What drives the cost of ammo
- Thread starter Noreaster
- Start date
Certainly caliber has a effect on price just as Andy has stated. The materials cost more on larger calibers as there is more materials used.
Usually you won't see a difference is cost for 9mm 115g-124g but, there is a little price increase for 147g. This is when buying projectiles not live ammo. I found the same to be true for .40 cal 135g JHP's cost $34 for 250 and $39 for 180g JHP's from the same manufacturer.
Also hard to find calibers tend to cost more. Supply and demand.
Live ammo prices for the same caliber normally only go up with "premium" bullets and or brand names. Remington around my part of the woods always cost more then Federal or Winchester.
Usually you won't see a difference is cost for 9mm 115g-124g but, there is a little price increase for 147g. This is when buying projectiles not live ammo. I found the same to be true for .40 cal 135g JHP's cost $34 for 250 and $39 for 180g JHP's from the same manufacturer.
Also hard to find calibers tend to cost more. Supply and demand.
Live ammo prices for the same caliber normally only go up with "premium" bullets and or brand names. Remington around my part of the woods always cost more then Federal or Winchester.
Sparks1957
New member
Greed plays a role, but demand plays a big one too. .380 is in less demand than 9mm, so production lines do shorter runs, hence higher costs
I would not say greed, I would say proffits.
If I can sell one of my guns for 10x what its worth is that greed or am I maximizing my return?
Now I am no apologist for corporations but I do understand their reasoning.
It my responsibility to do the best I can.
I may not like it, but if they can get away with charging far more for ammo than what it cost to produce, then its within reason thats what they do.
During our last storm incident (AK) I did appreciate Hondas take that their dealers not gouge. I would have understood if they had and would have adjusted my purchase accordingly.
And it would be good to read about current mfg process. You can make small batches as low cost as larger batches if you setup for it right.
If I can sell one of my guns for 10x what its worth is that greed or am I maximizing my return?
Now I am no apologist for corporations but I do understand their reasoning.
It my responsibility to do the best I can.
I may not like it, but if they can get away with charging far more for ammo than what it cost to produce, then its within reason thats what they do.
During our last storm incident (AK) I did appreciate Hondas take that their dealers not gouge. I would have understood if they had and would have adjusted my purchase accordingly.
And it would be good to read about current mfg process. You can make small batches as low cost as larger batches if you setup for it right.
Sparks1957
New member
Fair enough... maybe excessive profits?
Like mentioned, supply and demand. Copper, which is a component of brass is a commodity all it's own, so the price fluctuates based on demand for that part of it too. From 04 to 06 copper prices doubled. As did lead.
The material prices are almost insignificant per round. The costs are really in the equipment, manpower, and shipping.
Making that one box of ammo that you buy for $12, had a lot of work go into it.
If you read I, Pencil: My Family Tree as Told to Leonard E. Read; you will really understand how complex it really is to produce such a cheap item.
I highly suggest reading it and passing it along to anyone that doesn't understand economics.
The material prices are almost insignificant per round. The costs are really in the equipment, manpower, and shipping.
Making that one box of ammo that you buy for $12, had a lot of work go into it.
If you read I, Pencil: My Family Tree as Told to Leonard E. Read; you will really understand how complex it really is to produce such a cheap item.
I highly suggest reading it and passing it along to anyone that doesn't understand economics.
First, get rid of the idea that the factories have hundreds of lines running all the time, turning out every known caliber.
That is not true. Even the bigger ammo factories (military excepted) run a batch of one caliber. Then they change over a line and run a batch of another caliber. How long a line will run a given caliber depends on demand; and how long it takes to fill the pipeline. The more demand for one caliber the longer that line will be kept running and production of other, less popular, calibers will be put on the back burner.
It costs time and money to change a line over, and that cost is passed on to the customer in the price of the ammo. The longer a line runs a given caliber, the more the cost will be distributed over a larger number of production units (rounds) and the less the cost will be at the gun shop.
So in many ways, the caliber does influence the cost, but not in the way many folks think.
Does "greed" play a role? Only in that ammunition companies like to make money. There is an alternative - government ownership of all production so "they" can decide what products the public will be allowed to have.
Dahermit can have his opinion, but of the alternatives, I prefer greed.
Jim
That is not true. Even the bigger ammo factories (military excepted) run a batch of one caliber. Then they change over a line and run a batch of another caliber. How long a line will run a given caliber depends on demand; and how long it takes to fill the pipeline. The more demand for one caliber the longer that line will be kept running and production of other, less popular, calibers will be put on the back burner.
It costs time and money to change a line over, and that cost is passed on to the customer in the price of the ammo. The longer a line runs a given caliber, the more the cost will be distributed over a larger number of production units (rounds) and the less the cost will be at the gun shop.
So in many ways, the caliber does influence the cost, but not in the way many folks think.
Does "greed" play a role? Only in that ammunition companies like to make money. There is an alternative - government ownership of all production so "they" can decide what products the public will be allowed to have.
Dahermit can have his opinion, but of the alternatives, I prefer greed.
Jim
demand or popularity ...and component cost are big factors...as well as all of the overhead for mfg's - insurance, shipping, utilities, etc..../ there is still a lot of competition out there as well...
but I don't think we'll see the prices coming down at all ....especially in the short term.
Cost of reloading components are up a little as well for those of us that reload.
but I don't think we'll see the prices coming down at all ....especially in the short term.
Cost of reloading components are up a little as well for those of us that reload.
thedudeabides
New member
LEO ammo (9mm and 40) tends to be cheapest and easy to find.
The weirder, the more expensive.
Why 380 costs more than 10mm, tho, is a mystery.
The weirder, the more expensive.
Why 380 costs more than 10mm, tho, is a mystery.
Rainbow Demon
New member
When the Zombie Apocalype hits a single .22 rf cartridge will cost one Kugerand, or one roll of toliet paper.
Someone mentioned labor and material cost. Then you take a couple of hundred % or more of all that which is G&A and Overhead cost. I do suspect insurance is one of those important high cost in their overhead plus all the safety factors. Now we can start calculating profit which is % of the total of all the other cost.
We also must not forget shipping cost of components to the factory plus the shipping cost in the distribution of the final product which is a hazardous shipping product.
Every middle person and final sells enity to the public adds in their labor, G&A, overhead and profit.
We still have not added in how much it cost us to drive to the store and home plus the time we spend (our labor) purchasing our bullets.
Its surprising just how cheap ammo is ~ LOL
We also must not forget shipping cost of components to the factory plus the shipping cost in the distribution of the final product which is a hazardous shipping product.
Every middle person and final sells enity to the public adds in their labor, G&A, overhead and profit.
We still have not added in how much it cost us to drive to the store and home plus the time we spend (our labor) purchasing our bullets.
Its surprising just how cheap ammo is ~ LOL
Redhawk5.5+P+
New member
Who said that? What a fool!