Safecastle is a major dealer for Mountain House freeze dried food. We have been for almost 10 years. Through that time we've seen several severe swings in supply and demand in the storage food marketplace.
Our history has borne
out the value of staying ahead of the hordes with regard to demand surges and
supply shortages. We have usually been able to warn and prepare our customers months in
advance of what was about to occur in this
area.
Today, we received a communication that was sent out to dealers, so here again--a warning for
you that you can take under
consideration:
Market conditions and
capacity issues at OFD (producer of Mountain House) have brought about a decision by the manufacturer to stop
building #10 can inventory. Thus, going forward, we expect supply at the retail level for some MH canned
food will become challenging, with backorders becoming more common in the very
near future again. Over the next few months, the supply and demand situation will become worse.
Remember last year? Or a handful of other times in the last decade?
When (not if) the next
trigger occurs out there to cause another stampede into preparedness (ala
Hurricane Katrina or any number of other recent events), inventories will very
quickly be depleted and it will take months to again allow the best quality food
producers out to ramp back up in response. I've been in this
business long enough to understand the cyclical nature of what is going on, and
to see clearly that the next leg down is now in the
works.
Another factor that I
believe will make this situation a bit worse you, the customer--the number of
MH dealers out there is greatly diminished after last year's 6-month MH supply
drought.
When you boil it all down, we expect to see a return to severe supply and
demand volatility in the MH and in the storage food marketplace in
general.
I know our long-time
customers appreciate getting these kinds of insights from us when they can take
advantage. Right now, of course, our MH cans sale is down to our last two days.
It really is the best deal available to you in our history and for the
forseeable
future.
Oh--and we also just got
word today that the first backorder has forced us to remove the popular MH
Mexican Rice and Chicken entree in #10 cans from our listings--it is unknown
when it will be back in
production.
Otherwise--everything else
is still in stock and shipping out within a
week!
Stay safe.
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