Shipping in Corrugated Containers Saves 10.4%
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According to a recent report by the Corrugated Packaging Alliance, Elk Grove Village, Ill., USA, a new study quantifies sizeable added costs for shipping onions from grower to retailer in reusable plastic containers (RPCs) vs. corrugated containers. Actual data provided by a large onion grower confirmed that using RPCs instead of corrugated containers increased their annual shipping costs by 10.4% system-wide.
"Corrugated, the proven and preferred single-use transport packaging material, remains the most economical and best choice for shipping onions, as well as other products," said Dennis Colley, executive director of the Corrugated Packaging Alliance. "That advantage is realized by every stakeholder in the supply chain."
Grower-shippers shoulder a hefty cost increase; shelling out 15.4% ($0.17/case) more to ship the same amount of onions in RPCs vs. corrugated. Retailers are not exempt – they spend 9.9% ($0.61/case) more to receive those onions in RPCs than in corrugated containers. These costs are often passed on to the consumer, according to the research.
Choosing corrugated containers enables both retailers and grower-shippers to save money due to optimized freight loads, reduced damage from collapsed pallets and loads, and the avoided cost of washing, sanitizing, and drying containers.
More information is available online.
