Home > Lumber set to surge, but wood pallets stay strong

Lumber set to surge, but wood pallets stay strong

October 12, 2012

Lumber set to surge, but wood pallets stay strong

Lumber prices across North America have been slowly moving upwards for much of the year. But don’t worry, dollar for dollar engineered wood pallets are still half the price of their plastic counterparts.

This is good news, because according to a recent CIBC report, lumber prices will soften in the immediate future but surge early in the new year. Reasons for the predicted surge include:

  • Reduced supply from Canada due to pine beetle infestation
  • A strengthening new housing market
  • North America’s manufacturing industry gaining traction
  • Exports to China remaining strong

Also affecting the price of lumber is the fact that fewer sawmills are in operation now. Many mills closed during the Great Recession. The good news again, though, is that the mills that remain do have room to increase production, so lumber shortages are unlikely.

From a logistical and supply chain perspective, the price of wood pallets is unlikely to rise significantly, so wood pallets will remain considerably cheaper than plastic ones.

Furthermore, forward thinking wood pallet manufacturers such as Windsor, Quebec, based HWP are working with their clients to explore ways to engineer pallets more cheaply without compromising strength or durability.

For over 65 years, three generations of the Wheeler family have been at the leading edge of the design and manufacture of wood pallets, wood crates and custom wood packaging solutions. HWP is the nearest pallet manufacturer to the US border that offers heat treated pallets in line with HT-ISPM 15 legislation. This means that all of HWP’s wood packaging is free to travel across all national and international borders, meaning you can deliver to your clients on time. To discuss your company’s wood packaging requirements, contact HWP today.

http://www.ampcq.org/manuf.html



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