In this installment, we answer the question: How much do pallets cost? We begin with a sample price chart to give you a quick idea about pallet prices. Then, we dig deeper to explore what goes into a pallet price.
Keep in mind that pallet pricing can be complicated. It is like asking how much a car costs or how much a house costs. We all know that the price of a house depends on its size, the quality of the materials that go into it, its condition, and its location, for starters. Similarly, variables such as whether a pallet is plastic or wood, new or recycled, standard sized or custom, large or small, and the cost of delivering it, etc., help determine the price of a pallet.
Pricing varies widely depending on construction, reuse, and application, factors explored more fully in Packaging Revolution’s guide to wood pallet design and market conditions.
How Much Do Pallets Cost: A Sampler
Here are some sample price ranges that can give you an idea about what pallets cost.
Where to Find Pallet Prices
To better understand pallet prices, here are some leading online sources:
Pallet Profile Weekly – paid subscription, updated weekly, featuring new GMA hardwood prices regionally in the United States.
Recycled Record – paid subscription, updated monthly, with recycled pallet prices.
FALM – listed updated wood pallet prices for several U.S. markets, updated quarterly.
PalletTrader – free or paid, features pallet offers that may include price.
ContainerExchanger – online marketplace lists new and used pallet prices for plastic pallets, wood pallets and metal pallets.
Now, let’s go under the hood to understand pricing better.
Wood Pallet Costs: A Deeper Dive
Wood pallets can be segmented as new vs. used or recycled, standard vs. custom, or by region. All of these factors will impact pallet cost. While we focus on new vs. used below, complex custom pallets that cannot be nailed in automated assembly lines will typically be more labor-intensive and costly. Likewise, transportation can have a significant impact.
The Cost of New Wood Pallets
New wood pallet costs are directly related to inputs such as wood and fasteners, labor, overhead, profit margin and transportation. Wood is the largest component of a pallet’s cost, and because of that, when the price of lumber moves up or down, it can exert significant pressure on pallet pricing. The transportation of finished pallets is significant and usually limits the range to which pallets can be profitably shipped – usually no more than 200 to 300 miles. Read this article for deeper insights into how new wood pallet costs (link insertion) are calculated.
Understanding Recycled Pallet Pricing
Purchasing recycled pallets differs significantly from buying new ones due to the factors influencing their price. Unlike new pallets, where lumber costs are a major driver, recycled pallet pricing is less affected by lumber fluctuations and more driven by factors like core availability, labor and transportation.
Recycled pallet pricing starts with the cost of pallet cores or used pallets that recyclers purchase. Core prices fluctuate based on supply and demand. When demand is high, competition among recyclers can drive core prices up. Conversely, when demand is soft, recyclers may renegotiate to buy cores at lower prices. This variability in core costs can have a major impact on overall pallet pricing.
Once the cores arrive at a recycling facility, they undergo sorting and repairs. While some may be ready for immediate resale, most require repairs ranging from reattaching loose boards to replacing damaged components. In the past, repairs often involved new lumber, but many recyclers now use recovered components from dismantled pallets, which reduces the need for new materials and keeps costs lower. However, labor remains a significant cost driver, as recycling pallets is typically more labor-intensive than assembling new pallets, which can be done using automation. As with new pallets, transportation accounts for a significant proportion of the price.
Plastic Pallet Prices
The price of raw materials, particularly virgin plastic resin, is a significant driver of plastic pallet costs. The type of resin used (such as HDPE or PP) influences durability and performance, with higher-quality resins commanding higher prices. Additionally, recycled materials or regrind (recycled plastic used in production) can reduce costs depending upon market conditions, though this may pose design challenges to ensure performance and durability. Lighter pallets that consume less material will typically be less expensive.
Plastic pallet manufacturing requires expensive tooling, meaning the production run length must be long enough to justify the upfront investment. Shorter runs or custom designs will often result in higher per-pallet costs due to the need to amortize tooling expenses over fewer units. Manufacturers aim for long production runs for plastic pallet production to be cost-effective. Larger runs help spread tooling and setup costs over many units, reducing the per-unit price. In contrast, shorter runs or custom designs generally increase per-pallet costs due to less efficient use of equipment and materials. Transportation of nestable pallets is less sensitive than double-faced pallets because significantly more can fit on a load.
Metal Pallet Prices
Pricing for metal pallets of similar size varies significantly due to several factors. First, material type plays a crucial role. Stainless steel, aluminum, and carbon steel have different costs, with stainless steel generally being the most expensive due to its durability and corrosion resistance. Additionally, the manufacturing process impacts price; pallets with more intricate designs or higher-quality welds can be more labor-intensive and costly.
Surface treatments like galvanization or powder coating to prevent rust can also drive up the price, as can factors such as weight capacity and custom features (e.g., stackability or reinforced corners). Lastly, order volume affects pricing, with larger orders typically resulting in lower per-unit costs due to economies of scale.
Bottom line, the cost of a pallet—whether new, recycled, plastic, or metal—depends on a complex mix of factors. Each type of pallet presents its own set of cost drivers, from lumber and resin prices to core availability and tooling expenses. By understanding the underlying components of pallet pricing and working closely with suppliers, businesses can make more informed procurement decisions that balance cost-effectiveness with operational needs. Ultimately, staying aware of market trends and the variables that affect pallet costs can help buyers optimize their supply chain and budget accordingly.
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Rick LeBlanc, EMBA, is the founder and editor of Reusable Packaging News (subscribe to the free newsletter) and editor of Western Pallet Magazine. A supply chain journalist with more than 30 years of experience, he specializes in pallets, reusable packaging, material handling and related operations. Rick is co-author of Pallets: A North American Perspective and Pallets & Progress: A Collected History of Pallets and Palletized Handling 1922–1945. He is also an advisory board member of the Virginia Tech Center for Packaging and Unit Load Design. Read Rick’s full bio.
