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Author Topic: Pallet Stock  (Read 1303 times)

Offline ILS Steve

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Pallet Stock
« on: October 30, 2018, 04:03:32 PM »
Hello All.

Glad to be part of the forum and read all the interesting discussions. 
As a wholesaler it is interesting to see/hear things from the other side of the supply and demand chain.

I am looking for someone that can cut a skid deck board to 9/16 x 3.5 x 91" in truckload quantities.
Species is not crucial for my buyer. 

ANY feedback would be great!

Steve 

Online Kirk Allen

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Re: Pallet Stock
« Reply #1 on: October 30, 2018, 04:32:33 PM »
Glad you jumped in Steve. 

As far as my operation, I could cut those dimensions if logs or cants are provided at $.45 a bf.  Otherwise, the price goes up significantly since I can't get logs at a decent price as a small operation.
Integrity is doing the right thing when no one is watching!

Offline mountainlake

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Re: Pallet Stock
« Reply #2 on: October 31, 2018, 06:15:25 AM »


  How much does a  9/16 x 3.5 x 91" board pay?  I can cut almost anything but sure don't want to work for peanuts.   Steve

Offline furu

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Re: Pallet Stock
« Reply #3 on: October 31, 2018, 11:05:04 AM »
ILS Steve
Where are you located? 

If the west coast folks saw these out for you and had to ship to the east coast it is not economical. 
Vice versa if the east coast folks saw these out and ship to the for the west coast the same thing. 

Not hard to saw the stuff and lots of folks can do it. 

Logistics and economics are the issue. 

As mountainlake (Steve) queried very well what are you paying for these and as Kirk queried are you supplying the logs/cants.

Oh yes. Welcome to the forum.
Integrity is not just doing the right thing.
Integrity is not just doing the right thing when no one is looking.
Integrity is doing the right thing when no one else will ever even know.

Online Kirk Allen

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Re: Pallet Stock
« Reply #4 on: October 31, 2018, 11:45:16 AM »
He is in Montana but brokers the work from all over.
Integrity is doing the right thing when no one is watching!

Offline joasis

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Re: Pallet Stock
« Reply #5 on: October 31, 2018, 01:18:40 PM »
Lots of red oak pallet lumber comes from Missouri. And it must be cheap.
Ladwig Construction
Hennessey, Oklahoma
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If anyone has any issues, I can be reached at the number above, anytime.

Offline mountainlake

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Re: Pallet Stock
« Reply #6 on: November 01, 2018, 04:18:06 AM »
 

  I'm in MN, I get calls for pallet cants once in a while and they pay less than I pay for logs so its not going to work here.  Steve
 

Offline bandmiller2

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Re: Pallet Stock
« Reply #7 on: November 01, 2018, 06:55:20 AM »
Sad but true the pallet industry is notorious for paying low prices for stock. I had a business at the other end of my street that rebuilt  pallets. The guy was always crying he couldn't get the hardwood dimensions he needed. I was interested as I could deliver on a farm wagon and turn a few bucks, sure, when he told me what he pays I wouldn't waste my time. My logs were worth far more as fire wood. If you were cutting ties and had low grade side boards with no market it may be worth it. Frank C.

Offline ILS Steve

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Re: Pallet Stock
« Reply #8 on: November 01, 2018, 11:05:09 AM »
Thanks for the warm welcome and comment.
I am based in Montana.. My buyer is in Chicago.  I need to be able to deliver 9/16 x 3.5 x 91" boards for around .90/pc to Chicago to be competitive with current suppliers.
What I can pay at the mill will depend on proximity.

Online Kirk Allen

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Re: Pallet Stock
« Reply #9 on: November 01, 2018, 02:25:37 PM »
Like I said, if cants are provided I can do this for $.45 bf out of Kansas, Illinois!
Integrity is doing the right thing when no one is watching!

Offline ILS Steve

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Re: Pallet Stock
« Reply #10 on: November 01, 2018, 04:40:34 PM »
thanks Kirk.. I am working on the cants

Offline bandmiller2

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Re: Pallet Stock
« Reply #11 on: November 01, 2018, 06:51:34 PM »
ILS Steve welcome, sorry if I sound negative, hope you will hang out here for a wile. On this forum we say what's on our minds. Frank C.

Offline Banjo picker

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Re: Pallet Stock
« Reply #12 on: November 01, 2018, 09:08:22 PM »
There is a pretty good sized pallet operation about 5 miles from me and when I was cutting ties, I would sell them a load of small cants that came of the side of the ties to keep things from piling up on me, but there wasn't too much meat left on the bone for me.  They always seem to have plenty of wood, I couldn't figure it out.  Banjo

Offline ILS Steve

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Re: Pallet Stock
« Reply #13 on: November 02, 2018, 10:36:53 AM »
Bandmiller2 ---Thick skin here guys.. don't hold back on the truth.  I would rather not do business than have the other guy feel like the business we did was unfair.

The pallet industry is definitely a BOTTOM FEEDER !  It is hard to charge people big money for a product that they normally use once and throw away...

My success in items like this has come from cutting downfall items into the dimensions my customers need.  There have been times that it took months to accumulate enough finished product to fill a flatbed, but getting paid for something that might have been trash sometimes works.


Offline Stevem

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Re: Pallet Stock
« Reply #14 on: November 02, 2018, 12:33:04 PM »
Just in case I'm the only stupid one here a "skid board" is what is used to make pallets that don't have bottom boards, just tops. Correct me if I'm wrong. 
9/16" seems damn thin but what do I know or do I really care!

Hate to be negative but I don't think the math works!   ~2 bdf per board, 46 cents delivered or 23 cents per board foot.  Did I miss something?




 
Stevem
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Offline furu

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Re: Pallet Stock
« Reply #15 on: November 02, 2018, 01:29:20 PM »
Just in case I'm the only stupid one here a "skid board" is what is used to make pallets that don't have bottom boards, just tops. Correct me if I'm wrong. 
9/16" seems damn thin but what do I know or do I really care!

Hate to be negative but I don't think the math works!   ~2 bdf per board, 46 cents delivered or 23 cents per board foot.  Did I miss something?

If you did then I did as well.  The only thing I can grab onto is Steve's comment"


My success in items like this has come from cutting downfall items into the dimensions my customers need.  There have been times that it took months to accumulate enough finished product to fill a flatbed, but getting paid for something that might have been trash sometimes works.

If we were take nice logs and saw them for pallet lumber you are not only going to not make anything, but you are actually going to be giving away your time and materials.
However his comment above can be interpreted that you take your leftover stuff that normally goes through the chipper and slowly recycle it into a stack that might eventually make a truck load.  Problem is it still takes some time but it is not primary time and materials and you would have to be sawing hundreds of thousands of board feet a month to eventually make up a load of leftover junk that  fits the requirement that you would have thrown away anyway.
Integrity is not just doing the right thing.
Integrity is not just doing the right thing when no one is looking.
Integrity is doing the right thing when no one else will ever even know.

Offline red oaks lumber

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Re: Pallet Stock
« Reply #16 on: November 02, 2018, 07:44:52 PM »
actually you guys are doing the math incorrect. there is 1.25 bf per board or $.72 /bf. my log costs are $.27 and my sawing costs are$.30 so, the way i see this it's a profitable product. just my opinion
follow your heart, the rest will happen

Offline mountainlake

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Re: Pallet Stock
« Reply #17 on: November 03, 2018, 05:13:18 AM »
.
  Red Oaks    Your math is right but there's  still delivery cost .   Steve

Offline red oaks lumber

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Re: Pallet Stock
« Reply #18 on: November 03, 2018, 07:58:00 AM »
steve your right... trucking should be around 7-10 cents / bf.
follow your heart, the rest will happen

Offline ILS Steve

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Re: Pallet Stock
« Reply #19 on: November 06, 2018, 10:29:59 AM »
Furu, Redoaks, SteveM, Mountainlake
All excellent comments  and questions !
Skid boards, pallet boards, deck boards are all about the same thing.. these are a big pallet/skid top board.

We arrange all of our own freight/shipping and have flatbeds in just about every area, so if you are willing to look at production cost, I can do the rest as far as what my delivered cost would be.

Remember that any species of wood will work for this customer and there is some flexibility in the thickness, so if there is a cut that works better for you let me know.. I will confirm with my buyer.

If anyone wants to take a run at this, let me know where you are located, I can figure freight cost from your location, then back into what I can pay you per board ..

Either way, I appreciate any and all feedback !

Steve 



 

Offline starmac

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Re: Pallet Stock
« Reply #20 on: February 10, 2019, 03:44:29 PM »
I could probably get suitable spruce logs for this, just for the loading and hauling, and trucks run out of here back that direction basically for fuel cost a lot of the time, but it freight still would be too high. lol