A recycled and recyclable pallet with a repairable design by Australian manufacturer Venlo Investments has the potential to revolutionise the $115 billion global industry, its managing director Ty Hermans says.
Venlo received $450,000 in the latest funding round of Advanced Manufacturing Growth Centre’s (AMGC) Commercialisation Fund.
Hermans said, “Pallet shortages are an ongoing issue affecting global supply chain operations and contribute to delivery delays of fresh food, beverages and general merchandise to retailers – with no immediate end in sight.
“We believe our unique design and system will revolutionise the $115 billion global pallet industry for the better and continue our commitment to a circular economy.”
A global hardwood shortage has been blamed for the lack of wooden pallets, but Hermans said a bigger issue is the short lifespan of both timber and plastic pallets.
“Around 25 per cent is removed annually from operation to end up in landfill due to poor design, contamination and the inability to cost-effectively repair any damage,” he says. Venlo’s Technology Enhanced Circular (TEC) Pallet project aims to address the timber pallet issue at its source by creating the world’s most circular (recyclable and reusable) pallet using recycled and recyclable materials, a repairable design, and implementing a highly scalable solution to meet global demand.
“TEC Pallets can be rapidly repaired and back in circulation within minutes, completely removing the need for breaking down, recycling, repurposing and remanufacturing,” Hermans explains.
The pallets have already gained international attention, with the company working with retail industry contacts in North America and Europe.
Venlo North America CEO Chris Macauley said, “With little change in the global pallet industry over the past decades and a lack of manufacturing capacity to meet global demand, we knew Venlo could apply its advanced manufacturing expertise to a major worldwide problem and bring a revolutionary product to market at an unprecedented scale.”
The TEC Pallet solution is manufactured within an entirely circular closed-loop automated repair and remanufacturing system that will help divert a portion of the estimated $3.1 billion in domestic economic waste from landfill annually, the company said.
AMGC managing director Dr Jens Goennemann said Venlo was an example of a manufacturer doing things better, not cheaper.
“By leveraging all aspects of manufacturing, from design and engineering through to sales, service and support, Venlo’s new TEC Pallet will not only solve a growing logistics challenge but will do so in a manner that is friendlier to the environment and a company’s bottom line,” Goennemann said.
Each TEC Pallet incorporates advanced data-tracking technology and can add additional customer-specific data and environmental tracking in real-time, such as temperature, humidity, vibration, impact and weight.
The technology will allow organisations to predict pallet repair and servicing requirements, and allow continual improvement of supply chain efficiency and security, Hermans said.
Venlo’s product design and advanced manufacturing division, Evolve Group, will initially produce the TEC Pallets at a new dedicated facility in Brisbane, recruiting a large number of specialised staff across a range of professions.
“Venlo’s mission is to create real and meaningful impact and drive circular outcomes through the adoption of innovative design and advanced manufacturing technologies,” Hermans said.
“The TEC Pallet project achieves all of our objectives, delivering a true triple-bottom-line outcome through advanced manufacturing employment and education pathways and the provision of a closed-loop solution to reduce environmental impacts that are optimised for increased profit.”
