Commodity Costs Rising, But Savvy Buyers Managing to Push Back on Supplier Price Boosts

Suppliers point to upward trends in prices on metals and petroleum to justify hikes, but analysis of margins shows supplier arguments for increases may lack credibility, ALERTdata reports


Port Angeles, WA — October 6, 2009 — Commodity costs are rising, but buyers and cost controllers who have analysis of margins on their side are pushing back with success to hold price hikes down, according to the latest ALERTdata report from Thinking Cap Solutions.

Suppliers now are pointing at rising commodity costs (especially metals and petroleum) to provide justification for price hike proposals. But analysis from the ALERTdata Web site shows supplier arguments for price hikes may lack credibility.