The global pallet market attained a value of about USD 82.59 Billion in 2020, driven by the growth in the food and beverage industry. Aided by the increased internet penetration, the industry is expected to witness a further growth in the forecast period of 2022–2027, growing at a CAGR of 5.4%. The pallet market is projected to reach a value of nearly USD 115.17 Billion by 2026.
the global pallet market can be segmented into wood, plastic, metal, and corrugated paper, with wood accounting for the largest market share. By structural design, block leads the industry. On the basis of application, food and beverage sector accounts for the largest share in the global industry. The major regional markets for pallet are North America, Europe, the Asia Pacific, Latin America, and the Middle East and Africa, with North America accounting for the largest share of the market. The key players in the above industry include Brambles Ltd, Schoeller Allibert, Loscam, ORBIS Corporation, and CABKA Group, among others.
Comprehensive Look at U.S. Residual Markets:
As global consumer trends and demands continue to shift at an escalating pace, a research project shows that both structural and temporal market shifts in recent decades have impacted the markets for wood fiber residuals. Research conducted to better understand the relationship between the supply and demand of wood residual materials over a 14-year period. (Forest2Market, January 2019)
Pallets have become precious:
The humble pallets have come in great demand and where there is demand, the prices also increase. Demand for platforms used to transport a wide range of products, from consumer goods to industrial ingredients, is growing amid the e-commerce explosion, which forces retailers and manufacturers to expand their warehouses and increase stocks. Analysts estimate that the market will remain a hot one, considering that construction works reach a peak level in spring when the economies reopen. Wood pallets are a standard way of transporting products that are easy to move with forklifts. In general, pallets are bought or rented by product manufacturers and are included in the costs of transport packaging. On the other hand, when a retailer runs out of pallets, recycling companies recycle, repair, and resell them. Analysts estimate that there are approximately five billion pallets in use worldwide, of which two billion are in the United States alone. About 90% of the pallets are made of wood and the rest are made of plastic, metal, or cardboard.
Region Analysis:
Asia-Pacific dominates the pallet market due to region’s growing transportation and logistics sectors. For instance, in March 2021, Yelopack, a supply chain management firm with operations throughout Asia Pacific, including China, Russia, Korea, Japan, Singapore, and Malaysia, integrated the AFFINITY polyolefin elastomer (POE) in its existing plastic pallets. Adopting Dow’s technology helps Yelopack to improve the life of its pallets by 150 percent, lowering its carbon impact. Middle East and Africa (MEA) are predicted to experience the fastest growth due to the region growing industrialization.
The Pallet Foundation supports projects that will contribute to the improvement of the wood packaging industry. Our goal is to invest in sound research relevant to the most pressing questions and compelling opportunities in one of these areas: market information, environmental impact, scientific advancements, and others that help advance the sector.
To learn more about obtaining funding for a research project, click here to apply for a grant.
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