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Asset-based Pallet Providers: The Eco-Friendly Choice

Natalya Calleja

Meet your company's operational and environmental goals by working with an asset-based pallet supplier.

Customers have plenty of options when it comes to procuring pallets, from brokers to asset-based pallet suppliers. Within the past two years, more than 90 percent of CEOs have stated that sustainability is important to their company’s success. It’s no surprise that the pallet production industry has seen an increasing demand for recycled pallets. Working with an asset-based pallet provider not only benefits your business operations, but also supports your company’s sustainability goals.

Enjoy Maximum Efficiency

Market inclinations are shifting toward recycled pallet manufacturing. It’s a segment that is expected to grow by three percent year-over-year in the next ten years. A major advantage of working with an asset-based provider is that they own the warehouses, trucks, distribution centers, pallets, and recycling facilities, giving the pallet provider complete control over every step of the supply chain. This centralized process means maximum efficiency and a more streamlined and environmentally sustainable operation for customers.

Create Less Waste

A typical wooden pallet takes 7-9 trips throughout its lifecycle, providing many opportunities for repair and reuse. When you’re working with an asset-based supplier that owns the entire pallet recycling process, they can take full advantage of all of these opportunities, from recovering and repairing damaged pallets for reuse to dismantling pallets and using the lumber to remanufacture new pallets. Once a pallet is at the end of life, it’s possible to grind down the wood to be incorporated into soil, mulch or create other useful byproducts.

Another big bonus of working with an asset-based supplier is the opportunity for customization. The supplier has the flexibility to offer tailor-made solutions because they can provide recycled pallets in both common and custom specifications. This reduces the need to create new pallets or turn to other pallet brokers.

Reusing pallets and wood packaging materials minimizes waste generation and decreases the overall consumption of wood fiber. Furthermore, an asset-based pallet supplier can reuse materials in creative ways (such as stripping pallets of their nails) and consolidate wood waste streams, seeing to it that less waste ends up in landfills.

Reduce Carbon Emissions

According to Nature’s Packaging, in 2011 (the most recent year for which detailed data are available), an estimated 474 million pallets were recovered for recycling. This translates to an annual reduction of 13,328,800 metric tons of carbon emissions, or the equivalent of 45,480,300 cars taken off the road.

Consider another component of the supply chain, such as transportation. The largest source of greenhouse gas pollution in the United States comes from transportation, largely through carbon dioxide in fuel emissions from cars and trucks. An asset-based provider owns their trucks and employs their drivers, instead of coordinating with several different logistics companies. This type of operational control can mean more efficient pallet deliveries and pick-ups as well as fewer trucks on the road.

Improved Insight

48forty is an asset-based pallet supplier. We have invested in innovative technologies such as our online customer portal PalTrax, which documents every pallet transaction and provides full visibility into your pallet purchases and sales. (It doesn’t hurt that this digital documentation reduces paper consumption as well!) We also use e-signature and electronic bills of lading. This transparent, complete reporting on your pallet program can lead to improved operational decision-making and streamlined processes that can decrease your company’s environmental impact.

The Bottom Line

Because an asset-based pallet supplier controls most of the components necessary to support a customer’s supply chain, they can maximize efficiency and reduce resource consumption.

If you’re interested in purchasing recycled pallets from (or selling to) an eco-friendly provider, contact 48forty today. Get in touch online or give us a call at 1-877-779-8577. We can customize a pallet management solution that works for both your business and the environment.

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Natalya-Calleja--headshot-2020_500pxNatalya is Director of Marketing & Customer Experience at 48forty. She has more than 18 years of industry experience with a strong focus on cross functional sales, marketing, and customer service. Read more about Natalya here.