12. slls

    slls
    Expand Collapse
    Minister of Fire

    Joined:
    Jun 9, 2008
    Messages:
    1,489
    Likes Received:
    51
    Loc:
    central maine Lat 45
    This year high grade pellets, oil is same.
    5 X 50 = $250, rule 250 pellets 250 oil
     
    Collapse Signature Expand Signature
  13. moey

    moey
    Expand Collapse
    Minister of Fire

    Joined:
    Jul 12, 2012
    Messages:
    1,306
    Likes Received:
    317
    Loc:
    Southern Maine
    Not sure where your finding $2.50 oil or that rule.

    This is a pretty good comparison tool for various heating types:

    www.eia.gov/neic/experts/heatcalc.xls‎

    Assuming a oil burner is 85% efficient and a pellet stove is 75% efficient break even is $2.38 for oil for $250 a ton in pellets. Play with the numbers a bit its kinda interesting.
     
    Collapse Signature Expand Signature
  14. slls

    slls
    Expand Collapse
    Minister of Fire

    Joined:
    Jun 9, 2008
    Messages:
    1,489
    Likes Received:
    51
    Loc:
    central maine Lat 45
    Too many numbers. I decided to burn oil this coming winter Dec through March, pellets the rest, oil is just too convenient.
     
    Collapse Signature Expand Signature
  15. smwilliamson

    smwilliamson
    Expand Collapse
    Minister of Fire

    Joined:
    Dec 28, 2009
    Messages:
    4,411
    Likes Received:
    747
    Loc:
    Southcoast, MA
    You'll see a lot of offerings at the end of the summer (pre-season) higher than during the season. There are people who don't shop around and are compulsive, as a retailer, it's always better to start from a higher target and reduce the price as more buyers come in to the market than to start off low and hope to regain profits at a later time. Don't be fooled, a lot that drives the retail fuel price is speculative and everyone is waiting to see what everybody else is doing.
     
    Collapse Signature Expand Signature
  16. smwilliamson

    smwilliamson
    Expand Collapse
    Minister of Fire

    Joined:
    Dec 28, 2009
    Messages:
    4,411
    Likes Received:
    747
    Loc:
    Southcoast, MA
    Did you know that 86% of all of the profit made from oil leaves our country? So from the moment the oil reaches us to be refined, delivered, home delivered etc... we're doing all that on 16% of the total profit. Read my sig about how to create 140,000 new jobs. Even if it costs a few dollars more for pellets...wouldn't it be worth it? There is a lot more riding on the cost of things than the cost of things if you know what I mean.
     
    Collapse Signature Expand Signature
  17. slls

    slls
    Expand Collapse
    Minister of Fire

    Joined:
    Jun 9, 2008
    Messages:
    1,489
    Likes Received:
    51
    Loc:
    central maine Lat 45
    When you get into your mid seventies, pellets don't look so good, especially at -10 or -15 deg F. 40 lb gets even heavier.
    Natural gas is 100 yds away, that's another story.
     
    Collapse Signature Expand Signature
    moey likes this.
  18. smwilliamson

    smwilliamson
    Expand Collapse
    Minister of Fire

    Joined:
    Dec 28, 2009
    Messages:
    4,411
    Likes Received:
    747
    Loc:
    Southcoast, MA
    I hear you.
     
    Collapse Signature Expand Signature

Share This Page

Entire Site copyright © 1995-2016 - email to webinfo@hearth.com
Hearth.com and HearthNet are property and trademarks of Hearth.com LLC Advertising Information