Pallet racking is a storage system that can be single or multi-leveled. This system is used for high-density stacking of single products or palletized quantities. Today we will discuss everything you need to know about the pallet racking cost. In this article, we will explain:
This article will be a complete guideline about pallet racking costs. This article will be especially beneficial for the following group of people:
- Business owners who have a warehouse.
- People who are in the management of a warehouse.
- People who want to know about the pallet racking industry.
How the Price of the Pallet racks is Determined?
The prices of pallet racks depend on many factors. Here we will discuss the three crucial factors on which the price is dependent. These 3 factors are as follows:
- Materials that pallet racks are made of.
- How many pallet racks you are buying at a time?
- Which country you are buying these pallet racks from?
How Material Decides the Prices of Pallet Racks
There are generally two types of metals that are used to construct pallet rack components. They are roll-formed steel or structural steel. Costs for structural steel are typically 5% to 10% higher compared to roll-formed steel.
Raw materials account for a sizable portion of pallet racking cost. So, if the cost of steel increases, the cost of pallet racks will also increase.
How Many Pallet racks You Are Buying At A Time?
While buying pallet racks, another important factor is how many pallet racks you are buying at a time. The price of a double deep pallet rack is $55 each. So, if a person is buying 20 pallet racks, the price of 20 pallet racks is, (20*55) = $1100.
The sellers generally give bulk quantity buyers a huge discount in pricing. So, if you are buying 150 pallet racks for your warehouse, obviously you can expect a huge discount.
If the seller gives you a discount of $3 per pallet, then the per pallet rack cost becomes $52.
So, here in this equation, you are saving $3 per pallet rack.
So, in 150 pallet racks, you are saving a total of (150*3) = $450.
Similarly, someone who is buying 500 pallet racks, can expect more discount on their price.
Which Country You Are Buying These Pallet Racks From?
Another important thing that determines pallet racking cost is where it is made. A pallet rack, made in China, will be cheaper compared to a pallet made in Europe or USA. The reason for this is as follows:
- China has a huge demand for pallet racks in their country and exports. So, they can manufacture a lot of pallet racks together. Manufacturing a lot of pallet racks together brings down the production cost of it significantly.
- The labor cost in China is much lower than the western nations.
- China also has cheaper power, capital investment, and transportation costs.
Businesses can make the best profit if they import pallet racks from China. This will help them to cut down the cost of business and enhance the profit margin.
Besides these 3 factors, other factors play a minor role in the cost of pallet racking. Likewise, if the oil cost increases, the shipment cost will also increase. This will increase the transportation cost of pallet racks and overall increase the pallet racking cost.
Different Types of Pallet Racks, their Advantages, Cost, and Usability
Making the appropriate pallet racking system selection can have a significant impact on your company. A pallet rack that is well designed can enable your organization in adapting to shifting inventory requirements.
Several types of pallet racks are created for a variety of application scenarios. Choosing the right kind of pallet rack for your organization might be challenging. Follow this section to find out different types of pallet racks, when to use them, and their prices.
The various types of pallet racks, their useability, and prices are as follows:
The most popular type of pallet racking is selective pallet racking. This system makes the optimum use of storage. It allows instant access to any load stored with any kind of forklift. Roll-formed steel or structural steel can be used to build this pallet rack system.
Some advantages of the selective pallet racking system are as follows:
- A selective pallet racking system is a low-cost choice per square foot.
- It is available in a variety of sizes and designs to ensure a perfect fit.
- This system does not necessitate the use of specialized forklifts. A regular counterbalanced forklift will be fine if you give enough aisle width. Moreover, forklifts can maneuver more easily in a wide aisle.
- With a smaller component profile, this System makes excellent use of vertical space.
- Racking heights are easily adjustable in this racking system.
The use of a selective pallet racking system is as follows:
- When you need complete access to pallets at any moment.
- When you have to select pallets from the lower level.
- When you need to store a small number of products in the warehouse.
- When the height of your warehouse is not too high.
- When there are only a few pallets allocated to each SKU.
Selective Pallet Racking Cost: The cost of selective pallet racks is $46-60 each.
This pallet storage system enables pallets to be gathered 2 to 6 deep on each side of an aisle. It provides more storage density compared to all other types of racking. Each level can be accessed independently in this method.
Some advantages of the push back racking system are as follows:
- This system’s ergonomics and elimination of aisles boost a warehouse’s efficiency and productivity.
- This method requires fewer aisles and forklifts.
- Push back racking system loads and unloads more quickly as the pallets appear in the aisle.
The use of the pushback racking system is as follows:
- When order pickup from pushback racking pallets is not necessary.
- When you have a greater number of pallets per SKU.
- When you want a fast operation in your warehouse.
- when you need more storage density.
Push back Pallet Racking Cost: Pushback Pallet Racking cost is $275-$279 each.
When compared to other forms of racking, the drive-in racking system utilizes significantly less aisle area. The use of significantly fewer aisle areas makes it an excellent choice for cooler applications. This system is often seen in the following industries:
There are generally two types of drive-in racking. They are as follows:
Single Entry Drive-In Racking: In this type of drive-in racking, only one side has forklift access.
Double Entry Drive-In Racking: In double entry drive-in racking, both sides of the racks have forklift access. This system was designed to give entry to pallets from both the back and front sides of the rack. A huge beam in the structure’s center connects all of the racks.
Some advantages of the drive-in racking system are as follows:
- This system is incredibly simple to move, modify, and upgrade as needed.
- Low maintenance and assembly costs are required for the drive-in racking system.
- A drive-in racking system maximizes the square footage in a warehouse.
The use of the drive-in racking system is as follows:
- When you are using temperature-controlled storage.
- When you don’t want to mix SKUs inside the same lane.
- When you want unlimited storage depth.
- If FILO(First In, Last Out) is not an issue.
- When high density stockpiling is necessary (but watch out for the honeycomb effect, which limits utilization).
Drive-In Racking System Cost: Drive-in Pallet Racking cost is $165-$180 for each pallet.
On each level, this system employs slightly sloped roller beds to facilitate the movement of unit loads. Here, the Pallets are loaded onto gravity roll rails and pulled by gravity from the entrance to the exit.
The gravity flow pallet storage system uses First-in and First-out method which is also known as FIFO. In the FIFO System, the loading area is located on the opposite side of the unloading area. And the space between them is used to transport the products.
Some advantages of the gravity flow pallet racking system are as follows:
- The automation of this system is possible.
- Swift and easy removal of goods. If the product is positioned perfectly in this system, it minimizes the load movement and extraction times.
- There are separate aisles for loading and unloading. Thus, the load units are inserted and removed by forklift trucks in different aisles.
- This system may be adjusted to fit any area.
- Because each loading lane has a specific product reference, stock control is improved.
The use of the gravity flow pallet racking system is as follows:
- When space saving and control of stock turnover are essential.
- When FIFO Operation is required.
- When the stock is moving pretty quickly.
- When you want to automate the racking system.
- When you have many pallets for each SKU.
Gravity Flow Pallet Racking System Cost: The gravity flow pallet racking system cost $400- $420 for each pallet.
Forklifts are used to mechanically store unit loads in double deep racking systems. These forklifts travel down the parallel aisles that run alongside the racking systems. In this system, all of the stored pallets are not directly accessible to the operator.
Pallets are kept in this method at two different depths, increasing storage density. Getting to the pallets is still accessible and quick in a double-deep racking system. Double deep pallet racking needs to be used with forklifts that are specially designed for this kind of system.
This is a Last in, First Out also known as LIFO System. In this system, the pallet that was last placed on the rack is also the first pallet to leave.
Some advantages of the double deep pallet racking system are as follows:
- Simple assembly and control of load level.
- This system eliminates extra aisles.
- Replacement of goods is very fast.
The use of the double deep pallet racking system is as follows:
- When warehouses have more than a pallet per specific storage unit for merchandise.
- When storage facilities for goods with a medium- to long-term shelf life. As this is a ‘’LIFO’’ system, it is advised not to use this system where there are perishable goods.
- When you have more pallets per SKU.
Double Deep Pallet Racking System Cost: Double deep pallet racking system cost $55- $65 for each pallet.
Mobile Pallet Racking System
This system’s distinctive features and versatile design make it simpler to install and run than you may have imagined. It is frequently used in cold stores.
A computer or remote control is used to run the mobile racking system. In this system, only one aisle opens at a time. By using a forklift or hand picking, any product is easily accessible in mobile racking.
Some advantages of the Mobile Racking system are as follows:
- This method makes it possible to store a variety of products at high density.
- The mobile racking system is adaptable and reconfigurable. It gives storage facilities the ability to handle changing SKUs and adjust to changing demand.
- This system increases operational capacity and efficiency.
- This method frees up to 50% of the floor space. As a result, workers and machinery can move freely and the maximum utilization of floor space is ensured.
The use of the mobile racking system is as follows:
- When it is a cold store.
- When the pallet movement is limited.
- The mobile racking system is the most expensive. If there is a large amount of space available, then this system will be beneficial for the user.
Mobile Racking System Cost: Mobile racking system cost $700-$800 for each pallet.
By the adaptation of this system, it is possible to improve the warehouse’s capacity without increasing the area. The system’s compaction is mostly caused by shortening the work aisles.
The work aisles can be shortened in width by as much as 1.5 meters. Shortening the aisles can save the space of the warehouse up to 40%. This method requires certain specialized handling equipment for warehouse operations such as:
- VNA trucks.
- Rotatable forks to make operations simpler.
- In addition, a floor guiding system may be created to confirm that the right path is followed.
Some advantages of the narrow aisle racking system are as follows:
- All unit loads remain directly accessible through this method.
- This method makes considerably better use of vertical space.
- In this system, the storage area corresponds to a particular unit load. So, This system offers effective control of the references that are stored.
- It can accommodate any type of product, whether by volume or weight.
The use of the narrow aisle racking system is as follows:
- When warehouses require immediate and direct availability to the unit load.
- When there are a significant number of products traveling in and out.
- When you need to increase storage density in the warehouse.
- When the warehouse wants to make better use of the vertical space.
Narrow Aisle Racking System Cost: The cost of a Narrow aisle racking system is $50-$60 for each pallet.
In the radio shuttle pallet racking system, the Pallets are moved through the racking using a remote control. The forklift trucks are used to load and unload the shuttles from the racks in this method. A lane may hold 10 to 40 pallets in a shuttle racking system.
Some advantages of the radio shuttle pallet racking system are as follows:
- In this system, a lot of things can be kept in a small amount of space.
- Utilization of space is 90% to 95% in this system.
- This system can operate in both FILO(First in, Last Out) and FIFO(First in, First out) modes.
- Automation of this system lowers labor costs and increases efficiency.
The use of the radio shuttle pallet racking system is as follows:
- When there is only one SKU per lane.
- When you want to reduce the labor cost of your warehouse.
- When each SKU has a lot of goods moving through it.
- When you want to automate the racking system.
Radio Shuttle Pallet Racking System Cost: Radio Shuttle Pallet racking system cost $185-$250 for each pallet.
Automated Storage and Retrieval System is also known as the ‘’ASRS” system. This system consists of several computer-controlled devices. These devices automatically insert and remove loads from preset storage areas.
After the mobile racking system, this system is the second most expensive racking system. So, it is better not to use this system when you have a tight budget.
Some advantages of The Automated Storage and Retrieval System are as follows:
- This system works very accurately, precisely, and quickly.
- This method Increases accuracy by more than 90%.
- Improves ergonomics by providing things to the worker at a suitable height.
- It is an automated system. Management of this system is easier compared to manual racking systems.
The use of the Automated Storage and Retrieval System is as follows:
- When your space in the warehouse is very limited.
- When you have a good budget for the racking system.
- When the system is being used to move a lot of things in and out.
- When there is a labor shortage in the warehouse.
- When you want to increase efficiency and productivity to a maximum level.
Automated Storage and Retrieval System Cost: Automated Storage and Retrieval System cost $350-$400 for each pallet.
How Can You Buy Cheap Pallet Racks For The Warehouse?
Warehouse managers are tasked with increasing efficiency and reducing expenses. Buying expensive pallet racks increases the overall cost of the business. So, to reduce business expenses, it is important to buy cheap pallet racks.
Besides cutting down the cost of the business, the efficiency of the racks you buy is also essential. Here we will discuss some techniques that you can use to buy cheap pallet racks for your warehouse:
1. Buying from China
Buying pallet racks from China is a smart and wise decision. The reason for this is the pallet racks cost in China is comparatively much lower. Also, the quality of pallet racks manufactured in China is very good.
You can consider companies like Mracking, Novaracking, Jracking, Kingmore, etc to buy pallet racks from. These companies have more than a decade of experience in the pallet racking industry.
2. Buying Used Pallet Racks
Buying used pallet racks is also a great strategy to buy cheap pallet racks. However, not all the time used pallet racks are available. Also, many times the condition of the used pallet racks is not good at all.
While buying used pallet racks can save you a lot of money, this strategy also involves risks. Our advice to you will be only to buy cheap pallet racks if you can ensure it is in good condition.
Because if you buy cheap pallet racks in bad condition, it will ultimately be a waste of your money.
3. Buying from Sale
In the sale, companies sell their products at a discounted price. Different companies offer sales at various times of the year. Buying pallet racks from the sale can save a lot of money of yours. However, sales are not available at all times of the year.
For instance, if you need pallet racks today, the sale may start a month later. So, you may not immediately get the pallet racks if you are considering buying from the sales.
Another thing about sales is that not all companies offer a sale. So, buying pallet racks from sales limits your choice of companies.
Overall, for cheap pallet racks, buying from China is the best option among the 3 options.
This is everything you need to know about the pallet racking cost. The pallet racking system is an excellent system that increases productivity and makes excellent use of the space. Let us know if you have any questions related to the pallet racking cost.