A recent in-depth study conducted by Research and Markets, one of the world’s largest and most respected market research companies, has revealed that there are some exciting times ahead for the pallet market. The report covers the global pallet market from 2015 until 2019. Undoubtedly, the outstanding statistic contained within the research report is the prediction of growth within the pallet market of an astonishing 4.57%.
The Evolution of the Global Pallet Market
The pallet industry as a whole has certainly witnessed a vast array of changes over the past fifty years. The materials used and innovative techniques employed in the pallet manufacturing process continue to evolve. Vendors are still investing heavily in research and development in order to produce pallets that satisfy a number of criteria, including being recyclable, friendly to the environment, cost-effective and durable. Of these qualities, it is a pallet’s durability and overall strength which is currently considered as the most crucial. This is because end users want to be able to use pallets on multiple occasions within the supply chain process rather than just for a single trip.
This shift in pallet demand towards multiple use has had a knock-on effect in other areas. With pallets now been used more than once, the instances of damage are also naturally on the rise. This unfortunately leads to overall supply-chain costs mounting too. As a result, vendors are now focusing their attention on developing pallets of the highest quality in order to meet the ever-increasing demands of clients.
Predicted Growth for the Global Pallet Market
Much of the predicted growth for the pallet industry over the next four years can be attributed to the recovering global economy. After a number of years when the financial stability of the world economy was uncertain at best, the outlook is now much brighter. With the majority of the financial superpowers now out of recession, consumer spending has begun to increase. In particular, the housing sector has been the recipient of a welcome boost, with the knock-on effect being that the construction industry is now on a more solid foundation. A rise in activity in the construction industry has naturally led to a surge in demand for pallets.
With activity in the housing and construction sectors now on the rise, demand for other associated products, such as durable goods and accessories, will also increase. Again, this can only be good news for the global pallet industry, as the demand for logistics services grows ever stronger.
Although the continuing shortage of raw materials is forecast to pose a major challenge to the industry, the outlook for the global pallet market as a whole over the next few years remains very positive.
Associated Pallets offer a wide range of wooden pallets and are currently working with businesses all over the UK to improve their logistics and supply chain processes.