The pallet truck market is often seen as niche. Yet they're used in more settings than people often imagine. Useful for every business – whether large or small – they add value and help businesses go from strength to strength.
Particularly important in the digital age where orders are turned around quickly, pallet trucks have become imperative for businesses all over the world to keep up with demand and stay ahead of competitors.
Midland Pallet Trucks, UK provider of pallet trucks and other warehousing equipment to a range of sectors, has welcomed the news that the global pallet market is set to grow at a Compound Annual Growth Rate of 4.90% between 2016 and 2020.
Phil Chesworth, Managing Director at Midland Pallet Trucks, said, "Pallet trucks, although often seen as an addition to a business, are actually imperative to its success. One of the main driving forces behind constant streams of orders, new products and efficient shipping, robust pallet trucks give businesses the edge in this ever-competitive market."
The report, undertaken by ReportsnReports, has stated the reason for this incredible growth is due to the increase in manufacturing output. The revival of the manufacturing sector and projected economic expansion worldwide will boost demand in the materials transport segment over the coming years.
Phil, added, "It's extremely promising that the manufacturing industry is predicted to grow. The country needs a boost after all the doom and gloom of late. Therefore businesses should take this on board and look to a prosperous future."
The global pallet market analyst also highlighted another reason for the predicted market growth; vertical integration by companies. There's high demand for lumber used for manufacturing pallets in the construction and furniture industries, yet sawmills are unable to meet the growing demand. This results in a shortage of lumber in the market, and as a result, pallet manufacturers find it difficult to complete their orders. This has caused the supply of raw materials to pallet manufacturers to be significantly affected. Some pallet manufacturers are vertically integrating and investing in logging and sawmills, which enables them to offer high-quality pallets at affordable prices.