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Bulk honey prices and market outlook

824K views 1K replies 169 participants last post by  The Honey Householder 
#1 · (Edited by Moderator)
Deflation , then inflation and currently a whole bunch of de-leaverageing going on in this crazy economy, which I hear from the majority with crystal balls, that is only going to get worse as a recession or a depression .
Heard some packers had dropped their offering prices......... hadn't noticed any downward pricing going on the store shelf's,to the contrary , prices were actually going up there.
A Canadian honey broker recently had a offer out for 1.50 Canadian,picked up in your yard, drums lost , for 10 loads, alot of phone calls later the order was filled and she is working on another order for the same price,I hear. Canadian dollar was trading around 1.25 US. That may be GOOD PRICE at present market conditions........ but I doubt it.I don't think supply and demand have entered the big picture yet.Other Current Canadian offers were 1.40. UK honey is selling at up to £2.30 per pound in BULK- source Bee -L.
Maybe that supply and demand won't enter the pic if the packers get there way.

I must remind myself that honey is not one of those necessity foods like bread and milk and that I don't need to be quite as greedy as some of those wall street folks
 
#932 ·
Matt, lesson one for a "to-bee-broker" learn the jargon! Can I assume "in-the-barrel" is a food grade 44 gallon drum? Can I assume this price is "net" weight of the honey excluding "barrel" weight and will the barrel be priced separately as part of shipping costs. Sorry for all the questions, but I have to start somewhere. I thank you in advance of your educational answer. http://www.beesource.com/forums/ima...w.beesource.com/forums/images/icons/icon5.gif
 
#960 ·
A gallon is a gallon is a gallon. A gallon of honey is equal to a gallon of oil or water or any other liquid volumetrically. That is why a "gallon" is a standard unit of measurement. There is no bigger or smaller gallons.... I dont know who you mean by "imperial folks" either. There are two popular systems of measurements...English and Metric so if someone is using the English system all Gallons of all Liquids are the same in volume...they differ in weight/density ect. I too, have never heard of honey being sold in a 44 gallon increment.
 
#940 ·
I wouldn't call it particularly volatile. Prices always slip a bit when new crop honey starts coming in. Some buyers may hold off a while in hopes of a big crop but my guess is they will be disappointed.
 
#942 ·
That's pretty much my assessment as well. I have heard mixed reports around the Dakotas but the extended period of cool rainy weather took a toll no doubt
 
#947 ·
Trevor,

Basically, IMO a "Honey Broker" is someone who buys and sells HONEY. This activity may be by "direct acquisition" and held in storage or purchasing for a client per contract for direct delivery to end user. I hope this answers your question.

What Jim said - sounds reasonable on the UP end, but relatively sure there are many smaller sellers wanting to go through a "brokerage house" as well ......... Thanks for your input Jim
 
#948 ·
Trevor,

Basically, IMO a "Honey Broker" is someone who buys and sells HONEY. This activity may be by "direct acquisition" and held in storage or purchasing for a client per contract for direct delivery to end user. I hope this answers your question.
I guess I don't understand why a large or small packer would go thru a broker to buy domestic honey.The only way a producer would sell you honey for less than what a packer is paying is if you picked it up with cash in hand ,especially for a semi-load. I wish you the best of luck and if you can make a dollar doing it then go for it, Im just not seeing the need for a broker of honey.
 
#950 ·
Why deal through a broker? Is brokering a necessary added cost in today's market? Both good questions - and my answer could only be speculative at this point in time, since I am not yet a broker. So, your feedback is very important to me.

Perhaps I can just create a "picture" based on what I know and ask for your thoughts/conclusions. Here it is:

Here in the USA, demand far outweighs production
A fairly big percentage of honey is produced by many "small time" beekeepers
Demand for honey is growing rapidly from a more diverse end-user (eg - Mead Producers, medicinal products etc etc.)
The swings in price fluctuations are quicker and larger in spread.
If you are "sitting" on honey, that you cannot move then, you are speculating or require a person (broker) who has the contacts and tools to move it for you.
The import/export market (something very familiar to me) is going to have a big impact on local pricing.
What would be the quickest method to getting to know the players in the local (USA) market - establishing a good re-pour/contact via "brokering" would be essential.

Best regards - Richard
 
#951 ·
If you could do something internationally that would be your best bet. I dont know any producer that would pay you to sell there honey unless you are selling at a much higher price then they can get. I also cant imagine a packer paying more than the going price to a third person, but maybe Im wrong. Im not trying to be offensive but I think you are over thinking the whole process. I usually send some samples to people I trust ,ask what they are paying for it ,If I agree they send a truck and I load it. There really isn't allot to it. Trust is a huge factor ,especially at the current price of honey. Good Luck!!
 
#953 ·
Those prices are way high of what I am hearing of current market prices.No doubt we have a short USA crop again from all reports I am hearing.It is a wise US packer who supports his supplier.Bees and beekeepers have been a endangered specis for quite awhile and Cheap Chinese honey has seemed to have lost its "in," into the US market
 
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