Surplus ammo shortage coming?

I read the article and could find no specific reference to how the govt. was telling retailers in the US to stop selling .40 ammo. The reality of this large contract award of 450 million rounds of .40 S&W is at some point it will impact the availability of this ammo to public consumers. This has been the case in the past that when a govt. agency ties up production for a while the prices go up and the supply goes down. We try to buy our ammo from several sources to prevent a long term shortage of any particular caliber. This means sometimes paying more than we would like but almost always having something on the shelf. In the past couple of years we have had law enforcement agencies come to us directly to by training ammo (usually .40 S&W) due to the not getting enough direct supply from the distributor. I have also been advised by a rep from one of the biggest bullet manufacturers that .223 will be on short supplly at some time due to the upcoming federal US elections. He says they are already seeing increased buying at the component level for ammo manufacturers. Sometimes just saying there might be a shortage of something is what starts the panic buying for no other reason. We are buying deep and building up our overstock to prepare for any change in the market if in fact there is one. Phil.
 
P of PDent said:
I read the article and could find no specific reference to how the govt. was telling retailers in the US to stop selling .40 ammo. The reality of this large contract award of 450 million rounds of .40 S&W is at some point it will impact the availability of this ammo to public consumers. This has been the case in the past that when a govt. agency ties up production for a while the prices go up and the supply goes down. We try to buy our ammo from several sources to prevent a long term shortage of any particular caliber. This means sometimes paying more than we would like but almost always having something on the shelf. In the past couple of years we have had law enforcement agencies come to us directly to by training ammo (usually .40 S&W) due to the not getting enough direct supply from the distributor. I have also been advised by a rep from one of the biggest bullet manufacturers that .223 will be on short supplly at some time due to the upcoming federal US elections. He says they are already seeing increased buying at the component level for ammo manufacturers. Sometimes just saying there might be a shortage of something is what starts the panic buying for no other reason. We are buying deep and building up our overstock to prepare for any change in the market if in fact there is one. Phil.
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Phil,

(sarcasm)I think you're overly paranoid. I've been assured by many experts on CGN that there was no ammuntion shortage after the '08 US elections, and that there won't be an ammunition shortage prior to / during / after the '11 US election cycle.(/sarcasm)
 
We wont see the true impact of this in Canada until later in this year, then prices will stay high again like back in 2008 onwards. Rinse and repeat.

Limited availability = high demand = panic buying = high prices = good business.

If you did not see this coming since last year and have stocked up, you are already behind.
 
Buy it when its a good deal and has good availability. Nothing is harmed by stocking up a bit on the stuff you shoot most. If not, you get stuck with high market fluctuations.


Thats my Hind Sight for 35 years of buying ammo.
 
Federal has had the US military small arms ammunition contract for the past couple of years and have ramped up production facilities to support this demand. At the same time their production cost have gone down and currently are able to consistently offer ammo at a lower price than Winchester or Remington(to us ). Bulk handgun and rifle ammo was significantly better priced during our last buying phase and dealer shows and this will be reflected in the next year as most of our available bulk ammo from us is going to be Federal (American Eagle). We will also be bringing in any decent priced military surplus from what ever manufacturer or source is available, Phil.
 
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