IFCO SYSTEMS operates an RPC-Management-Services business in Europe and the United States and a Pallet-Management-Services business in North America.
RPC-Management-Services
In our core markets, Europe and the United States, some 390 million tons of fruit and vegetables are produced annually. These products must make their way quickly and without damage from producers to consumers – and often across country borders. In many instances, the period between harvest and consumption is no more than a few days.
Consequently, retailers and producers are calling for flexible, effective, cost efficient and state-of-the-art product distribution solutions. This puts stringent demands on transport containers and their utilization from producers through retailers to consumers.
IFCO SYSTEMS’ container and service systems are well equipped to meet these demands.
IFCO SYSTEMS’ core competence is the efficient management of a worldwide rental pool of over 102 million RPCs used to transport fruit and vegetables. Offering a total of 21 different sizes globally, our RPCs in Europe and the United States address the packaging and transportation requirements of various types of fruit and vegetables in the goods and produce cycle.
Pallet-Management-Services business
IFCO SYSTEMS is North America’s leading Pallet-Management-Services company, specializing in the procurement, reconditioning and distribution of wood pallets to and from the manufacturing and retail sectors. Pallets are used in virtually all industries that transport products. Every year, approximately 2.1 billion wooden pallets are in circulation in the United States. In 2009, the US pallet market volume was approximately US $6.8 billion, which should continue to develop with overall industrial development in the future.
Dominant number one in the United States
The US pallet market consists of the sales of new pallets, the leasing of pallets or “pooling”, and the reconditioning and distribution of used pallets or “recycling”. IFCO SYSTEMS focuses on pallet reconditioning and the surrounding supply chain logistics services – including pallet procurement, repair, shipping, tracking, sorting and retrieval solutions – to provide total, 360-degree Pallet-Management-Services. With the market share of new pallets in decline, the Pallet-Management-Services business is advancing significantly. Today, more than 40% of all US pallet sales are of reconditioned pallets – creating a market of approximately US $2.66 billion.
The US pallet service market is heavily fragmented with approximately 2,600 predominantly local providers. Our North American headquarters in Houston, Texas operates as the principal back office for this business segment. As the singular national presence, IFCO SYSTEMS is the market leader by a wide margin with in excess of approximately 13% national market share. By comparison, the second largest provider accounts for less than 1% of the national market.
IFCO SYSTEMS Pallets
As in our RPC business, our Pallet-Management-Services operations combine high-value products with innovative and individual solutions for our customers. Our core business consists of acquiring used pallets, reconditioning the pallets to stringent standards and returning them to the supply chain. Pallets that cannot be repaired to our standards are dismantled into individual parts for use in other pallets or converted into useable landscape or fuel type products, thereby completing the most ecologically responsible wood product cycle.
IFCO SYSTEMS offers a broad selection of pallets in different sizes – at a far lower price than new pallets. Our comprehensive evaluation process allows us to offer customized and cost efficient solutions to meet our customers’ individual needs. With a transportation fleet of over 5,000 units and a nationwide service center network, we are also able to guarantee the on-time availability of the required pallets.
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