With glove prices high and inventory in short supply, the road ahead for distributors will continue to be unpredictable. AMMEX is focused on making that journey less difficult.
Today’s market for disposable gloves is a great equalizer. It leaves everyone—manufacturers, shippers, distributors, end-users—feeling quite humbled.
The truth is, months after the coronavirus pandemic first appeared, disposable gloves are still hard to come by. Prices are higher than ever, likely only to rise even more.
AMMEX has never seen anything like this state of volatility, and we have been in business since 1988.All the gloves we can deliver
The challenges of this market continue unabated. Manufacturers keep raising prices. Competition for inventory is more intense than ever. Obtaining it at anything resembling pre-COVID levels (or prices) is impossible.
Even beyond COVID-19, it is likely that the new global awareness of personal hygiene and safety has significantly altered demand for gloves and set a new trajectory for glove consumption. We expect that long-term projections for disposable glove usage across all applications will be raised for 2021 and beyond.
Gloves have become incorporated into any consideration of personal protective equipment to the degree that PPE vending machines are showing up in such places as airports, malls, and on college campuses, to name only a few.
Aggressively pursuing good buys
As a disposable glove company, AMMEX is committed to offering a supply of gloves. It might not be everything you want, but we will do the best we can for you.
Every day, we negotiate to get the best deals for our partners. But just as you do, we pay the prices that the market dictates. That means no discounts—for us, or for even our biggest customers.
In the past glove makers have had relatively stable supply chains, and may have planned production three to four months in advance. Now, they are planning 18 months out and have in many cases begun demanding payment upfront.
If you need to pause from buying gloves, AMMEX supports that decision. We will come back in a month and offer the best allocation of gloves that we can. And the month after that, and after that. We are in this for the long term.
Price hikes across the board
Based on inbound inventory, price hikes are going to occur with every glove company, not just AMMEX. We have substantial investment tied up in ensuring that we maintain our inventory at the highest levels we can—yet we are selling it as fast as we receive it. If our competition temporarily has lower prices, they will not last.
Balance in supply and demand will take time to play out. The market has to absorb new realities at every step—from manufacturers and the supply chain to the smallest end user.
This is not our first health crisis, nor will it be our last. We will proceed with deliberation, common sense, and careful planning. And we will keep you informed as we navigate this path together.
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