Maximizing Cost Efficiency Using Rubber Pallet Bands Over Shrink Wrap

In the ever-evolving landscape of sustainable practices and cost optimization, the choice between using rubber pallet bands and shrink wrap to secure pallet loads emerges as a crucial decision for businesses. The following analysis demonstrates the compelling financial and environmental advantages of adopting pallet bands, highlighting significant cost savings over a span of one year. This comprehensive exploration encompasses not only the impact on labor costs and efficiency but also the eco-friendly benefits of reducing plastic waste and supporting sustainability goals.

Securing Pallets with Shrink Wrap During Internal Transport

Production and warehousing facilities often move as many as 50 pallets/day (i.e., 1000 pallets/month over 20 workdays), securing pallets for light transportation from receiving or production to Quality Inspection, and, from there, to either outbound shipment, or to storage and order picking. During this process, pallets are typically wrapped with shrink wrap at least once, and often twice, as illustrated on the flow chart below:

Process Using Shrink Wrap

Since one shrink wrap roll lightly wraps about 7 pallets, 50 pallets require approximately 7 rolls of shrink wrap per day, if wrapped once after production; and 14 rolls if re-wrapped after inspection as well. At the typical cost of shrink wrap of about $16 per roll, this represents an estimated cost of $112/day (or $2.24 per pallet) for 50 pallets, equaling to $2,240 for 1,000 pallets per month if wrapped once, and $4,480 when wrapped twice. This translates to an annual shrink-wrap cost of close to $27,000-$55,000 per year, depending on whether the loads are wrapped once or twice.

Process of Using Rubber Pallet Bands

When securing pallet loads with pallet bands during internal transport, the wrapping (and potentially re-wrapping) of loads in shrink wrap can be eliminated. Most standard pallets can be quickly secured with just one or two bands.

Pallet Band Solution

Initial Investment and Reusability

The initial investment in reusable rubber pallet bands, at a cost of just about $1.25 each (depending on order volume), is not only lower than the shrink-wrap cost per pallet, but considering their reusability, they quickly prove their cost-effectiveness. Unlike shrink wrap, which is disposed of after each use, pallet bands can be utilized repeatedly for an extended period of 1.5 – 2 years.

In the case of a company moving 50 pallets / day, the related cost can be as little as $50, and realistically less, depending on how many pallets are being transported at one time.  Over a period of one year, as the prior calculation shows, the cost savings over shrink wrap can be tremendous. 

Environmental Benefits

Aside from financial gains, embracing rubber pallet bands aligns with sustainability goals by mitigating plastic waste. Unlike shrink wrap, which generates disposable plastic waste with each use, pallet bands contribute to a greener environment through reusability and minimal waste generation.

In Conclusion

Considering the financial, environmental, and operational aspects, the choice is clear: rubber pallet bands are a compelling alternative to shrink wrap. 

By embracing pallet bands, production and warehousing facilities cannot only optimize their operations but also contribute to a more sustainable future.