Bulletin 003 · recycling

Plastic pallet recycling companies: what to ask before a load ships

Last reviewed Nov 12, 20266 stages
The short answer

A plastic pallet recycling company sorts your pallets, finds a processor that grinds them, and sends the regrind to a moulder. Ask what it does with the load, who owns the pallets, and what it needs to see before it says yes.

The good ones answer in terms of resin, colour and condition. The weak ones answer in slogans.

Got a load like this?

Five questions and a photo. We say what we think happens next once the pallets have been seen.

The loadBrokenregrindSoundreuseMixedblendPoolowner
Four bins. A load goes to the one that fits first and moves if the pallets say otherwise.

Ask what happens after the truck leaves

The first question is where the load ends up. A real answer names a step: sorted by resin, ground into regrind, moulded again. A vague answer says the pallets are “diverted” and stops.

Greystone Logistics is a useful comparison. It makes recycled-plastic pallets and takes part of its feedstock from damaged pallets through a buy-back programme. It is a manufacturer with its own supply, not a service for any company’s pile, which is the gap a recycler fills.

Ask how loads are sorted

Resin first, then colour, then condition. A company that cannot say how it separates HDPE from PP has not thought about the regrind. The Association of Plastic Recyclers publishes Model Bale Specifications for bale quality, and a recycler who knows them will talk about bale grade.

Ask about ownership

Any company that handles plastic pallets will meet pool-marked ones. A careful one checks for CHEP, iGPS and other marks before it takes a load, and will say what it does when an owner turns up. CHEP USA has sued California recyclers over marked pallets they would not return, so the question is not theoretical.

Ask what it needs to see

A serious recycler asks for photos. A load description with count, size, resin, condition and ZIP is the minimum. If a company will quote a price with none of that, it is guessing.

We ask for the same things, and we do not promise acceptance until the pallets have been looked at.

Companies that grind, companies that mould, companies that route

A processor shreds and grinds. A moulder melts regrind into new parts. A router, like us, describes loads and finds which of the two suits them. A company that claims to do all three deserves a question about who holds the pallets in between.

Red flags in a quote

A price before anyone has seen the pallets. No questions about marks. A promise to take any amount, any condition. Pallets are not a uniform commodity, and a good answer starts with questions about resin, colour and owner.

What a good answer sounds like

QuestionA good answerA weak answer
Where does it go?Sorted, ground to regrind, moulded againDiverted from landfill
How is it sorted?By resin, then colour, then conditionSorted on site
Who owns the pallets?Checked for marks and RFID firstNot our concern
What do you need?Count, size, photos, ZIPNothing, send it

What the sources say

  • nelsoncompany.comNelson Company defines dynamic capacity as the load a pallet carries in motion, always below static; static as the load at rest and the bottom pallet's limit in a stack; racking as the load across an open rack span, often the lowest and given only for pallets designed for it.
  • eponline.comIn December 2011 a Los Angeles County Sheriff task force recovered over $250,000 of illegally obtained plastic pallets, including iGPS pallets, from a plastic recycler.
  • palletenterprise.comCalifornia AB 1760 (2022) lets recyclers take possession of stray proprietary pallets if the owner cannot be identified or fails to retrieve them in time, with a 35-day period before they can be declared abandoned.
  • en.wikipedia.orgPlastic pallets can deform (creep) under heavy long-term loads and are hard to repair.
  • nelsoncompany.comThat Nelson model lists about 60 pallets per stack and 1,800 per truck.
  • nelsoncompany.comHDPE is the most common resin in plastic pallets; PP is more rigid and the page recommends it for unsupported racking.
  • nelsoncompany.comFor products touching the pallet directly, stricter federal requirements may call for non-blended virgin HDPE; recycled pallets often meet general FDA needs.
  • nelsoncompany.comPallet capacities are issued by the manufacturer from calculation and lab or field tests, and assume an evenly distributed load.
  • iccsafe.orgAn ICC article says unlisted plastic pallets may require raising the commodity hazard class by two classes, and gives an example needing about 55 percent more sprinkler water.
  • cabka.comCabka says plastic export pallets are exempt from ISPM-15 treatment, that there is no single export size, and that its nestable export designs include extra-lightweight and air-freight versions.
  • palletenterprise.comCHEP USA sued two California recyclers over CHEP-marked pallets they would not return; a Los Angeles court granted CHEP's motion to retrieve pallets in one case (article dated February 1, 2024).
  • en.wikipedia.orgPlastic pallets weigh about 3 to 15 lb when light and up to 300 lb when heavy; a typical GMA wood pallet weighs about 37 lb.
  • resource-recycling.comIn April 2017, HDPE HMW regrind from drums and IBCs was 24 to 27 cents per pound picked up in the US South (historical, not current).
  • rehrigpacific.comRehrig Pacific's heavy-duty nestable can be made with post-consumer or post-industrial recycled material, up to 30 percent in black and up to 10 percent in colour, and is RFID compatible.

Terms on this page

Regrind
Plastic ground from used or scrap parts into flakes for moulding again.
Moulder
A manufacturer that melts regrind or pellets and forms them into parts, such as pallets.
HDPE
High-density polyethylene, resin code 2. The most common resin in plastic pallets; tough and moisture resistant.
PP
Polypropylene. More rigid than HDPE and better with heat and harsh chemicals; used where rack stiffness matters.
Bale
A compressed block of scrap, tied for shipping. Buyers grade bales by resin, colour and cleanliness.
Ownership check
Our first step with any pallet that carries a name, logo, tag or colour that suggests another owner.
Pooled pallet
A pallet owned by a rental pool and lent to users, who are expected to return it, not scrap it.
Pooling
Renting pallets from a company that owns, tracks and collects them instead of buying.
Shredder
A slow, heavy machine that tears whole pallets into large pieces before they reach the granulator.
Reuse cycle
One trip out with a load and back again. Some pallets are rated for a number of them.
RFID tag
A small radio tag moulded or fixed into a pallet so that its owner can track it.
RFID
Radio tag moulded or fixed into a pallet so it can be tracked.

Questions people ask

Is a plastic pallet recycler the same as a pallet company?

Not quite. A pallet company sells pallets. A recycler takes the ones that have finished their trips and finds the next use for the material.

Do recyclers pay for pallets?

That depends on the load and is not something we can state without seeing it. Do not trust anyone who names a number before the pallets are described.

Can I send a mixed load?

Yes, and say so. A mixed load is sorted into bins first. It just needs to be described honestly.

How do I choose between companies?

Ask each the same four questions: what happens after the truck leaves, how loads are sorted, what is done about marked pallets and what they need to see. Compare the answers.

Do you list the companies you work with?

No. We name kinds of company, not particular ones.

Sources, reviewed Nov 12, 2026: Resource Recycling, Greystone Logistics; Association of Plastic Recyclers; Pallet Enterprise, CHEP and California recyclers.

Cracked, retired or mixed?

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