Price of silver - How far will the market be able to stretch?

Discussion in 'Product Availability' started by delphine, Apr 6, 2011.

  1. delphine

    delphine Member

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    http://www.kitco.com/charts/livesilver.html#ny

    I am looking at the price of silver like most of you would… with a lot of anxiety. And an obvious question, how much more will the market and the industry be able to absorb higher silver prices as we have past $39 per ounce, we were at $19 in August last year.
    The Telegraph is questioning whether a fall of silver prices is not coming up next.. http://www.telegraph.co.uk/finance/...n-Is-the-silver-price-heading-for-a-fall.html ... other sources demonstrate that the commodity is still underpriced.

    I can't help wondering, with a lot of anxiety, how much more capacity the photographic industry and its market have to absorb steeping silver prices?

    When is Ilford increasing its prices next, will we still be able to afford it?

    Best

    Delphine
     
  2. DWThomas

    DWThomas Subscriber

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    There was a discussion about this earlier, but I think the silver in a piece of film or paper represents only a very small fraction of the selling price. So yes, photo products will probably go up in price, but surely nowhere near the amount that silver has jumped.
     
  3. Simon R Galley

    Simon R Galley Subscriber

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    Dear All,

    The perception seems to be that the amount of silver in photo products is 'very' small ( pennies! ) as a percentage of the selling price, the amount of silver in each box of paper and roll of film ( especially monochrome paper and film ) as a percentage of the total raw material costs is now very,very high indeed, and needless to say more than twice the cost to us than it was a mere 7 months ago.

    But DW Thomas is also correct in that the price of silver as a raw material, although double, will not double the retail cost or indeed anywhere like it.

    Simon. ILFORD Photo / HARMAN technology Limited :
     
  4. Jeff Kubach

    Jeff Kubach Member

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    At least that is good thing to hear.

    Jeff
     
  5. michaelbsc

    michaelbsc Member

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    As a guy with a lot of manufacturing background let me point out that silver is only involved in the film manufacturing. The cost to the consumer is more affected by energy prices.
     
  6. Vaughn

    Vaughn Subscriber

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    Silver recovery companies who have been stockpiling silver while it was at $19 must be happy -- or nervous about if they should cash a bunch in now, or wait until it rises higher.
     
  7. michaelbsc

    michaelbsc Member

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    They should probably take the profit relatively soon. (Woo-Hoo, now I'm an investment advisor too!)

    Despite my ever present right wing slant on all things political, the simple truth is that things are either going to begin to retreat to previous levels or we're going to learn to life with a "new" normal.

    If the survivalists turn out to be right and the whole world turns to violence lead is precious metal. Not silver or gold.
     
  8. nickrapak

    nickrapak Member

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    Actually, silver still would be, as a disinfectant.

    Just sayin'
     
  9. Photo Engineer

    Photo Engineer Subscriber

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    Labor prices affect manufacture as well as raw good stocks including oil which is the base for almost all organic chemicals used today.

    As for lead, gold or silver, I would bet on depleted Uranium if we turn to violence. :wink:

    PE
     
  10. michaelbsc

    michaelbsc Member

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    Uranium, huh?

    Well, we need to come up with something else. Of the four I don't have a stockpile of any.

    Maybe I'll become chattel.
     
  11. jnanian

    jnanian Advertiser Advertiser

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    as i understand it, there is about 1/4 troy oz of silver in
    a gallon of spent fixer ... it isn't a lot, but it adds up
     
  12. Photo Engineer

    Photo Engineer Subscriber

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    Well, lets round things off a bit.

    There are about 100 - 200 mg / ft square of silver in paper and about 300 mg / ft square of silver in film.

    Go figure the capacity of your fixer and the amount of material put through it and you can guesstimate the amount of silver in exhausted fixer. Now, figure that the extraction process from the fixer is going to cost you, and then that the extraction and refinement of the silver from the material used to extract silver from the fixer (2 step process - yours and then the refiner). This reduces the value of silver by over 2/3 in some cases.

    Now, you can figure what your silver is worth! :wink:

    Ain't much, is it?

    Sorry.

    PE
     
  13. patrickjames

    patrickjames Member

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    At this point I am more concerned with the average persons ability to make a living that is appropriate with the massive attack on him from all angles recently than I am with how much I pay for film. From an historical perspective film is unbelievably cheap right now. Even if the price doubles, it will still be cheap.
     
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  15. sandermarijn

    sandermarijn Member

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    Probably not no, but still enough for Silverprint to jump in (pdf). Nice initiative.

    I always feel a bit bad when I bring spent fixer to the local disposal station. They collect so little fixer these days that I wouldn't be surprised if my petty amounts go down the drain right there.
     
  16. Tony Egan

    Tony Egan Subscriber

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  17. Dirb9

    Dirb9 Member

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    Even ignoring inflation, silver prices now are cheaper than they were when the Hunt brothers drove up prices ($50/oz vs $39oz). Film manufacturers then responded by raising prices. They also kept them raised once the price of silver fell back down. I guess stocking up on film will be a good investment! :smile:
     
  18. benjiboy

    benjiboy Subscriber

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    If I knew the answer to the O.Ps question I would be trading in futures on the stock market.
     
  19. jnanian

    jnanian Advertiser Advertiser

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    chances are they put your fluids into a incinerator and burn it.
     
  20. sandermarijn

    sandermarijn Member

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    What happens to silver in fixer when you burn it? Rain down in one's backyard?

    This makes Silverprint's initiative seem all the nicer. Pity I don't live near London. AFAIK, we don't have anything like this near where I live (apart from the general disposal station).
     
  21. Photo Engineer

    Photo Engineer Subscriber

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    When the Hunt brothers drove up the cost of silver, Kodak launched a 2 pronged effort to conserve silver by R&D. One method involved reducing the actual silver content by over 50% in color papers by means of a proprietary catalytic imaging process. The other involved leaving the silver in a donor sheet that could be returned to Kodak for silver reclamation. Both projects died after a few years, when silver prices went back down. The latter product was called Ektaflex "C" and Ektaflex "R" paper, and was terminated by the Polaroid lawsuit.

    PE
     
  22. jnanian

    jnanian Advertiser Advertiser

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    i am not exactly sure what happens after it is incinerated.
    there was a thread here a few years ago where this sort of thing was talked about.
     
  23. c.d.ewen

    c.d.ewen Subscriber

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    The politicians will volunteer you as fodder.

    Charley
     
  24. Photo Engineer

    Photo Engineer Subscriber

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    Or maybe Soylent Green?

    PE
     
  25. bobwysiwyg

    bobwysiwyg Subscriber

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    I think I would rather starve.
     
  26. Alan Johnson

    Alan Johnson Subscriber

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    The Financial Times 8 April has a short article on a report on the silver market from precious metals consultancy GFMS for anyone interested.