As we informed you previously, we have gone through great length to keep our equipment prices as low as possible. We have not raised our prices per January 1st 2021. Nor did we raise our prices per January 1st 2022.
Why haven't we raised our prices, even though demand for our products has grown significantly, parts lead times and pricing have soared, transport costs increased, and - on top of that - a generic inflation rate of well over 10% in the last two years has taken place? Because our mission is to empower the craft distilling industry. We do that with amazing technology and quality at affordable price levels. We allowed our margins to dwindle to support you.
But there is of course only so much we can do or take. And that threshold of us allowing costs to creep up, while maintaining a relatively lower and lower price point comes in sight. Over the last two weeks the war in Ukraine has doubled energy prices, while commodity costs are up a whopping 90%. Costs of transport increased significantly and the timber prices for packaging and crating go up as well.
Where this leaves us? In a situation where iStill's management team expects to have no other option but to significantly raise prices by the end of March.
Where does this leave you? Well, first, of course we'll honor each and every signed Purchase Agreement. The prices we have offered you are the prices you will pay.
Secondly, we expect to be able to release Purchase Agreements based on current prices up until the end of March. So if you want to order, now is the time.
Thirdly, Purchase Agreements that haven't been signed yet have a validity date. If this date is not met (if we do not get the PA back, signed and in time), a new Purchase Agreement will see the new, increased prices.
If you want to order now, but do not yet have a Purchase Agreement, please reach out to Esther@iStillmail.com. If you have a Purchase Agreement in your possession, please sign it ASAP and return it to us.
Regards, on behalf of the iStill Management Team,
Dr. H.E.J. (van) Eijk, Founder, Owner, and CEO of iStill.
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