Ikea picks plastics pallets

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LEIDEN, NETHERLANDS (Feb. 16, 2 p.m. ET) — Global household goods retailer Ikea is phasing out the use of wooden pallets in favor of plastic alternatives.

The Leiden-based company, which has chosen a polypropylene unit from its wholly-owned subsidiary OptiLedge, made the decision based on what it describes as “the overwhelming advantages associated with plastic pallets.”

“Ikea’s recent statements regarding the planned elimination of wooden pallets from its supply chain is a huge endorsement for the OptiLedge concept,” said Jonathan North, general manager of the business unit responsible for the OptiLedge at Inter Ikea Systems.

“This dramatic move by Ikea sends a strong message to other supply chain stakeholders that there are real cost effective alternatives to traditional wooden pallets. Even asset conservative, but labour intensive floor loading practices can benefit from the OptiLedge.”