GREY:FEVCF - Post by User
Comment by
Kosta300on Mar 26, 2009 4:46pm
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Post# 15874612
RE: RE: RE: Potential Revenues
RE: RE: RE: Potential RevenuesForterra is probably producing most of their current need or paying no less than $100 cubic yard for the worm castings in bulk. If bagged individually they can easily sale for probably $400 cubic/ yard at the wholesale level- put this into worm tea and this multiplies considerably. If you have ever seen these Extract tanks that "brew" the worm tea you realize the fine art that goes into this process. The margins are very high for this product- the key is how much will they able to produce?- The demand is growing and there are simply many fragmented small players and FTE is taking the oppourtunity here to in a nutshell be the biggest player in this field. If you control the supply ( or at least be the biggest player) you will only dictate higher prices and this is what they will be able to do. Their biggest issue will be to grow production to meet demand- which is a good thing.
Worm tea, worm extracts and worm castings and compost tea and extracts are the future in soil improvement and as a means of pest and disease prevention and control. These natural organic conditioning and soil improving products can be used in a totally sustainable manner with no negative impact on the environment at a cost efficient price.
World wide worm teas, worm extracts and liquid compost products are being used more and more as farmers become aware of the great benefits to the environment and to the fertility and health of their soil and crops. Organic farmers have already moved away from synthetic fertilizer programs to a more natural organic sustainable system that is more cost efficient with out the negative impact on the environment that synthetic fertilizers have.
Over the last few years we have seen huge interest and increased use of natural organic teas and extracts. Farmers and home owners realize the huge benefits of these products over synthetics. Soon you will be buying these "tea bags" in just about every store- a dozen in a box for like $15- the markup here is huge. Spraying of trees with worm tea is also a big thing in California now as it combats disease and best of all its natural and it WORKS. Look at Agrium and Potash and where they are today and as the world goes "organic" think of the market potential out there???.