A characterization of the Texas pallet industry

A combination mail and facsimile survey was used to survey all pallet manufacturers in the state of Texas. The resulting characterization illustrates the size and raw material consumption of this important segment of the wood products industry. Results indicate that in 1995 the 84 Texas pallet producers employed 1,730 production employees with a payroll of more than $20 million. Respondents averaged just under 21 production employees and paid an average hourly wage of $6.05. The wood raw materials consumed by respondents were evenly split between hardwoods and softwoods, with an estimated total industry consumption of 589 million board feet of lumber and cants. Pine was used most predominantly, with oak being the next most heavily used. Pine was predicted to see the largest percent increase in use for 1996. Survey respondents reported production of nearly 23 million pallets in 1995, with an estimated industry output totaling almost 32 million pallets. This production resulted in approximately $230 million in sales for the industry. The availability and cost of wood raw materials were noted as two primary issues facing the industry over the next 5 years.