The fact that there has been a difficult time getting a very coveted product on the shelves in America for the past 6 years now is a sign of decline.
Not really. I read an article by an ammunition re-loader that explained the .22 situation. MONEY. My figures may be off somewhat but you can get the idea.
The manufacturing line for .22 costs approx. 5-6 million. They make approx. .001 cent per round and the machinery is .22 specific only. Now, the line for center fire cost the same, they make 10 times as much profit per round and can change the tooling for other calibers.
This is precisely why no new .22 ammo manufacturing have been built in the last 10 years and those existing have it are running 24/7 trying to get rid of the bubble. However, buyers like described in the OP is the reason it remains so high, they are artificially creating a shortage and re-selling at double their costs. They pay kick back to store employees for early notification and even some employees are laying back new shipments for big sales to their beneficial “customers”.
There is actually enough production to keep up with normal demand but until the straw buyers quit, prices will remain high.