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DT
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PRESS RELEASE - from Bachmann

Raw materials cause price increases

Bachmann Europe Plc have announced today that due to the rising costs of raw materials it is necessary to increase the price of both Bachmann Branchline and Graham Farish products from 1st March 2008.

The prices announced by Bachmann last month to coincide with the publication of our 2008 catalogues took into account all predicted price increases including those that that resulted from recent changes to employment law that have recently come into effect in China. It also took into account the stabilisation of raw material costs following major fluctuations and increases during 2007.

However, since the start of 2008, the price of raw materials has started to rise sharply once again. The price of oil used to create our plastic continues to remain extremely high and this week our vendors and brokers for metal items have advised us that our buying prices will be increasing by up to 80%. Other ranges such as Aristocraft, Bachmann Chinese, Liliput and Mehano are also likely to be affected and details will be revised once they are known. For the time being the prices of Underground Ernie, Woodland Scenics and Bachmann America prices remain the same as those published in late January.

David Haarhaus, Sales & Marketing Manager for Bachmann Europe Plc said today "we aim to keep our products priced competitively but the cost of raw materials is completely outside our control and affects everyone in industry. We have attempted to keep increases to a minimum and the additional costs are raw material based as we had allowed for everything else including the changes of employment legislation in China".
 

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DT
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4,794 Posts
Price of oil goes up and the price or oil-based products goes up, transport of the products also goes up.

In the process, quite a few middle-men raise prices so there ends up a large price hike on the consumer end. I think that if the price rise is over 30% - which does seem very high, then some people are going to not buy the models that they would have before the price rise.

I have just put in an order for over £400 of Liliput and Bachmann models. If they were 30% more, I wouldn't have done it.
 
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