According to a recent survey, 42% of NFIB members ranked the cost of natural gas, propane, gasoline, diesel and fuel oil as a “critical” problem. The issue has climbed from being the #10 ranked issue concern to the #2 concern in this year’s survey.
Inflation is real and will become an even bigger concern over the coming months.
Here are two stories that the NFIB is sharing as examples of this growing problem.
Jim Buchy
Buchy Food Service
Greenville, Ohio
Buchy Food Service is a fifth-generation, family-owned business that began as a manufacturer of meat and sausage products in 1878 and is now a full-line food distributor with a 100-mile service territory. The company prides itself on service and has long claimed, “We have no minimum shipment requirements or drop-ship charges.” Yet, as energy prices continue to rise, the cost of delivering goods — a staple of the service that Buchy’s provides to its customers – has risen dramatically. The rising delivery costs are having a big impact on the 139-year-old business, causing Buchy’s to examine ways in which it can consolidate services — something they are reluctant to do.
Douglass Henry
Henry Molded Products Inc.
Lebanon, Penn.
For over 40 years Henry Molded Products, Inc. has been topamax to buy providing customers with high quality molded fiber/pulp products. They produce recyclable products that are environmentally friendly using 100% pre- and post-consumer newsprint, kraft paper and other waste papers, and are a nationally recognized manufacturer of green products. Henry Molded Products relies on natural gas to create its products and now pays more than $100K per month on its natural gas bill for his factory. Over the last few years, his energy costs have more than doubled.
The NFIB is taking the right stand on this issue, pushing for more freedom within the energy industry. From a letter that Dan Danner of the NFIB sent to Congress:
Small business owners need immediate relief from high energy costs, and drilling offshore is a critical step towards increasing the domestic supply of oil and natural gas and reducing prices at the pump. Unlike some of their larger competitors, escalating fuel prices hit small businesses particularly hard because they often must absorb these cost increases instead of passing them on to their customers.
In order for our economy to regain its footing, we must be able to meet the energy needs of small businesses, and I urge your strong support of this important energy policy.