Present cost of ammo in South Africa justifyable?

[P35]

How does one justify the rising the cost of range ammo in recent years.

Some of my S&B purchased in the 80's at R8.83 per box of 25 or ZAR17.66 for 50. Today it will cost you ZAR170.00 per 50.



Consider what we are paying for 9x19 range ammo these days.

Surely the astronomical increase in price its not just inflation related.

[DS]

Did you do any calculations before you posted this?

Starting with R17.66, with some quick calculations, you will end up with more than R240 after 30 years and 8% inflation per year.

[Billy The Kid]

More relevant is that ammo is not manufactured in RSA. It's imported from the USA. Purchase price plus shipping plus VAT/duties plus jumping through hoops to get import license etc. plus small profit equals exorbitant landed price. But it's not the distributors fault.

[Wanderin' Zero]

Did you do any calculations before you posted this?

Starting with R17.66, with some quick calculations, you will end up with more than R240 after 30 years and 8% inflation per year.

And then consider the exchange-rate and how it has moved since then. We were what – two Rand to the dollar then?

[AGreeff]

Inflation is anything but consistent, take that with production costs fluctuating on an annual basis and you have a maelstrom of varients that influence the price of imported goods.

I still believe however that if legislative controls would be relaxed we would perhaps get some extra players in the market.

[ikor]

Well get ready for another increase soon...the Russkies have already announced a 10% increase on their steel case stuff after the first of the year, and US manufacturers are sure to follow as well.

As late as the mid to late 1990's we could buy 9mm FMJ and .223 FMJ at the same exact price per 1000rd case ($140-165) Today, .223 is close to twice as much as 9mm...that is demand driven, but is not likely to change any time soon.

[P35]

Lets look at the components that make up a round of ammunition.

There are 4 parts - the largest parts are made of brass/copper. An export product of SA.

bullet - released by gas produced by burning powder in the case
case - contains smokeless powder
smokeless powder - burning powder
primer - small explosive releasing gas which lights the powder

The spot price of copper dropped to an average of $7 990 per metric ton in May 2012 from the $8 251 average in March 2012.

Exports of copper waste for March increased to $50.3 million from $43.5 million in February and $31.8 million in January.

South Africa recorded a total of $599.4 million in waste copper exports in 2011, with a monthly export average of $49.9 million.

The price of copper is more or less the same now, as it was back in Nov 2008.

Production cost escalations outside of SA? Caused by?

[P35]

US retail price for 9x19mm 115gr FMJ around $10-15 or (ZAR133.35) retail per 50 rounds.

S&B, and Remington 9MM LUGER 115 FMJ 50\BOX retails for US $10.49.

ZAR 2133.60 per 1000 for S&B 9MM LUGER 115 FMJ retail. or US $240.00

Dec 2 2012 exchange-rate ZAR8.89/US $

[Billy The Kid]

When personally importing an fa component, factoring in shipping, duties etc, figure on paying approximately 15 times the quoted $ price. Ammo might be slightly more than 15 times because of the extra work involved in bringing it over.

[Billy The Kid]

Of course as the exchange rate tanks, the co-efficient will increase to over 15.