Indian Transport & Logistics

Pallets: The backbone of logistics and supply chain channel

Pallets: The backbone of logistics and supply chain channel
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Pallets are the backbone of the logistics business, which is the backbone of the economy. They are at the centre of the logistics and supply chain channel and play an important role in operations, planning, coordination and smooth flow of goods and services. They are designed to fit perfectly on standard transportation vehicles, such as trucks and trailers, which makes loading and unloading goods much more straightforward. This is particularly useful for businesses that have limited storage space or need to store goods for extended periods. History suggests pallets didn't appear until after the forklift truck was introduced in 1915. The first patent for a pallet is from 1925 by a gentleman called Howard T.

The significance of pallets
Pallets offer several advantages in logistics and supply chain management. Because of their efficiency, businesses can move large quantities of goods without having to handle each one individually, and they reduce the likelihood that goods will be damaged in transit. Pallets are also essential for the efficient stacking and storage of goods, facilitating transportation and reducing costs. Utilising pallets allows businesses to operate more efficiently, reduce expenses, and enhance customer service.

Pallets and their varied use
Pallets are used across various industries and locations to handle a wide range of products, including raw materials, finished goods, food and beverage products, construction materials, consumer goods, and more.

Some industries that use pallets

  • Manufacturing Industry: Pallets are needed in the manufacturing industry to move raw materials and finished goods within their facilities. The products that are typically handled using pallets include automotive parts, food and beverage products, pharmaceuticals, and chemicals.
  • Warehousing Industry: Pallets are required in warehouses to store and transport goods within their facilities. The products that are commonly handled using pallets in warehouses include consumer goods, construction materials, electronics, and paper products.
  • Transportation Industry: Pallets are used in the transportation industry to move goods from one location to another. The products that are commonly transported using pallets include food and beverage products, consumer goods, building materials, and industrial equipment.
  • Retail Industry: Pallets are utilized in the retail industry to transport goods from distribution centres to stores. The products that are commonly transported using pallets in the retail industry include clothing, consumer electronics, toys, and home goods.

India and global demand
Supply chain operations, laws, and industry standards are just a few of the variables that affect pallet needs in the Indian market and in international trade. While the Indian market demands specific pallet sizes, the requirements for international trade include compliance with regulations and standards set by the ISPM, IPPC and ISO. To meet the diverse needs of the Indian market and requirements for international trade, pallet manufacturers must offer a range of pallet sizes, materials, and quality standards to cater to various supply chain operations and regional regulations.

The market demand for sustainable solutions in the logistics and supply chain industry has been increasing in recent years due to growing concerns about the environmental impact of traditional packaging and pallets. Eco Pallet is on a mission to revolutionise the pallet industry on a global scale by producing sustainable-certified eco pallets, made of a patented spray that is developed in-house. It is not just an option but rather a necessity to have a sustainable, high-quality, and cost-effective pallet. The factor of sustainability is set to revolutionise the pallet industry.

Sustainable and eco-friendly approach
To meet the essential requirements of their operations, the logistics industry demands pallets that come in different sizes and weight capacities, have durability, are compatible with equipment, follow standardisation, and are eco-friendly. Fulfilling these specific pallet needs can help in improving operational efficiency, reducing costs, and promoting sustainability. With growing concerns about the environment, the logistics industry demands pallets that are sustainable and eco-friendly. Eco-friendly pallets can help reduce waste, conserve natural resources, and lower greenhouse gas emissions. Therefore, as a pallet manufacturer, we consider these specific needs when creating pallets that cater to the distinct requirements of the logistics industry.

The circular economy is an economic system that is designed to minimize waste and maximize the use of resources by keeping materials in use for as long as possible. This is achieved by designing products to be more durable, reusable, and repairable, and by creating closed-loop systems where materials are recycled and reused instead of discarded as waste.

In the case of traditional wood pallets, they are typically designed to have a shelf life of 12-18 months, after which they are often discarded and replaced with new pallets. This approach is not sustainable, as it creates waste and requires the constant use of new resources to produce more pallets.

However, simply extending the shelf life of a product is not enough to fully embrace circular economy principles. To truly implement a circular economy, manufacturer ensures that materials and products are kept in use for as long as possible and that when they reach the end of their useful life, they are recycled and their materials are reused to create new products.

This means that in addition to designing more durable and longer-lasting pallets, we also create closed-loop systems where pallets are collected, repaired, and refurbished to extend their lifespan even further, and then recycled when they can no longer be used. By doing so, Eco Pallet minimizes waste, reduces the need for new resources, and promotes a more sustainable and circular approach to pallet production and use.

Revolutionising the industry
Eco Pallet uses post-consumer recycled wood and patent-protected spray to make pallets. As all the materials are sourced within a 100-kilometre radius, the CO2 emissions are drastically reduced. The shelf life and the circular economy of the pallet make it possible to further reduce emissions for years. Our buyback policy ensures the pallet does not end up in the landfill. The increased life span of pallets stops deforestation of trees for new pallets, and sourcing wood from scrap ensures upcycling of the already-cut wood.

That is 45,00,00,000 pallets produced from fresh wood cut from trees. Going by the figures, a total of 1,12,50,000 trees are cut to make pallets every year. An often-cited study from the European Environment Agency states that ONE mature tree can remove about 21.7 kg of carbon dioxide from the atmosphere. Saving 1125000 can remove 24,41,25,000 kg of emissions every year. Apart from the CO2, financially, the user would end up saving the AMC or repair charges spent on the pallet.

Eco-friendly pallets, such as those manufactured by Eco Pallet Pvt Ltd, are transforming the pallet industry through patented technology in upcycling wooden pallets by extending their longevity, reducing emissions, and fostering a circular economy. As industries become more global and companies look to optimise their operations, the demand for pallets will continue to rise. The pallet industry must continue to innovate in order to satisfy the changing needs of the logistics and supply chain industry, while also promoting sustainability and minimising environmental impact.

The views and opinions expressed in this article are those of the author and do not necessarily reflect the views of Indian Transport & Logistics News.

Priya Prakash

Priya Prakash

She is the managing director of Eco Pallet

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