Others have pointed this out, but it's possible that the estimated volume was quoted in units while the price was quoted in bags. That seems unlikely, but it's possible. If that is what happened, then their IQ (idiocy quotient) is not quite so far off the scale as it would have been if they really had agreed to the deal without knowing the price at all. But it's still pretty damn high.
And under no conceivable scenario are the justified in accusing the distributor of being a bad actor.