$ of fertilizer has me reconsidering next year

Discussion in 'Fertilizer Application' started by General Grounds, Jul 7, 2008.

  1. heritage

    heritage LawnSite Bronze Member
    Messages: 1,349


    Overhead and Materials are up 20% pal, and my SERVICE is worth it. :)

    I tell my clients the truth about these facts......No Games.

    If they choose not to trust my Professional Judgement, they can go elseware.

    No Fear Whoop.

    Be Confident and speak Facts.

    The right Clients love this approach.

  2. heritage

    heritage LawnSite Bronze Member
    Messages: 1,349

    Right On :) :drinkup:

  3. Marcos

    Marcos LawnSite Gold Member
    Messages: 3,720

    Instead of me just putting redundant info on here....just go to the 4 'stickys' at the beginning of the 'Organic Lawn Care' forum.
    Rate info is given there, or in the forum itself, for all the meals, as well as liquid organic supplements.

    We don't use blood meal, or any animal-based proteins, for that matter, unless it's specifically requested (which it never has).

    Regardless, the supplier you qouted is somewhat higher ( at least, right now) than the vendor I've utilized out of Indiana, for many years.

    I will admit, however, after finally talking to my sales rep yesterday, that indeed you are correct, at least in part.
    Essentially, he told me to look for 2009 spring pricing to go up approx 25%- 30%.

    However, a certain % of this increase in costs of wholesale meals can be directly attributable to the obvious all-time high in transportation costs, including everything diesel spent on the farms, as well as the extra fuel costs incurred in ultimately getting it to the mill, processed and bagged.
    So...yes...you can say it's partly commodity fluctuation, but it's also partly external economic turmoil, in the form of $4.00 gas and $4.25 diesel, etc.


    Going back to the very 1st posting on this thread....
    General Ground was quoted over $27.00 for 24-0-11....$10 or so over what he'd was quoted one month prior.

    How much of this $10 increase, would you suppose, was imposed by Lesco-eaten-by-a-Deere to cover the RISING FUEL COSTS involved in paying the outside semi contractors to haul finished skids to all their stores ?

    And how much of that $10 was tied up directly in increases in prices of N, P, K, micro nutrient, and cost of production and overhead ( labor, insurance, etc) at the given manufacturing facilities and JD /Lesco stores ?
  4. ICT Bill

    ICT Bill LawnSite Platinum Member
    Messages: 4,115

    It depends completely on how far out their contract pricing goes, if they have locked in for several years than little to no increase in THEIR price for raw materials.

    The farmers I am talking too are beginning to not take contracts on this falls or next years harvest, they believe that their is more money in it for them if they wait. It may not bode well for staples next year

    I wish we had some happier things to talk about, like how much profit people were making, this constant drone of bad news from every angle is starting to get to me
  5. whoopassonthebluegrass

    whoopassonthebluegrass LawnSite Platinum Member
    Messages: 4,305

    Yeah. Even my conversations with customers right now typically include these concerns... I feel like I'm down for the count right now. I'm spending big bucks, nobody's watering enough - so my money is down the tubes, managing to pay all my creditors right now - but come winter...

    But, what-with-my-glass-being-half-full, look at all the money the oil guys are making! And look at how much money the fed. gov't is gonna get with either choice for the next pres! And the auctioneers and repo-guys across the fruited plain are having the time of their lives right now! That's exciting, right?
  6. rcreech

    rcreech Sponsor
    Male, from OHIO
    Messages: 6,153

    The $27 for 24-0-11 can't be right. With all the increases....I can still buy 30-0-10 a lot cheaper then that! Something don't sound right there as I think one of the Lesco haters may have inflated that price slighlty!
    I am rather surprised to hear that their prices are higher due to the VOLUME they use and considering it is all BULK!

    They literally use 6 semi loads every week of the year! Wonder how an oraganic lawn care business can buy bagged cheaper? That makes me scratch my head a little!

    I am not at all interested in using these prodcuts for several reasons but the biggest to me is the VOLUME one would have to use.

    There are days that I can hit 12-15 acres of lawn, and at 800#/acre it wouldn't only slow me down time wise but physically all I would do all day is throw bags!
  7. whoopassonthebluegrass

    whoopassonthebluegrass LawnSite Platinum Member
    Messages: 4,305

    Haha. So what you're saying, with all those bags, is that going organic is bad for the environment? :laugh:
  8. phasthound

    phasthound LawnSite Platinum Member
    Messages: 4,999

    All I can say is that more & more it just seems like a no brainer to try organic based fertilizers. We have many clients (and their clients) who are very happy with the results they are seeing, and at better prices than they can get from salt based fertilizers.

    Our best selling granular fert applied costs are at $1.00/1000sqft for truckload buyers. Liquid applications can be done at $0.67/100sgft.

    In addition to great results as far as green lawns, you will see less need for pesticides to clean up disease & insect problems.

    As Bill said, there is no magic bullet. Salt based ferts will actually increase the need for pesticides, therefore increasing call backs & costs for you.
  9. whoopassonthebluegrass

    whoopassonthebluegrass LawnSite Platinum Member
    Messages: 4,305

    The stuff is THAT toxic, eh? :D
  10. Ric

    Ric LawnSite Fanatic
    Messages: 11,969


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