high costs

[cowman]

Bought any gravel lately? How about cement?
We built a shop a couple of years ago but never got around to finishing it up. Now we are in the process of trying to get it done before spring.
Gravel...$22.50/yard...last year $15! A 50% hike! Cement is out of this world...if you can get it!
Even things like an electrical box have taken a pretty fair hike!
Now I wonder, how can anyone plan to build practically anything when prices are going up so rapidly? How do you project costs on major construction like a hog barn or feedlot?

[FarmRanger]

I was wondering what it costs to pave the inside of a quoncet versus concrete? Has anyone tryed this?

[FarmRanger]

I wonder how conventional asphalt pavement would hold up to any possible spils, leaks etc. and also parking heavy equipment in the same spot all the time. I guess it would depend on the amount of granular in the pavement.

[Horse]

Cowman I hesatate to bring this up but you being an oil man and the price hikes in petroleum and the profits being made how can you be so hypocritical about other costs?such as gravel dont you think mabey the cost of fuel has something to do with those costs?

[cowman]

Without a doubt the price of fuel has a bearing on the cost of just about everything.
Also the booming economy? There is so much construction going on everywhere in Alberta that there is actually a shortage of just about everything?
Simple supply and demand at work?
For the most part our oil and gas prices are being driven by strong exports to the US. In fact that is what is driving our economy and paying the bills? That is what is responsible for the high dollar we see today?
The good news is we all share in that booming economy in one way or another? Lower provincial taxes, better infrastructure, more money spent on education and healthcare than any other part of the country, more commerce in just about every sector and we're even going to get a dividend check in the new year! Everyday, every Albertan should get down on their knees and thank the oil and gas business for making their lives so good!

[cowman]

Just to play Devil's Advocate cowman, the industry certainly has improved the lot of Albertans, but I do think that while we have more money injected into health care there are many illnesses that are associated with work in the industry. Also, the affluence that industry brings has certainly not improved the stats for many of the social problems eg: alcohol abuse, drugs, marriage breakdown, kids in crisis etc. I think we have paid big time in many ways for the benefits of having the petroleum industry in this province, although I am the first to admit that it does offer employment and substantial income for those that are willing to work and in many cases work for themselves.

[gwynplaine]

That's an interesting direction to take, there, Devil's Advocate... If I had to choose between Poverty and Affluence as root causes for my marital dischord, alcohol abuse, and drug addiction... hmmm...

[cowman]

Always going to get social problems with a boom, but then poverty doesn't exactly breed social contentment either?
I do know that a lot of cow/calf producers survived BSE and the drought, because of the oil and gas check...at least around here? And without a doubt some of them were able to bail out because they suddenly had a nice fat check coming in every month! I've seen some fairly impressive royalty checks!
We just started recieving royalties from a well on land we don't even own and it will buy a few beans.

[WoolyBear]

I have heard SOOOOOOO many times certain people lamenting the fact that the land out west is too expensive for a young fellows (or gals) to buy to start farming. I guess when you get a big check from the Oil Lords you're going to expect that those with the bucks, will continue to get the bucks and leave the rest of us to fight for crumbs.

[dannytoro]

...........The cost of getting it there.....ouch! That's a prime concern for myself and my Business plans. Getting anything to coastal Labrador costs a few sets of arms and legs. That's why I'm hoping most of my Industrial supply business will be shipping out of New Brunswick and Nova Scotia, and people we employ back home on the coast will be at call centers. We want to establish our poultry business there for local supply, but that probably means growing at least part of our own feeds, and if we have to invest for that, then I'll be looking to get into niche crops like Seabuckthorn and Cold hardy fruits and the like to give a rounded income. Hopefully they'll finish the road to Cartwright and I can find some great grain suppliers here, and truck in some large lots, but with fuel cost that high, I don't know.......

[cowman]

Woolybear: The land around here is too expensive to ever pay for itself from any "traditional" farm enterprize. You either inherit it or marry it! A factory farm might work but that is becoming almost impossible because of rural urbanization. We do have a good number of European farmers buying because they are flush with money and dance to a different set of drums sort of thing.
We are not completely happy with this oil and gas developement because it limits our options to develop this land somewhere down the road, but in the short term it is profitable.
Who could tell 100 years ago that we were sitting on a virtual goldmine? Luck of the draw.
Every Canadian benifits from the oil and gas wealth coming out of Alberta. Without it this country would be bankrupt and we certainly wouldn't have all the social programs available today or the high standard of living? Simply a fact of life.