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How does the rising price of timber affect your business?

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Date posted: 17th September 2014

Since the end of 2012 timber prices have increase considerably, having an effect on the cost of a new pallet. The UK & Ireland packaging timber price has increased by 23.4% since Q4-2012, and likewise the imported timber price has increased by 16.9%.

Similarly the pallet timber price has increased by 21.1% for UK & Ireland sources and 22.1% for imported timber.

How do commodity price increases affect your business? Are you feeling the pinch with the cost of new packaging prices? Have your wooden pallet prices increased recently?

As commodity prices increase the cost of products will further increase making margins smaller and supply tighter. The concept of a circular economy is to reduce our use of virgin materials by looking at what we already have and reusing existing products.


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Ask yourself the questions again, have your wooden packaging prices increased recently? Can your wooden packaging, for example wooden pallets, be collected from your customers and be reused?

Think of a glass milk bottle – this is a fantastic circular economy concept. There is an initial cost to manufacture the bottle but once use the user rinses and leaves it for the milkman to collect to reuse several times. The plastic milk bottles from the supermarket can be recycled and most local authorities do encourage this but we should consider the EU Waste Framework Directive. Reuse comes above recycling in the waste hierarchy therefore reusing a glass bottle is the preferred and most environmentally sustainable option.

Businesses can implement many activities and initiatives to encourage a circular economy, for example recycling used printer cartridges or toners, recycling waste paper or turning computer monitors off between shifts. If you use wooden packaging, such as pallets, which will increase in cost as commodity prices inflate, why not introduce a packaging reuse system to encourage a circular economy and sustainability.

RPS collects, sorts, inspects and repairs industrial packaging and prepare it for reuse. Let RPS save you time, money and the environment by implementing an effective packaging management system and return your packaging to your fit for purpose. RPS manages the entire process allowing you to concentrate on your own business activities. The cost of reusing your existing wooden pallets is significantly lower compared to buying new pallets.

For more information visit our services page or to discuss your packaging cost saving options in more detail please call on 01642 469322 or complete our online contact form.


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