Nestable Pallet Program Eliminates 253 Return Truckloads Annually

ip group pallets

Pågen, Sweden’s leading baker, has production facilities in Malmö and Gothenburg. It distributes 650,000 loaves a day across the country from Ystad in the south to Kiruna in the north. This adds up to 500,000 outbound pallets a year, not to mention a great many return transports.

The year is 2011. Pågen has always used traditional wooden pallets, but makes the decision to switch to IP-Group’s Green Pallet. Since the Green Pallet is nestable, it provides a full 24 pallets per stack of empties, versus just 16 wooden pallets. This greater cube efficiency results in a 40 percent reduction of trailer space required for the empty pallet returns, not to mention similar space savings in facilities.

According to IP-Group, the Green Pallet works well throughout Pågen’s operations and is equipped it with radio-frequency identification (RFID) to enable further control through logistic flows. The fact that 253 fully loaded trailer movements per year are eliminated is an added bonus. The low constant weight is another positive thing they have noticed about the Green Pallet. This means less heavy lifting for employees, as well as the elimination of nails and splinters.

“We offer a new smart pallet system that saves a lot of money for our customers,” states Tobias Josefson, CEO of IP Group. “At the same time it means reduced environmental emissions  and an improved working environment for employees.” He adds that avoided wood pallet purchase and transportation savings translate into a rapid payback. For Pågen, savings related to utilizing the Green Pallet are over $500,000 annually. The Green Pallets are estimated to have a 10-year life.

In addition to the Green Pallet, IP Group offerings include a variety of other cube-efficient shipping solutions including its Greenpack and Roll Box, to name a few. The company also provides a pooling services as needed by customers, including tracking and rental.

According to Geir Vidar Persen, IP Group Sales Director, the company offers a turnkey solution based on the customer’s mode of operation,and provides training and logistical support as needed to deliver increased profitability and reduced costs. The process begins with consultancy, he explains. “We conduct an analysis and provide you with an assessment of your needs. Because we offer a turnkey solution of pallets and eco-pack we will find a solution that works. The solution is presented together with a quote.” Once the quote is accepted, implementation can begin.

“We don’t want to sell products to our clients but insight and innovation,” Josefson concludes. “That means that we support our clients to find the correct product concept and concept solution and make strategy together with them.”

To find out more about IP-Group, visit