chem dealers

[darren442]

I'm in alberta use to be in Manitoba. The idea is like a coop but actually just a bunch of guys getting together to get cheaper pricing, you need a bussines to do it. If you can buy in large volumes the price goes down. Getting guys together isn't about making money it's about being able to lower your inputs buy not paying high markups from a retailer. The bussines may only make a few thousand dollars each year but each farmer who is in on it may save $5000 in inputs. Like i say it's just an idea but there has to be a way to get the price retailers get for the average farmer.

[wmoebis]

I agree with the concept.
How did the co-ops start? "It was actually just a bunch of guys getting together to get cheaper priceing".
The infastructure is there the concept is there the only trouble is we have let CEO's run it into the ground.
Do we need to reinvent the wheel here too? Maybe so.
I can't get the best price from my local co-op unless I volume buy. Which is bunch of crap and right out of co-operative concept. The idea of co-operative buying is buy volume so all members can share equally on the advantages of it and equally share the rewards of the price.
I like your concept but it is nothing new. Our grandfathers had the same vision. Do we need to reinvent the wheel maybe so.

[darren442]

What was lossed in the concept of the co-op was it became a retail and open to the public. Then pricing had to be the same in the community.Then the equity came into effect which is crap and just a bunch of smoke and mirrors to justify why there products are higher. I'm just thinking of a private co-op so to speak, a non-profit organization that really makes no money, but the members save. I think when you let everyone in on the co-op principle and you start wanting to make money thats were the focus is lost. If the main focus is on saving money on input costs then thats a win win situation.If every farmer could get there inputs at retail costs what more can we ask for. I know for a fact there is as high as 30% mark up on some micro nutrients. If you could buy them for say 6% markup that is a great savings to you right there if you use them. I ust think there has to be a better way of buying inputs. Now i'm not a farmer but an agronomist but giving you the best advice i can with out pressuring you into buying inputs based on quotas or making a chem company happy makes my job easier and i have a better sleep at night.

[wmoebis]

Like I said I agree.

I know of large producers that phone their ag suppliers who scout their fields tell them what fert. and chem they need for max production. They deliver it by the semi loads. These guys are touted as the best farmers, I say they are the best money spenders.

Last fall I asked for one ag company to come do some soil sampling for me so I could tell what effect my green manure program had on my land. They didn't have the respect to come out or tell me that they wouldn't/couldn't, so I could get someone else. They said I was on a list they would be there thurs. Is it Thursday Yet.

[darren442]

That is why try a consultant or do it yourself. I soil probe costs about $250 and a complete soil analysis should be around 40-50 dollars per sample. I think paying somebody maybe 5.00 an acre to get the job done right may be a possabile option for some farmers. The company i'm with just wants me to push chemical out the door and does not want to invest in knowledge and help farmers find a solution to there problem. I was eben told not to promote the spray air sprayer because of it's reduced rates (less chem out the door for them). I do know of an excellent consulting company out there. if you look way up i mentioned the web site for information.

[sawfly]

I really dont think the retailers are the problem. There should be enough of them out there to be fairly competitive.
the problem lies with the handfull on manufactures. they have a stranglehold on the supply. they all price together.
we have seen the effect of the FNA and clearout on the market. by sneaking thru the protection the regulations. Real competition has finnally happened.
We have honored their patents for 13 to 17 years. WE need to change the rules to allow competition after patents have expired.
we sell our crops at the world price , we should have acess to chemicals at the world price.

[wmoebis]

Like a Canadian Chemical board or a Canadian Fert. Board?

[carebear300]

Less competition as of Friday UPS outlets were bought out by Pioneer Grain. I wonder if that will affect service and or prices. Won't put them down anyways,I would bet.

[darren442]

I have recently found out about the FNA i must have been under a rock to miss this one. I looked at there price of oil. For a drum of 10W30 they state there cost is $320.00 and were i work for 10W30 is $420.00.

Can someone fill me in on this FNA is it good or bad. It looks like a good deal on the surface.

[SASKFARMER3]

My membership is in the first 100 that they sold.
We have saved thousands over the years and yes their is a annual membership but Costco has one to and the discounts their really arent that great.
Here two barrols of oil will pay membership.

[cheapskidoo]

As a farmer and an agronomist there are a few things I have to point out:
First is that markup on our fert and chem is nothing special. We make from 5-8% on our fertilizer and maybe 10% on our chem with the blackbox payments.
Second is that we do not favour any chem reps and I sure as shit don't promote products because of a rep. I push a product which is the biggest bang for the buck or which suits the field conditions depending on what the customer wants.
I think that retailers are blamed for the prices of inputs when really we are the middle men, the problem is what Sawfly stated earlier, MANUFACTURERS.
It is however true that we give better deals to larger customers, but this is related to buying power and growing one's business.
Also for soil testing we charge $50 which gets you a basic 0-12" test. Anyone can probe their field and send it into Enviro Test labratories for $27. The extra is what we charge to do this service, which I don't think is outrageous.

[cheapskidoo]

Cheapskidoo, so you guys subsidise the large operations buy shafting the small ones?