So why are mags so expensive?

delta12

delta12

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Here I am looking to pickup a JR Carbine in 40S&W. First off they are $250 more here in Canada!
I am told it's due to export costs from the US.
Now I'm seeing that Mags are twice the price here!
What's up?
Can I buy a couple of mags in the US and bring them back as part of my declared items?
 
You may need an export permit from the BATFE, and I think it can take 4 weeks to 4 months to process. There's a cost as well, and you have to make sure they're the california 10 round pinned ones. I'm really not sure about magazines though.
 
If you pin them to 5 rounds, sure.

Mags are more expensive here because everything is more expensive here. The principles of international trade and equalization of prices don't apply to Canada and US trade. In reality, the difference between US and Canadian prices ought to be the cost of shipping.

Alas, due to artificial economic barriers (import regulations: quotas, duties, fees, etc.) the prices do not equalize as the law of supply and demand shows. In a free-trade economy, the prices for goods tend to equalize because the consumers transfer their demand to where the best prices are. In other words, you import from a country where the price is lower. Local demand subsequently falls because nobody buys locally and local prices consequently fall. Then, foreign prices rise because the demand for their local products is higher due to exports (foreigners buying their goods). Finally, the prices should shift up and down respectively until the difference between both prices is the cost of shipping.

Because of artificial economic barriers at the border, this does not happen.
 
There are still a few US retailers that will ship to Canada but they have to raise their prices to cover the cost of the export permits. Still cheaper than buying locally though.

I used to buy AR mags directly from Cproducts for around $15 each including shipping and now that the Gov has stepped in and added a bunch more restrictions and fees they no longer ship to Canada. Now the exact same mag is $45 from their Canadian distributor (Wolverine). That sounds like a reasonable mark up doesn't it?

When in Canada you just have to get used to being bent over the table and getting done without lube. They don't even give you a kiss when they're done with you.

That's the cost of having cool stuff here I guess. Free trade my ass:mad:
I'm just glad I stocked up on AR and 1911 mags last year.
 
nemesisincanada said:
Export permits are $200
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Yes, and I've been told they need a new permit for every shipment.
So are they ordering 5 mags at a time? The local retailers should be ordering 200 at a time so they don't need to jack the price on each one so much.

Not attacking you directly in any way so don't get defensive. Just adding to your statement trying to figure out why our local retailers are ripping us off so badly, or why all things firearms are so much more expensive here in Canada.
 
nemesisincanada said:
Actually my post was to indicate the export permit is a tired excuse for large price differences. If you bring in 50 rifles that is a $4 a rifle cost.
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Exactly what I was getting at. Sorry, I should have worded that better.
We are getting screwed and they are just using the export permit cost as an excuse to do it to us.
 
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Well yes and no.

You still have to FRONT for the 50 rifles... and then pay all the expenses of getting it in here... and then HOPE they sell for more then you paid for them.

If they just sit there, now you're on the way to close down.

But yes. It is mostly stupid US export (and our imports) that raise the prices to where to make a profit a 15$ item costs 45.

Luke
 
TheGamer### said:
Well yes and no.

You still have to FRONT for the 50 rifles... and then pay all the expenses of getting it in here... and then HOPE they sell for more then you paid for them.

If they just sit there, now you're on the way to close down.

But yes. It is mostly stupid US export (and our imports) that raise the prices to where to make a profit a 15$ item costs 45.

Luke
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True to a certain extent but it isn't usually the individual retail outlet that brings them in and has to front the cash for 50 rifles or 200 AR mags. There is an importer that brings in a bunch of them and then spreads them out throughout the rest of Canada. So the retailer only really needs to front for 5-10 of them which isn't much risk. Especially since we are for the most part talking about high demand items like black rifles and accessories.

Does the price of a Remington 700 series rifle triple in price to get to us in Canada? Seems like it's the cool stuff that gets the special treatment and has the magic import cost multiplier.
 
DaveMachine said:
Take a look at the price jump for the XCR from the US to Canada. :D
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And from what I read they are not all that great. Maybe worth the money if someone really wants a non-restricted black rifle. I should have kept my 20'' AR upper. The demand for those will sky-rocket the prices when we finally get them non-restricted again.
 
I think a lot of price marking has to do with the "unobtanium" status for us Canadians... and the US doesnt like to share either.

That and buisnesses have to make money to to pay wages/property/their import fees.

So yes, sure they can get only 5-10 rifles... do the math.

10 rifles... lets say at 2 K each... that's 20 K in inventory sitting there. Sure if they sell great... but if they dont, know what? You wait and hope they sell eventually? That's not how businesses run.

A bit different on "hot off the shelf items" like AR/common parts. Those, everybody stocks.

Do I agree with price mark ups? No. (Example ARs that cost 2K that cost half that in the US) What bugs me is that... export fee (example 200$) seems to inflate with more expensive items. That's where majority of my problem is. It doesnt seem to be a "set" fee that makes its way down, but gets inflated on the 'unobtanium' items.

Why?

Because we'll pay. We dont have other options. Most of it comes from the US, and they know it.

Somebody SHOULD start a Canadian manufacturer (example ARs) and price them on par with what they go with the US ones. They'd make a lot of money, but the start up cost is really expensive too.

But like the dealers say

"Don't like it? Start your own business... we welcome the competition"

Luke
 
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