Hodgdon shutting the plant down, laying off all the employees and selling the brand if they can find a buyer. Sounds like the end of domestically produced black powder. A sad day.
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Hodgdon shutting the plant down, laying off all the employees and selling the brand if they can find a buyer. Sounds like the end of domestically produced black powder. A sad day.
The Hodgdon Family turned the business over to Bean Counting Business School Types.
http://namlhunt.com/goex-to-close.ht...CFs9YJH8irQZXY
September 27, 2021
Hodgdon® Announces Closure of GOEX Facility
Effective immediately, Hodgdon Powder Company, Inc. has made the decision to cease manufacturing operations at the company’s Camp Minden, Louisiana site while evaluating strategic options for the black powder business.
The business will wind down operations while an evaluation process on the future of the black powder business takes place. Strategic options for the GOEX and Olde Eynsford brands of black powder, along with the manufacturing capabilities, will include a potential sale of the business. All affected employees will be retained through December 31, 2021 to assist in an orderly closing of the site and receive
severance commensurate with their years of service to the company.
The Hodgdon Powder Co., Inc has been honored to have been a part of the GOEX Powder legacy and sustains a fond appreciation for sporting customers who have enjoyed shooting GOEX powders.
About Hodgdon Powder Company, Inc.
Established in 1947 by Bruce and Amy Hodgdon, today, sons J.B. and Bob have grown Hodgdon Powder Company into the largest US supplier of smokeless, blackpowder and blackpowder substitute propellants. The company distributes gunpowder under the Hodgdon®, IMR®, Ramshot®, Acccurate®, Winchester®, Pyrodex®, Triple Seven®, Blackhorn 209® and GOEX® brands.
It is a sad day.
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NOOO! Why does Hodgdon keep discontinuing the best powders? I had no plans for it, and my credit card wont like it, but I guess it's time for an order for more Goex powder. Discontinue that Pyrodex junk. There's no reason for it to exist along with 777, which is a better powder in every way. There's no replacing Goex, it is the only American black powder left.
I wish Alliant would step up their game. If Alliant bought Goex, the only powder I even remotely care about from Hodgdon anymore is 800X. Even H110, I could gladly use Bluedot just fine instead, or 300MP if I really need speed.
I always said I won't make my own powder when I can readily buy fantastic American made Goex. Well, today might be that day.
a sad sad day indeed!!!
If they were making money at it they would not shut it down. If I was 20 years younger, I would look at the numbers and see if it was a decent investment. And you can bet, someone will be doing just that. If no one buys it, it will be telling.
There was a fire in June but they planned on rebuilding. Per a family member if the family was still running daily operations they would not be closing it.
https://websterparishjournal.com/202...oex-explosion/
Just a guess but the issue was not that it was not making money but it was not making enough money. Family businesses tend to keep customer needs and loyalty in mind. The Business School Bean Counters and the leftists are both the same type of swamp scum.
That probably means the price of Swiss powders are going to go up and harder to find.
Copied from a post from a friend
By now I am sure most of you have heard the unfortunate news that the GOEX black powder plant in Minden, Louisiana is closing. There was a fire in June 2021 that closed the plant, and sadly for us, the parent company (Hodgdon) crunched the numbers and decided to close it permanently.
GOEX had by far the largest domestic US market share. Other powders are available (Schuetzen, Swiss) but they were already hard to find. The short term impact on our sport and hobby MAY be an increase in the cost of powder, and some reduced availability. Even with GOEX on the market, powder costs have increased (doubled in the last decade). Price increases were happening before GOEX closed.
Schuetzen and Swiss are still available and the US/Canadian black powder market is so large that I cannot imagine a scenario where such a clear demand is not met. The GOEX plant will probably be sold to another producer. It may take time. But it’s a multi-million dollar market for a medieval product that really is not hard to make. This is not “the end of black powder shooting!” that some alarmists are proclaiming. If the GOEX plant in Minden is sold, whoever takes over production will have immediate US Government support, as US military powder was provided by the GOEX Minden plant. It’s cheaper to the government to buy powder, than open a government plant to make it.
Some people have been asking me about US military supply of black powder, which was previously supplied by GOEX. The US military built a “back up” black powder plant in the 1980s, in Indiana. This plant was built after a GOEX factory explosion several decades ago, to prevent a long term shortage of a strategically necessary material. Unfortunately the US Government won’t be commercially selling any powder, if they have to open government powder production back up. It would be the first time in about 100 years that the US Government produces military black powder… I wonder if they need an Ordnance officer to help them out…
Other than the bit about powder prices doubling in the past decade, which Goex absolutely did NOT double in the past decade, the rest sounds hopeful.
If someone else buys the company, fantastic. I was unable to find any grades of powder I need online, so it seems what I have is what I have. I should be ok for a year or two. After that, hopefully Goex is back at it, otherwise I'm going to make my own.
In stock here. Ten years ago I was getting it for under $10.00 when I ordered 25 pounds.
https://powderinc.com/shop/
https://www.buffaloarms.com/black-powder.html
https://mainepowderhouse.com/shop/
Nothing on the Hodgdon website, the Goex website, nor on the Hodgdon Facebook page. However, I did see references on Facebook to the effect that this may be a hoax that gets around every couple of years. I am really hoping that this is the case.
You can make your own good black powder for less than $5 per pound. There is a good thread here about it.
Goex site now saying they are closing down, immediately.
That would be the smart thing to do. But I do not know enough about the condition of the plant or how much inventory they had/have. Of course, if they do that, raise prices, many will call them "scaplers"...
If they needed a 30% price increase to make it worthwhile, the question is how the market will react. If it will cost them say $10 million to rebuild the plant, it may be a crap shoot they are not prepared to risk. OTOH, one would think they had insurance and their actual out of pocket costs would be minimal....and that makes the "profitablity" even less attractive!
Having run a business, and shut down products, I can tell you it is a well thought out process. No one walks away from a market and customer base without trying to make it work.
Their primary responsibility is to the share holders....not to customer needs. Satisfying customer needs is a means to an end....making money.
Powder Inc was all out of what I wanted last night. I'm only interested in Fg and FFg. Buffalo Arms has nothing. Maine powder house unfortunately put a limit of 10 pounds yesterday.
Remington filed bankruptcy and sold the ammo business with a huge back log of orders they weren't meeting ........ It ain't always about the money .
OSHA , EPA rule changes , and the age of the facilities and tooling may be driving the decision more than profit margins . Refits/rebuilds often demand that the replaced equipment be today compliant rather than just a rebuild of the existing . If they were making components on site it's possible that the charcoal kilns may have been the killer .
As for making your own it's not difficult or expensive to get started . Once you get your components squared away , either by source or self , it's not any more difficult than shooting boolits without leading to produce corned , granulated , powder as good or better than Goex or OE .
That Goex mentions cost increases for part of their decision to shut down the Goex black powder production, I wonder how much of those costs increases are due to regulatory powers of deep state bureaucrats appointed by anti-gun politicians. Things like hazmat fees, zoning, and other regulatory powers can be an opportunity to choke the life out of the gun industry.
I think the demand and profit margin for the synthetic stuff is great enough to let go of the black powder plant. I haven't talked to another hunter around here who uses black, mostly people ask why do you shoot that stuff?
I won't quit. But it sure takes away from the fun having to use something besides black.
And side lock and under hammers and pistol and (you get the picture) along with Black powder cartridge shooters /Ed
I did not watch all the video...but enough to confirm that there is not enough profit in the business to justify either adding more resources to grow it, or keep it as is. A niche market does not fit Hodgdon's business plan.
A brand name has some value but not much in this case. If the sale includes production facilities, equipment, distribution, patents, and trade secrets the value increases. I suspect, in this case, the brand name is not going to have much value because people will not have a lot of choices anyway...they will buy whatever is available if it works. Much like primers today....if someone had Wolf primers at $50/1000 they would sell out in a day. In fact, the brand name may be a negative unless the new company makes an identical or better product. I can hear it now, "The new Goex is not the same...it is crap...I will never buy another pound of it...etc, etc". Whereas, if a new player entered the market to capture the market share lost by Goex, and is was a decent product, people would say, "it is almost as good as Goex, works well enough for my needs etc etc"
Pretty much any time a long-standing brand changes hands, there's always a little sect within the customer base that spouts that. "The new ______ will never be as good as the old ______. They don't care about the brand! They just want money!"
For BPCR subs and smokeless are not allowed. It has to be real BP.
Guess it was good I picked up a few Lbs. I really didn't need last month!
If there is enough profit in it someone will buy the plant and start producing the stuff.
I am one that has not used pure black for a long time. Pyrodex has worked for me for a LONG time. I don't hunt and don't shoot flintlocks. Only percussion side locks.
A flinter would be the one thing that would tempt me to go to the trouble of getting pure black. But, don't see that happening in the near future.
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There is no incentive for them to continue making it. It's only about their profit and they feel they have other products that will fill the needs of their customers. I emailed them and told them I would no longer use any Hodgdon products. I'd rather make my own BP if it comes to it.
Hammer meets nail.
I run into alot of hunters that say they use the modern inline rifles "because they're easier". Not really, as I can use the speedloading tubes with the traditional rifles as they can with their inline rifles. For cleaning, not so. Especially not compared to using a patched jag on a range rod for the hooked breach percussion rifle barrel in a bucket of hot, soapy water. I offer to demonstrate, none of the inline users wants to learn. They really just want a modern rifle, it is why Remington produced a faux bolt-action inline rifle. I call it the panacea rifle. Remington knows their market.
I guess there was a market for Goex after all. I switched to Swiss a good many years ago, so it's no surprise to me that Hodgdon has pulled the plug.
Why is it we're told to support American companies yet they don't support us?