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Why such a large increase in mulch $?

Discussion in 'Nurseries and Growers' started by Grn Mtn, Apr 10, 2006.

  1. Mr. Vern

    Mr. Vern LawnSite Senior Member
    Posts: 632

    We produce mulches of several varieties including colored mulches, and what Duekster said is dead on for us this year. Every expense in our supply chain has increased several percent since January 06. I re-run the costs analyses every quarter, and this January we decided to pass the cost along to our customers. We raised our prices just over 5% so it looks like a large jump, but it just gets our margins to where they were 3 years ago. We will watch them erode for the next several quarters, and when they drop by around 5% we will raise our prices again. Fuel is an absolute killer as are wages and payroll burden.

    The comment about co-gen plants buying it all up is accurate as well. We were able to negotiate much better pricing from our co-gen customers this year - we had to guarantee them certain minimum supply to get the good prices, but they are motivated to buy fuel.
     
  2. rlander06

    rlander06 LawnSite Member
    Posts: 52

    I have two place here in Rochester that sells triple ground for $20.00 a yard.
    I don`t know what they charge for delivery, I can find out if you`d like.
     
  3. Rlclawnguy

    Rlclawnguy LawnSite Member
    Posts: 111

    who in Rochester sells for $20 a yard?
     
  4. rlander06

    rlander06 LawnSite Member
    Posts: 52

    These are the two companys that sell mulch for $20.00 in Rochester that I know of. Cobblestone Nursery, Whittier Landscape and Design
     
  5. Rlclawnguy

    Rlclawnguy LawnSite Member
    Posts: 111

    are those on the westside of the city?
     
  6. Duekster

    Duekster LawnSite Fanatic
    from DFW, TX
    Posts: 7,961

    I hate it when I am right :)
     
  7. rlander06

    rlander06 LawnSite Member
    Posts: 52

    Greece area:cool2:
     
  8. Rlclawnguy

    Rlclawnguy LawnSite Member
    Posts: 111

    We sell triple ground for $21 to contractors @ Wambachs in Penfield
     
  9. Danltiger

    Danltiger LawnSite Member
    Posts: 2

    Never heard of either Cobblestone or Whittier in Greece. Do you have phone numbers, Rlander?
     
  10. rlander06

    rlander06 LawnSite Member
    Posts: 52

    Sorry its Cobble Creek Farms in Spencerport Ridge Rd. Phone 352-8484
     

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