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Flour Prices: HOLY $*@T

Donatos, a regional Midwestern pizza chain, offers a “No Dough Pizza†(http://www.donatos.com/menu/pizzas.asp), which I believe uses a soy base.

No doubt there are changes that might be made to a dough formulation, such as using a higher hydration and more yeast or possibly using proofing methods, but if too many changes are made, customers may notice them and not approve and go elsewhere.
 
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50# bag for me is 15.50 I got my supplier to lock me in at a contract price 4 weeks ago. I am good for 6 months now. I have thought of buying extra and selling it on the side to customers other then the one my supplier already sells to.
 
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pizzaguy:
50# bag for me is 15.50 I got my supplier to lock me in at a contract price 4 weeks ago. I am good for 6 months now. I have thought of buying extra and selling it on the side to customers other then the one my supplier already sells to.
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Good luck with that. Don’t be suprised when your supplier simply “doesn’t have any flour” to sell to you for $15.50.
 
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I never thought I would see a fellow operator try to cut corners on flour. BIG SAL=== we’re talking about pennies per pizza. If you are that worried…RAISE YOUR PRICES!!! I can’t believe you would be willing to play around w/ your crust for pennies! YIKES!!!
 
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General Mills and Conagra are no longer honoring the contracts===in some cases they are referring to “act of god clause”???
 
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eatmorepizza:
General Mills and Conagra are no longer honoring the contracts===in some cases they are referring to “act of god clause”???
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Not sure if that would fly in a court of law. I wonder what “act of God” they are referring to.
 
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scootersgym:
most contracts have a clause (small print) that allows the distributor to raise prices.
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Usually it’s made up of the first letter in each clause of the conditions and translates to “Pay what we charge or you don’t get it supplied”

Dave
 
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Let me know if I have this correct. the government wants to force the use of ethanol to reduce pollutants so they subsidize its production and ethanol still costs more than gas. Then we find out that after considering the process to produce ethanol there is no reduction of pollutants AND ethanol, as fuel still costs us more than gas. Then, because they are being subsidized, farmers are taking wheat acreage out of production so they can get in on the ethanol subsidy money. Now we have wheat going through the roof on us and it is even worse because of increased world wide demand.
bottom line is that we taxpayers are paying our tax money to produce ethanol that still winds up costing more than gas (with no pollutant benefit) and we get shot in the butt from the other side by paying outrageous prices for flour. There is no mind like that of a politician. Many years ago the publisher of a East coast newspaper said the problem with government is that all the good minds have gone into business leaving the running of government to fools. Of course Lincoln also said that “the American people generally get what they deserve” meaning that we keep voting these guys into office. The criteria today for being elected to office is how many freebies a politician can promise to deliver. Free education, free health care, free pre-school care, etc. Few stop to think that somebody has to pay for all of this nonsense and pretty soon we will run out of enough people (producers) to pay for it all.
 
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Sooner than latter the government will relize what is happening to the costs of food and services due to a pourly laid out plan to eliminate and or decrease our dependency on foriegn oil… at that point the american people will look to there gas gussling salvation and turn to the only place we have left…

CANADA

Here we come… All the oil we could ever want…

No really though a good republican will cut out the subsidies as soon as the majority of the american populouse starts making a big enough stink…

We have a responsibility to make sure that our customers know that the reason why there favorite food is going up in price is due to poor leadership… becouse honestly most consumers do not spend enough money and or audit there grocery purchasing enough to even notice the outrageouse increases in our product cost.

WE MUST MAKE THEM KNOW.
 
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I dont need luck I have a supplier that is honest and trustworthy. They have never backed out of a contract price yet in 8 years. I think they also know I would not back out if it went down.
 
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dewar:
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pizzaguy:
I have thought of buying extra and selling it on the side to customers other then the one my supplier already sells to.
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That would be wrong.
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And why would that be wrong? Are you going to tell me I also cant sell my sauce that I make to the guy down the road? Or I cant sell my 8" boxes to another restaraunt that cant get them from their supplier? Oh what about the Susage I use now I shouldnt sell that either? When I buy it it is mine I can do what I want with it, nothing wrong with that!
 
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Re flour prices:

Apparently Austrailia and Russia ae buying large quantites of american wheat due to local crop failures. This is adding to the pricing pressure on flour.

George Mills
 
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pizzaguy:
dewar:
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pizzaguy:
I have thought of buying extra and selling it on the side to customers other then the one my supplier already sells to.
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That would be wrong.
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And why would that be wrong? Are you going to tell me I also cant sell my sauce that I make to the guy down the road? Or I cant sell my 8" boxes to another restaraunt that cant get them from their supplier? Oh what about the Susage I use now I shouldnt sell that either? When I buy it it is mine I can do what I want with it, nothing wrong with that!
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Yes, integrity matters. They made the contract with you for your own usage. If I was your supplier and found out you were doing that, I would drop you in a heartbeat. I believe the Golden Rule applies to suppliers as well.

One of my favorites:
When you’re looking at the characteristics of how to build your personal life, first comes integrity;
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Second, motivation; third, capacity; fourth, understanding; fifth, knowledge; and, last and least, experience.

Without integrity, motivation is dangerous.
Without motivation, capacity is impotent.
Without capacity, understanding is limited.
Without understanding, knowledge is meaningless.
Without knowledge, experience is blind.

Experience is easy to provide and quickly put to good use by people with the other qualities.

Make absolute integrity the compass that guides you in everything you do. And, surround yourself only with people of flawless integrity.

Karl Eller
 
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So I asked my Rep if someone came to me to buy flour would he be Ok with that. He asked why would they buy flour from you? I said if they ran out or if they could get it cheaper from me cause they know I am paying less. He said as long as it isnt one of my customers that is up to you. I asked how much I could buy at a time and he told me they never limit quantities. The contract doesnt say I cant resell or buy more or less then I usually do. In fact he has a couple of corner stores that he sells product to for resale. He said if one of them was smart they would try to get in on the flour price and resell it as well. I already supply a small cafe about 30 minutes from me with product (sauce, cheese and dough) he knows I buy all that from him and charge the cafe more ( i should make something for my time and effort in handling the product). The cafe is still getting a deal because they dont sell enough to meet the min quantities and would have to buy everything retail. So it comes down to what he said "once you buy the flour you are free to make donuts, bread, tortillas, pizza dough or sell it by the bag. He said it makes no difference if you decide to become a bakery and order another 50 bags a week I will sell it to you for what I promised.
 
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Pizzaguy, am I wrong to believe that the Canadian flour market isn’t going through the same turmoil that we are seeing here in the US. I will soon be paying well more than triple what I paid 3 months ago. I was under the belief that the Canadian prices were not expected to go that haywire.
 
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paul7979:
Pizzaguy, am I wrong to believe that the Canadian flour market isn’t going through the same turmoil that we are seeing here in the US. I will soon be paying well more than triple what I paid 3 months ago. I was under the belief that the Canadian prices were not expected to go that haywire.
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I am not sure what will happen with our prices but right now they are up about 8.00 a bag. Up untill about 6 weeks ago I was paying. 11.75 it slowly went up to where I am now and that is when I asked the sales rep if he could guarantee a price. He said I dont think it will go up anymore but if you want to I will lock you in. I thought the prices had stabalized I think he thought the same but last week it went up another 2 dollars so we may be in the same trouble as you up here in Canada.
 
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