Downsides of Buying Pallets from Pallet Scavengers

Buying pallets are an essential component of the supply chain for many businesses.  These essential items are great for transporting and storage of freight.  However, when outsourcing your pallets, your decision on a pallet supplier is very important.

Your business can either purchase pallets from an asset-based pallet supplier, pallet broker (costly middlemen), or pallet scavenger.  Making the decision to choose a pallet scavenger can come with many problems that can negatively affect your business and bottom line.  In this article, we will discuss the cons of buying pallets from these sources.

Cons of Buying Pallets From Scavengers

• Inconsistent Quality:   Pallet scavengers often collect used pallets from a variety of locations.  This leads to inconsistencies in quality and condition.  Many of these pallets may have missing boards, have damaged stringers, or carry contamination that can jeopardize the safety of your freight during transport.  This will eventually lead to loads shifting causing unexpected costs and downtime.
• Sustainability Issues:  The pallet industry has made advancements in sustainability using environmentally friendly materials and with reusing or recycling pallets.  Pallet scavengers may not even know about sustainability, or how to create sustainable practices.  This should be a concern for businesses that are trying to reduce their carbon footprint.
• Risk of Contamination:  If you’re sourcing pallets from scavengers, those pallets can carry contaminants such as chemicals, mold or even pests.  Your freight, while being transported on these wood pallets, will be at risk of contamination.  These risks can lead to product recalls, fines, or harm to your brand’s reputation.
• Compliance Issues:  All industries aren’t the same and requirements for pallets need to adhere to strict hygiene and safety standards ie. pharmaceutical and food companies.  Pallet scavengers may have no clue of these requirements or the means to meet them. 
• Unforeseen Costs:  Buying pallets from scavengers upfront seems like a money-saving solution.  However, this can lead to unforeseen costs for replacements, repairs and issues related to compliance will overshadow the initial savings.  It makes more sense to invest in recycled pallets from a reputable company.
• Unsteady Supply:  Scavengers depend on finding discarded pallets, which can lead to unreliable supply chains.  Not having a steady source of pallets when you need them can cause delays in your business.

In Conclusion

In conclusion, while the idea of cost savings may attract businesses to buy pallets from pallet scavengers, it’s important to think of the long-term effects.  Inconsistent quality, sustainability issues, contamination risks, compliance issues, unforeseen costs coupled with unsteady supply present important cons.  It’s often the smartest option to invest in pallets from reputable manufacturers or pallet companies in NC area that gives priority to quality, regulations, and sustainability.