scrapping a modern day gold rush?

After watching Gold Rush on discovery, I started thinking.. Is this huge "scrapping boom" just another modern day gold rush? With all these here one day gone the next scrappers, do any of you guys think that the amount of people doing this will start to decrease over the next few years? More? Less?

When I started out a few years ago, not many people in my area did scrap. None advertised it anyway. Then all of a sudden Boom. Everyones in on it.

The way i see it, over the next while more and more people will start doing it, and i think that will keep pushing prices lower and lower. Reason being, with everyone doing it, theres gonna be a lot more material goin in, and with that huge increase, therea gonna be a lot less demand. I think alot of these small time, tryin to get rich quick guys are gonna realize "crap this isnt worth it anymore. Im out." Just like the gold rushes of way back.

For me, its in my blood now. I hope to make scrap my full time business later in life. And im sure others are the same. But i also think alot of guys are just in it for the quick cash. And over the next while everything will even out. The boom will peak, and the amount of people doin scrap will settle. Maybe not to the level it was before though.

Thats just the way i see it. Would love to hear other opinions.

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Originally Posted by jord0690

After watching Gold Rush on discovery, I started thinking.. Is this huge "scrapping boom" just another modern day gold rush?

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That's exactly what it is Jord, and as with any other gold rush, the "gold" will play out

Yeah, but the gold in this case is never ending because we, as people, continue to buy crap. The manufacturers are still making things to be replaced instead of repaired. I'm still combing through neighborhoods in my area because its big trash pickup. It never ceases to amaze me what people will throw out... and that I need a trailer!
SoonerA

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Originally Posted by SoonerA

Yeah, but the gold in this case is never ending because we, as people, continue to buy crap. The manufacturers are still making things to be replaced instead of repaired. I'm still combing through neighborhoods in my area because its big trash pickup. It never ceases to amaze me what people will throw out... and that I need a trailer!
SoonerA

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And soon you'll need a BIGGER trailer. Then, when you've got as big a trailer as your truck will handle, you'll have to make multiple trips.

Who would have thought there would be an upside to "planned obsolescence"?

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Reason being, with everyone doing it, theres gonna be a lot more material goin in, and with that huge increase, therea gonna be a lot less demand. I think alot of these small time, tryin to get rich quick guys are gonna realize "crap this isn't worth it anymore. Im out." Just like the gold rushes of way back.

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Its still about the same amount of material going in I'd think but just only by so many more people like you said. And I think thats what knocks out some of the competition but the die hards like us (like you said, its in our blood) will still be left standing. A few more than when I/we originally started out like you say but I do think it will settle.

However, the economy is what is dictating this boom right now and if jobs cant ever be found by lots of these folks scrapping to help make ends meet, it might just stay the same. I've noticed quite an increase in scrappers in the past 2 years and so far it doesn't seem to be declining.

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Originally Posted by SoonerA

Yeah, but the gold in this case is never ending because we, as people, continue to buy crap. The manufacturers are still making things to be replaced instead of repaired. I'm still combing through neighborhoods in my area because its big trash pickup. It never ceases to amaze me what people will throw out... and that I need a trailer!
SoonerA

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I'd say "never ending" with a grain of salt there Sooner. Yeah, they're steady replacing it, the old, good, heavy, metal stuff, with the new, "improved", lightweight, cheap plastic "crap". When you get your trailer, don't be surprised if it ain't plastic too, right down to the axle and ball bearings(soon as they can figure out a way to do it) You can maybe look forward to hauling heaping loads of plastic in it too ; )

Yeah it a boom that has went bust before, and Probadly will go bust again, which is why I don't keep much inventory! Also I think the high unemployment rate has to factor in here as well. I beleive if the economy was running full steam, there would far less people scrapping.

Well the beauty of it all is there will ALWAYS something to scrap...metal, then plastic...might not pay as much now...but when that type of scrap is in demand then pricing goes up accordingly.

The amount of scrappers here increased exponentially and the amount of scrap didn't caused a bust in my area. That coupled with an uptick in new house starts and home construction I think some have gone back to more stable work. Sounds good to me.

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Originally Posted by jord0690

After watching Gold Rush on discovery, I started thinking.. Is this huge "scrapping boom" just another modern day gold rush? With all these here one day gone the next scrappers, do any of you guys think that the amount of people doing this will start to decrease over the next few years? More? Less?

When I started out a few years ago, not many people in my area did scrap. None advertised it anyway. Then all of a sudden Boom. Everyones in on it.

The way i see it, over the next while more and more people will start doing it, and i think that will keep pushing prices lower and lower. Reason being, with everyone doing it, theres gonna be a lot more material goin in, and with that huge increase, therea gonna be a lot less demand. I think alot of these small time, tryin to get rich quick guys are gonna realize "crap this isnt worth it anymore. Im out." Just like the gold rushes of way back.

For me, its in my blood now. I hope to make scrap my full time business later in life. And im sure others are the same. But i also think alot of guys are just in it for the quick cash. And over the next while everything will even out. The boom will peak, and the amount of people doin scrap will settle. Maybe not to the level it was before though.

Thats just the way i see it. Would love to hear other opinions.

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I live in an area that the nearest scrap yard is 100 miles of all outlying communities, same for a comprehensive recycle center (takes, glass, cardboard, plastic, etc. at same site). I still see people at the scrap yard bring in appliances, cast iron tubs, and the BBQ grill to recycle and not take any money for it, so I haven't figured out yet if I am in BOOM or Bust end of the scrapping.
PS. would of liked to have that tub and BBQ.

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Originally Posted by NatBrnCO

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Originally Posted by jord0690

After watching Gold Rush on discovery, I started thinking.. Is this huge "scrapping boom" just another modern day gold rush? With all these here one day gone the next scrappers, do any of you guys think that the amount of people doing this will start to decrease over the next few years? More? Less?

When I started out a few years ago, not many people in my area did scrap. None advertised it anyway. Then all of a sudden Boom. Everyones in on it.

The way i see it, over the next while more and more people will start doing it, and i think that will keep pushing prices lower and lower. Reason being, with everyone doing it, theres gonna be a lot more material goin in, and with that huge increase, therea gonna be a lot less demand. I think alot of these small time, tryin to get rich quick guys are gonna realize "crap this isnt worth it anymore. Im out." Just like the gold rushes of way back.

For me, its in my blood now. I hope to make scrap my full time business later in life. And im sure others are the same. But i also think alot of guys are just in it for the quick cash. And over the next while everything will even out. The boom will peak, and the amount of people doin scrap will settle. Maybe not to the level it was before though.

Thats just the way i see it. Would love to hear other opinions.

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I live in an area that the nearest scrap yard is 100 miles of all outlying communities, same for a comprehensive recycle center (takes, glass, cardboard, plastic, etc. at same site). I still see people at the scrap yard bring in appliances, cast iron tubs, and the BBQ grill to recycle and not take any money for it, so I haven't figured out yet if I am in BOOM or Bust end of the scrapping.
PS. would of liked to have that tub and BBQ.

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I think id look into opening a yard or something cause 100 miles is a long way for a pick up load or less.

for the last year escrap has been more of a bust than a boom,copper has come down alot also

i agree with this 100%, high unemployment and an extended recession/depression has caused this:

"However, the economy is what is dictating this boom right now and if jobs cant ever be found by lots of these folks scrapping to help make ends meet, it might just stay the same. I've noticed quite an increase in scrappers in the past 2 years and so far it doesn't seem to be declining."

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Originally Posted by jghilino

I've noticed quite an increase in scrappers in the past 2 years and so far it doesn't seem to be declining."

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exactly jg. So, anyone who is able to do simple arithmetic shouldn't be long in deducing what part of the equation would most likely be in decline ; )

I feel like there will always be money to be made in the industries surrounding waste. Recycling, waste disposial, reducing waste and repurposing waste will always be profitable. The waste itself may change but the fact remains the way our society/planet are headed resources are getting scarcer and more expensive to get. Everything has value. I spread manure for my real job. There is big money in manure. There are problems and solutions when it comes to waste. It's our job to make the margins work. I am always looking at new things to "scrap" everything from pallets and plastic to waste oil to cornstalks. The human race is our supplier!!!! Shoot in the year 2000 we will be scrapping hover cars!

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Originally Posted by beardo

I feel like there will always be money to be made in the industries surrounding waste. Recycling, waste disposial, reducing waste and repurposing waste will always be profitable. The waste itself may change but the fact remains the way our society/planet are headed resources are getting scarcer and more expensive to get. Everything has value. I spread manure for my real job. There is big money in manure. There are problems and solutions when it comes to waste. It's our job to make the margins work. I am always looking at new things to "scrap" everything from pallets and plastic to waste oil to cornstalks. The human race is our supplier!!!! Shoot in the year 2000 we will be scrapping hover cars!

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The year 2000 was a bit of a blur for me I will admit, but did I miss the hover car??????????:cool:

Eric

I have been scrapping for 20 years.. I tend to find the following:
1. When the economy is in the crapper- the competition for scrap always goes up
2. When the economy isn't so bad- people who don't want to do it to eat.. find jobs and go back to work
3. No matter what- when prices are HIGH at the yard- regardless of the economy- people are scrapping and making money. I remember the days when a small truckload of mainly aluminum could fetch you $350 bucks, when it dropped 4 months later- the yard was like cricket central!
4. Demand will always be set at what demand is. The mills get orders- they need metals to fill it, if demand is weak- prices drop- no matter if there are 100 scrappers in an area or 10,000
I've never been turned away at a yard saying "Well, we sure have too much brass right now.. we sure ain't buyin"

There are peaks and valley's in every field. It's hot, then it's not, people get bored and go onto other things (short attention spans) but I'd have to say that the proliferation of cable shows- telling people how "easy it is" makes a scrapper born every day- once that dude works his 9-5, goes out and hunts scrap, hauls it, cleans it, hauls it to the yard and makes a little bit- some say "YEEEES" others say "Next!"

It was an attemptting to say as much as things change and advance, they stay the same. I just read an article about all the stuff they thought we would have by the year 2000 back in the 1950s. Reguarless of what happens this industry will adapt and overcome. 900 years from now there will be some guy in his 40 year old beat up hover truck hauling parts from the international space station to the space yard.

Well, for me personally, I think people will try it at first and get frustrated by not making the money they thought they would. I hope more and more people quit myself, its more money for me!!! lol. If your not going to take your time, research it properly and put your time in, you won't make the money.