Global Pallets Market Overview, 2023-28

The global pallet market has been experiencing steady growth in recent years, and this trend is expected to continue in the coming years. The growth of the pallet market can be attributed to various factors, such as the increasing demand for pallets in the logistics and transportation industries, the rise of e-commerce, and the growing popularity of lightweight and eco-friendly pallets. Additionally, the growth of the manufacturing and construction industries is also driving the demand for pallets, as they are used for the storage and transportation of various materials and products. Furthermore, advancements in technology and automation have also led to the development of innovative pallet designs that are more durable, efficient, and cost-effective. For instance, the use of radio-frequency identification (RFID) and other tracking technologies has improved supply chain management and made it easier to track and monitor the movement of goods.

According to the research report, "Global Pallet Market Overview, 2024–29," published by Bonafide Research, the market is anticipated to reach a size of USD 97.36 billion by 2029, up from USD 69.67 billion in 2023. The market is projected to grow at a CAGR of 6.74% from 2024 to 2029. The market is driven by the use of pallets for transporting. Organizations inside the freight sector transport bulk items as part of an integrated, multinational logistics chain. As supply chains become more global, customers are demanding greater accountability for how commodities and commodities flow through them. Particular pallets may therefore be tracked and instantly identified by inserting RFID chips into pallet components. Pallet monitoring can assist firms in managing recalls and expiry dates, preventing product loss, and delivering things to target consumers in a fast and cost-effective manner. Currently, logistic and shipping firms are transitioning to plastic pallets owing to their excellent qualities, including being inexpensive and ecologically friendly, and increased awareness of the need to minimise environmental impact is also driving up demand for plastic pallets. In addition, because of its capacity to carry large weights, HDPE material is in high demand in the automobile and transportation industries.

HDPE disposable plastic pallets are widely used in the foodservice industry due to their recent incorporation of resistance to organic and inorganic chemicals at room temperature. Thus, according to Woodworking Networks, the market for plastic pallets in the United States is growing at a rapid pace each year. Pallet companies will be able to reap the benefits of the upturn in the manufacturing sector, which is fuelling a rise in demand for their products. Meeting this demand is, however, proving to be something of a challenge for some pallet firms. The raw materials used for making pallets, such as lumber, are in short supply, which means that some companies are struggling to keep up with customer demand. One way that pallet manufacturers are overcoming this problem is by investing in their own sawmills and logging operations and integrating vertically with other companies to ensure they can meet demand and offer high-quality products at competitive prices. When it comes to the choice of pallets, wooden ones are still the most popular option for many manufacturers, accounting for over 75% of the total market share in 2023. There are lots of reasons why wood dominates the pallet sector and is often the preferred choice for most customers, especially those in the food and beverage sectors and consumer goods markets. Pallets made from wood are cost-effective, durable, and versatile. They are also widely available in various sizes and are easily customizable to suit individual needs.

During the processing and distribution channels, wooden pallets play critical roles in the global movement of secure, effective transport and storage platforms. Pallets are manufactured in an array of designs to accommodate changing heavy machinery and contents. Based on the region, Asia-Pacific will lead the market with the highest market share in 2023. Based on the end user, the market is segmented into food & beverage, chemical, pharmaceutical & healthcare, automotive, transportation & warehousing, consumer goods & retail, engineering, agriculture, and others. Among them, the Food & Beverage segment will be the market leader in 2023.

On the other hand, plastic pallets are rigid structures that provide mechanical stability to a bulk quantity of goods during handling to preserve their quality. Handling includes all activities related to lifting, moving from one point to another, stacking and product storage, and long-distance transportation by land or sea. To facilitate the movement of goods, plastic pallets are designed to be moveable by equipment such as forklifts, pallet jacks, and front loaders. Plastic pallets are highly recommended in the food and beverage, pharmaceutical, chemical, and other industries where there is a high risk of chemical contamination. Moreover, plastic pallets are one of the fastest-growing pallet types on the market. Since manufacturers can recycle them or melt and reform them into other manufacturing supplies, this option is popular among businesses looking to reduce waste. Plastic pallets have also risen in demand and popularity because they can store products without exposing them to pests or termites.



The COVID-19 pandemic has enhanced the inclination of the population towards e-commerce platforms, especially in countries such as India, where e-commerce had a lesser prevalence. Thus, the rise in penetration of e-commerce platforms has challenged supply chains to develop transportation and logistics to control the flow and cost of outgoing and incoming goods. Online orders are in smaller quantities and more frequent, thus requiring more assets for goods management. This creates a demand for pallets for e-commerce-based logistics, which, in turn, drives the pallet market's growth. However, fluctuations in the price of wood, especially in Europe and North America, limit the growth of the pallet market. Europe and North America are the two largest consumers of wooden pallets collectively; hence, the price changes in lumber affect the consumer patterns in the pallet industry.

Major Companies present in the market:
DS Smith, Smurfit Kappa group, Conitex Sonoco, Cabka Group GmbH, Menasha Corporation, Falkenhahn AG, UFP Industries, Inc, Schoeller Allibert Services B.V., Brambles Limited, Millwood, Inc.

Considered in this report
• Geography: Global
• Historic year: 2018
• Base year: 2023
• Estimated year: 2024
• Forecast year: 2029

Aspects covered in this report
• Global Pallet market with its value and forecast along with its segments
• Region-wise Pallet market analysis
• Various drivers and challenges
• On-going trends and developments
• Top profiled companies
• Strategic recommendation

Regions covered in the report:
• North America
• Europe
• Asia-Pacific
• South America
• Middle East & Africa

By Material Type:
• Wood
• Plastic
• Metal
• Corrugated
• Others

By End Use:
• Food and Beverages
• Chemicals
• Pharmaceuticals and Healthcare
• Automotive
• Transportation & Warehousing
• Consumer goods and Retail
• Engineering
• Agriculture
• Others

By Application Type:
• Rental
• Non-rental

By Structural Design Type
• Block
• Stringer
• Others

By Type
• Rackable Pallets
• Nestable Pallets
• Stackable Pallets
• Others (Display Pallet, Collapsible Pallets)

The approach of the report:
This report consists of a combined approach of primary as well as secondary research. Initially, secondary research was used to get an understanding of the market and list out the companies that are present in the market. The secondary research consists of third-party sources such as press releases, and annual reports of companies, analyzing the government-generated reports and databases. After gathering the data from secondary sources primary research was conducted by making telephonic interviews with the leading players about how the market is functioning and then conducting trade calls with dealers and distributors of the market. Post this we have started doing primary calls to consumers by equally segmenting consumers into regional aspects, tier aspects, age groups, and gender. Once we have primary data with us we started verifying the details obtained from secondary sources.

Intended audience
This report can be useful to industry consultants, manufacturers, suppliers, associations & organizations related to the Pallet industry, government bodies, and other stakeholders to align their market-centric strategies. In addition to marketing & presentations, it will also increase competitive knowledge about the industry.