by India is one of the fastest growing e-commerce markets globally. Pallets are extensively used for transportation and storage of goods in various industries including food and beverages, pharmaceuticals, chemicals, consumer goods and automotive. Pallets provide effective and economical packaging solution for safely transporting and storing products. They enable easy handling of goods using forklifts and pallet jacks during movement within warehouses and transportation. The growing e-commerce industry has fueled the demand for efficient logistics and warehousing in the country. The ease of handling and stacking offered by pallets makes them an indispensable part of the supply chain operations of e-commerce companies.
The global India Pallets Market is estimated to be valued at US$ 1011.18 Bn in 2023 and is expected to exhibit a CAGR 6.8% over the forecast period 2023 to 2030, as highlighted in a new report published by Coherent Market Insights.
Market key trends:
Rackable pallets are gaining popularity among e-commerce and third-party logistics companies owing to their ability to efficiently store and transport goods. Rackable pallets come with pre-cut slots that allow them to be securely locked on warehouse racks and transported on trucks in stacks. They enable higher storage density and inventory management compared to regular wooden pallets. Major e-commerce players are partnering with pallet rental companies and manufacturers to meet the surge in demand and replace damaged pallets quickly for seamless operations. Sustainable pallet options made from recycled plastic and plant-based materials are also emerging to address environmental concerns around wooden pallet disposal.
Porter’s Analysis
Threat of new entrants: The threat of new entrants is moderate as it requires large capital investments to set up manufacturing plants and establish distribution channels. Bargaining power of buyers: The bargaining power of buyers is high as pallets are a commodity product with no differentiation. Buyers can choose from multiple domestic and international vendors. Bargaining power of suppliers: The bargaining power of suppliers is moderate as raw material suppliers have established relationships with pallet manufacturers. Threat of new substitutes: The threat of new substitutes is low as there are limited alternatives to pallets for logistics and storage applications. Competitive rivalry: The competitive rivalry is high due to the presence of numerous small and large pallet manufacturers competing on parameters like quality, price and delivery.
Key Takeaways
The India pallets market Demand is expected to witness high growth over the forecast period owing to rising demand from end-use industries. The global India Pallets Market is estimated to be valued at US$ 1011.18 Bn in 2023 and is expected to exhibit a CAGR of 6.8% over the forecast period 2023 to 2030.
Regionally, Southern India dominates the market currently due to presence of major manufacturing hubs. However, Northern and Western regions are anticipated to witness fastest growth on account of expanding industrial and infrastructure development activities.
Key players operating in the India pallets market are UOP-A Honeywell Company, Wärtsilä Hamworthy, MPR Industries PLC, John Zink Company LLC, Zeeco Europe and Zeeco India, Gardener Denver, and Ro-Flo Compressors. These companies cater to end-use sectors such as chemicals and petrochemicals, food and beverage, healthcare, and others through an extensive distribution network across the country.
*Note:
1. Source: Coherent Market Insights, Public sources, Desk research
2. We have leveraged AI tools to mine information and compile it
