2012/2013 pellet prices.

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buildingmaint

Feeling the Heat
Jan 19, 2007
459
Oil City PA
Talked to my supplier today, Oil City Agway, and he told me that prices are up ,
and they are staying up. Said he called 4 other suppliers and they all told him the
same story. $250.00 , and not going down.
 
Early buy Hamer price up here is $299/Ton. Projected fall price will be closer to $330/ton. Barefoots only slightly better at $289/Ton. Where we are seeing some decent prices is the mills that don't have a fiber shortage/issue. Chip to log brands like PowerHouse/GAP($199/ton) and Maine Choice($199/ton)/Geneva($249/ton).

Have you check out PowerHouse/GAP? They are made right in Palmerton, PA.
 
Expect higher if diesel goes up. I would buy at least a couple tons early.

Eric
 
i seen Barefoots today 250 per ton for the load of 22 ton i would jump on it at 200 :D might even meet him in the middle, guess trying wouldnt hurt

So you would do a full load for $225/ton? Might be a streach, But maybe as many just aren't buying right now! CTpellet had an extra $10 off per ton if you took them now. Move all the remaining Turmans they had by the sounds of it! @$249 was a decent deal(in this region). IMHO, spring deals and maybe a mid season boxstore pellet war are the only hope for decent prices. I am not taken a chance on waiting till fall. I gotta un~clutter the basement soon. Stuffin in 1 ton of PH and more if I can. I'd really feel more comfy sitting on 4 plus like last season.
 
MWP @ $219 delivered is sounding better all the time!
 
I am feeling tempted to buy 3 tons of Green Teams at Lowes at $219/ton, but really wanted to experiment a bit more on them due to the clinker in my stove. I think i can "dial in" my stove to get the GT burn ok.
I liked the heat they throw.

I thought about waiting 'till April to see the early buy offers from the dealers but is that a good idea??:(

I am checking with Lowes to see if they STILL have any and may buy from Lowes, wonder if they can hold your order for "some time".....:rolleyes:

..
 
Fuel prices MAY go down this Summer, you never know. If fuel prices drop, so will pellet prices. However, it's a gamble either way. You may luck out buying early if fuel prices level off or rise, or you'll be kicking yourself later in the year if fuel settles back into the $2-$3 per gallon range.

I would think the unusually mild Winter in the NE US would result in a lot of overstock for next year, supply may exceed demand significantly as a result, which could also drive prices down. Maybe I'm just seeing the glass half full...
 
Not taking any chances, got just over 6 tons stacked in the garage. Will buy more later if price drops, hell I got the room, so why not?
 
Ya jay @ 200 i would jump maybe more then 1 load

Geek they are 219 here too im waiting/ hoping they drop to 198 again i know of 3 truckloads heading this way with the 10% coupon will put me around 178 thats where i wanna be I have enough pellets to bury a horse right now so i can afford to take a chance :cool:
Which Lowe's has them for $219
 
Fuel prices MAY go down this Summer, you never know. If fuel prices drop, so will pellet prices. However, it's a gamble either way. You may luck out buying early if fuel prices level off or rise, or you'll be kicking yourself later in the year if fuel settles back into the $2-$3 per gallon range.

I would think the unusually mild Winter in the NE US would result in a lot of overstock for next year, supply may exceed demand significantly as a result, which could also drive prices down. Maybe I'm just seeing the glass half full...


That is a long shot. With Iran and Isreal not playing very well together there might be issues. Fuel will be the biggest problem in this.

Eric
 
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That is a long shot. With Iran and Isreal not playing very well together there might be issues. Fuel will be the biggest problem in this.

Eric

*Disclaimer* I sell pellets!

We have gotten prices from somewhere north of 10 suppliers now, even some we have never dealt with. Very shortly, the "big boxes" will stop selling pellets in order to make room for their Spring garden stuff, etc., so that window of opportunity will soon slam shut until fall. Most, if not all of the pellet companies are NOT taking counters on price, citing, once again, the scarcity of raw material, and the increased costs in getting said material TO the mill to make pellets, the increased costs of the energy to produce those pellets, and the increased costs to get those pellets to the retailer, whomever that might be. To me, this all points to prices INCREASING until fall, rather than decreasing. I do agree above with ChrisWNY in that if the energy prices fall, pellets will follow (well, they MAY follow, but they generally lag that drop by 1-2 months due to skepticism of the current market conditions and the resistance of the retailer/distributor to lower pricing, thereby lowering margins (which are pretty low anyhow these days). Now, if I felt good about the world conditons in the next, oh, 6 months, I might think there might be a decrease....but, I dont get a "warm and fuzzy" about them at all.
I dont really feel there is much merit in "holding off" till fall or early winter, unless you have a goodly amount already hoarded away, or have a wealth of cash to buy at a possibly inflated price later in the year. It certainly IS a gamble, of course, but I believe, at the present time, the risk by far outweighs the possible gains.

Like I said above, I do sell pellets, and you can all shrug this off as someone trying to take advantage (frankly, I dont sell pellets to the GREAT majority of you), but all Im trying to do here is spell it out like I see it at this moment in time. One thing we constantly learn is that this pellet sales market is ever-changing, ever-evolving, and nearly impossible to predict from year to year. The earliest view us retailers get in this market is about now, when the producers come in with their "srping ore-buy specials", and even then it can be difficult to predict. I can say, after many years of doing this, I definitely dont like what Im seeing shaping up for this season.

So, I guess if you are a "glass half full" kind of person, and you feel since its an election year, the energy prices will get better, heck, maybe you should wait it out to save $10-$20/ton in late summer or fall. As you can tell, Im not this kind of person! :eek: I just dont see the $40-$80 potential gain for most folks being worth the risk of not being able to get ANY pellets, or paying $10-$50 more per ton,come fall. Dont worry tho, I'll do my best to have pellets available even then, and will be happy to sell them to you, especially when I am able to say "toldja so".....
 
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My guy said it was a raw material thing that was driving up prices, no saw dust available, and they are grinding
up whole logs to make pellets, and it costs more to
grind up trees to make pellets then to use saw dust.
 
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That is a long shot. With Iran and Isreal not playing very well together there might be issues. Fuel will be the biggest problem in this.

Eric
Agreed.
Raw materials prices are also closing in on or exceeding 08 levels right now in the north east and east coast regions. The spring break up this year will likely be the longest on record , exasperating already low mill deck levels.
Low stumpage prices are also a big factor in low deck levels at this time .
A mill/logging infrastructure bottleneck is soon to close also and if it occurs at a time when fuel is already high todays prices will look great.
With prices in the $200-$230 range ,,,,, it has no where to go but up.
 
Im working on buying pellets before fall, here in Maryland I can get o'malleys at 190 a ton, and green bag Lignetics for 225 a ton. Im worried about the price of fuel going up myself, and I know when that happens are pellet fuel is going to be alot more money that is for sure.
 
Okay, you guys are freaking me out! I was going to wait for the Spring/Summer sales but that might not happen? I should just buy now? Pellets Direct has Old Dominions hardwood blend for $199/ton. I called all my local Lowe's and no more pellets for the season. I'm looking to get three tons for my stash. Was hoping to get better pricing on Barefoots or Turmans but so far nothing. Has anyone tried the Old Dominions? Is $199/ton good price?
 
Local Lowes received a truck load, they have about 50 pallets at hand. The other has around 5 pallets left.

The only thing stopping me right now is the carbon buildup or clinker i got with the GT but i am really thinking about placing an order for 3 tons, $219/ton minus 10% coupon.

Too bad temps are so warm now that we cannot test more and i can try to dial in my stove...!!!

I need to make a decision pronto.
 
sibs down in jay down to 215 mwp delivered..spring special....
 
where sibs? I assume up there....
 
they have a web site? just wanted to check it.
 
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