What Does a Pallet Cost? Your Guide to Pricing
Whether you’re buying pallets for a single facility or managing a nationwide distribution network, understanding pallet cost is essential to running a predictable, efficient, and financially sound supply chain.
Pallets may seem like a small line item in the budget, but they influence everything from product protection to warehouse efficiency to freight expense. Because pallet pricing varies significantly based on materials, design, and market fluctuations, businesses that understand these cost drivers are better positioned to make strategic purchasing decisions.
Pallet cost isn’t one-size-fits-all – and nor should it be.
The answer isn’t always straightforward because pricing depends on several variables—from material and size to customization and market fluctuations. In this blog, we’ll walk through what impacts pallet pricing, what types of pallets are available, and how to choose the most cost-effective solution for your supply chain.
What Drives Pallet Cost?
Pallet cost is determined by a series of interconnected factors, including material availability, labor, treatments, specifications, freight, sustainability requirements, and even economic conditions affecting global lumber and resin markets. While many buyers focus on the upfront price, the true cost of a pallet includes durability, longevity, and performance under load.
The more precisely a pallet is built to your product’s needs, the better it will perform (and the less it will cost you in breakage, damage, or inefficiencies).
Common Pallet Types and Their Cost Ranges
There are many different types of pallets on the market. Here’s a general idea of what you can expect to pay:
Wood Pallets: The most common option. Standard wood pallets usually cost between $10 to $25 for standard sizes. Custom or heat-treated wood pallets may cost more.
Plastic Pallets: These typically range from $25 to $80 depending on strength, design, and reuse expectations.
Metal Pallets: Known for their durability, these can cost between $50 and over $150 each.
6 Key Factors That Influence Pallet Cost
There are multiple factors that impact the cost of a pallet, but from our many years in the business, these are the top six factors we see:
Pallet Cost Factor #1: Material Type
Material is the single largest contributor to pallet cost. Hardwood is typically stronger but more expensive than softwood. Recycled lumber offers cost savings, while plastic or metal pallets have higher upfront costs but longer lifespans. Material selection should match your durability, sanitation, or export requirements.
Pallet Cost Factor #2: Size and Design Specifications
Standard 48 × 40 GMA pallets benefit from economies of scale, making them more affordable. Custom sizes, reinforced components, specialty fasteners, extra deck boards, or block designs increase costs due to additional labor and materials.
Want to learn more about finding the best pallet size for your company?
Explore our recent blog.
Pallet Cost Factor #3: New, Recycled, or Remanufactured
New pallets cost more but last longer under heavy loads. Recycled or remanufactured pallets offer a lower-cost, sustainable option without sacrificing reliability for many applications.
Pallet Cost Factor #4: Heat Treatment, Kiln Drying & Compliance
Exporting to ISPM-15 countries requires heat-treated pallets, which adds labor, energy, and certification costs. Kiln drying reduces moisture for food-grade or mold-sensitive operations, but it also increases price.
Pallet Cost Factor #5: Order Volume and Frequency
Larger orders reduce pallet cost through volume efficiencies. Recurring orders or long-term partnerships also create pricing stability and operational benefits.
Pallet Cost Factor #6: Freight, Fuel & Delivery Logistics
Transportation often accounts for a significant percentage of final pallet cost. Fuel markets, load optimization, distance travelled, and number of deliveries all influence pricing.
Custom vs. Standard Pallets: What to Expect for Costs
When deciding between custom and standard pallets, cost is only part of the equation—performance, efficiency, and sustainability also play critical roles.
Standard wood pallets (like the common 48x40-inch GMA pallet) are widely available and cost-effective due to mass production. They’re ideal for general use and compatible with many supply chain systems. However, they may not be optimized for your specific products, weight distribution, or handling equipment—leading to inefficiencies or even product damage over time.
Custom pallets, on the other hand, are designed specifically for your logistics needs. At Olympic Forest Products, our custom pallet solutions start with a detailed audit of your current usage, identifying issues such as breakage, inefficiency, or sustainability concerns. We then apply industry-standard design software and sustainable materials to craft tailored solutions that optimize performance, reduce waste, and often lead to long-term cost savings despite higher upfront investment.
Our six-step audit process includes:
Reviewing your current pallet usage
Identifying issues such as inefficiency or damage
Conducting design consultations based on operational needs
Performing cost-benefit analyses to weigh ROI
Evaluating environmental impact
Outlining a development plan for your ideal pallet solution
While custom pallets generally cost more than standard ones, the value lies in durability, better load protection, improved handling, and alignment with sustainability goals. For businesses with unique shipping requirements or growth goals, custom pallets are an investment in long-term logistics efficiency.
4 Hidden Pallet Cost Drivers Many Buyers Overlook
Beyond materials and production, several indirect factors contribute to pallet cost:
Market volatility: Lumber and resin prices fluctuate with seasonal demand, inventory cycles, and global supply conditions.
Labor availability: Skilled labor shortages can affect pallet production capacity.
Environmental requirements: Sustainability goals or certifications may require upgraded materials or processes.
Storage and handling: Poor storage conditions can shorten pallet lifespan and drive up replacement costs.
Understanding these variables empowers companies to anticipate fluctuations rather than react to them.
4 Cost-Saving Tips for Buyers New to Purchasing Pallets
If you’re new to purchasing pallets (or want to refine your pallet purchasing process), navigating costs can be overwhelming. But with the right approach, there are several ways to keep your spending in check without compromising on quality or reliability. Here are four practical tips to help you make smarter, more cost-effective pallet decisions.
Work with a Pallet Consultant: Experts can help you optimize pallet design and sourcing, potentially saving on costs.
Consider Recycled or Remanufactured Pallets: These offer a lower-cost, sustainable alternative without sacrificing quality.
Evaluate Your Load Needs: Don't overpay for strength or features you don’t actually need.
Establish a Pallet Recovery Program: Recovering and reusing pallets extends their lifecycle and improves ROI.
How to Request an Accurate Pallet Cost Quote
A complete and accurate quote depends on providing clear information. Include:
Dimensions
Load type and weight
Rack or floor conditions
Treatment requirements
Volume and frequency
Delivery location
Sustainability preferences
A well-prepared RFP creates faster, more accurate pricing and a pallet that performs better over time. Learn more about how to request a quote for pallets.
Why Work with Olympic Forest Products?
At Olympic Forest Products, we help companies navigate pallet sourcing with precision and cost-efficiency. Our nationwide partner network and decades of experience mean we can find the right solution—whether it’s a standard wood pallet, a specialty build, or a recycled option that supports your sustainability goals.
Contact us today to explore your pallet options and get a customized quote that aligns with your budget and operational needs.
Want help with securing the best pallets at a reasonable price? Submit a pallet RFP today.
