Pallets are what make the world turn. But not exactly. Pallet do, though, make shipping much easier, and send products around the world. Pallets are crucial for shipping so it is important to make the right purchase. It is important to find quality pallets at affordable prices, taking into consideration shipping costs, purchase cost, and replacement rates. This is especially important as lumber prices and, by extension, wood pallet prices continue to rise.
PROBLEM WITH WOOD PALETS
Lumber prices are on the rise. Lumber prices have been on an upward trend since early 2016. They reached their peak in May 2018, after a steady increase. Although they dropped rapidly in the months that followed, lumber prices have been steadily rising since October 2018. There are two reasons for this. The first is that the forest has been reduced in number due to recent forest fires. It takes decades for forests to recover fully. In 2017, lumber companies were forced to charge more because of higher tariffs on Canadian lumber imported from Canada. These factors have led to lumber prices rising steadily, despite the optimistic period of 2018 and the fact that they are not expected to slow down anytime soon.
Wood pallets can still appear to be the most economical option, despite this. Each order costs between $6 and $25 per piece, making them less expensive upfront than the plastic alternatives that can cost from $7 to $150 per piece. This is a convenient savings, especially for small companies and shipments. Plastic pallets can last up to 250 trips, on average. They are also far more durable than wooden pallets which typically expire after six or seven trips. Plastic is the best long-term shipping option if you’re looking for cost-effective, long-term solutions.
Wood Pallet VS. PLASTIC PALLETS
Plastic pallets can be a great investment, as they have a better return on investment than wooden pallets. Let’s divide the cost of one pallet by the number of trips that can be made with it, and multiply this by 100. Wood pallets can last approximately six trips and have a median price of $16. Wood pallet ROI = 37.5 Plastic pallets, on the other hand, can last 250 trips reliably, but cost $72 per piece. Plastic pallet ROI = 347 Plastic pallets are a better long-term investment than wood pallets because they have a much higher ROI. These numbers will fluctuate depending on the cost of your pallets, but it is a great example of how plastic pallets can impact long-term budgets. Even if you buy the most expensive pallet, the ROI is 60. This is still significantly higher than the ROI for wood pallets. However, this assumes that the pallets will last 250 trips and not longer. These numbers don’t include the cost savings that plastic pallets offer.
BUDGET BENEFITS – MORE
Plastic pallets have a lot more longevity than wood pallets, which is one of their main advantages. Plastic pallets can last up to 250 trips, or approximately 10 years. They are far more durable than their wooden counterparts. Plastic pallets can be reused more often than wooden pallets. They can be cleaned before and after transporting food. Wooden pallets cannot be used for food or pharmaceuticals once. You can use soap and water to clean items you are not able to transport (e.g. food, pharmaceutical supplies). Except where required by law, you don’t have to pay extra for specific sanitizers.
Plastic pallets are a great way to cut shipping costs. You can choose from a range of sizes and styles so that you have the best fit for your needs. Different types of pallets have different weights. You can purchase lightweight options, such as our economical pallets for short-term or one-time use. These can transport heavy loads but don’t add much to the total shipment weight. The lightest pallets weigh only 11 pounds each.
Plastic pallets can be used to reduce storage costs. Plastic is far more durable than wood. It must be kept dry and cool to prevent mold, bugs, and water damage. Plastic can be stored anywhere there is space. It will not get damaged or become more fragile. You can make use of the space you already have in your warehouses. Because plastic pallets are thinner than wood pallets, they take up less space. Some pallet designs even include nesting capabilities and can be easily stored in small spaces by being stacked.
Plastic pallets also have an economic advantage in that they can be resold. Plastic pallets are extremely durable and can be sold if they are not in use or broken. If you’re interested in moving to plastic pallets, but want them to be more affordable, you can buy used pallets at a lower price. Although the style and availability of plastic pallets is not always consistent, they can be a great way to determine if plastic pallets will work for you.
PLASTIC PALLETS – OTHER PERKS
Plastic pallets are greener than wooden alternatives. It may sound counterintuitive since plastic is one the most harmful environmental pollutants. They are less energy-intensive to produce than wooden pallets because they last longer. They can also be recycled and remade into useful products. Plastic pallets can also be made from recycled plastic–ACM, which is Advanced Composite Material. These are typically less expensive than other plastics because they are already manufactured and need to be melted and remolded. Although this may not impact your gross expenditure, it is important to know the alternatives. Recycling your materials and using recycled materials can be a marketing tool.
Plastic pallets are less likely to get damaged during transport. Plastic pallets cannot be repaired once they break, unlike wood which can often be repaired after a few breaks. However, plastic pallet breaks are much less common than wood. Plastic pallets don’t become soggy or moldy from adverse weather. This means that you don’t have to purchase new pallets after unloading during a storm.
Plastic pallets are safer than wooden ones. Unfinished wood is a common material used to make pallets, and can cause splinters. A wooden pallet that has broken can lead to splinters. Although splinters can be a nuisance, they can sometimes cause serious problems. Also, wooden pallets weigh more than those made of plastic. The average weight of standard wooden pallets is between 30-50 pounds. Plastic pallets can weigh as low as 11 pounds depending on their model. There are also heavy-duty models that weigh the same as wood pallets. Plastic pallets are lighter than wood pallets, which saves shipping costs and makes them safer to use. If stored in a damp environment, wood pallets can also be susceptible to mold, fungal, and insect infestations. This makes them unsuitable for shipping. However, workers who remove them can experience an allergic reaction.
Plastic pallets can be used in automated systems because they are uniformly shaped by type and sized. Because you don’t have to account for wood warps and weak spots, it makes it simple to plan how to pack your items onto pallets. Plastic pallets are easy to access from all sides. There is no need to figure out how to maneuver in order to pick up your pallets from the best angle.
Plastic pallets look better than wood, but it is an optional perk. If the retailer to which you are shipping is willing, they can be used as display items. This will save them money and make them more likely to order from you again. If they agree that pallets are easier to use than wooden versions, or if they feel they look neater and cleaner than the ones they have already set up. While wood pallets are still the most practical shipping option, they are becoming increasingly difficult to use. Plastic pallets offer a great alternative. Plastic pallets can be more expensive upfront but they are worth the investment in the long-term. Plastic pallets are stronger, more durable, longer-lasting, lighter, and offer other benefits. If you are interested in learning more about your plastic pallet options, please don’t hesitate to contact Wooden Pallet Johor Bahru. We are happy to help you find the right plastic pallet to meet your shipping needs.