Strategic Sourcing for
Food and Beverage Supply Chains

The food and beverage industry runs on high-volume, high-speed supply chains. Millwood provides food pallets that are consistent, compliant and cost-effective. Through strategic sourcing for food and beverage, we consolidate vendors, optimize specs, and protect your supply chain nationwide.

Why Strategic Sourcing Matters in Food and Beverage

Food and beverage companies use more pallets than any other industry. From fresh produce to packaged beverages, safe and efficient shipping relies on strong food pallets that are compliant with hygiene and retailer requirements.

The industry depends on recycled and new 48×40 stringer pallets, A and 1A grade recycled pallets, combo pallets and, in recent years, block pallets. Retailers like Costco now require block designs, making them a critical growth area. Choosing the right mix of pallets for food industry applications prevents waste, mold issues and costly supply chain disruptions.

But procurement leaders often face fragmented suppliers and inconsistent specs across multiple plants. This drives up costs and risks. By applying strategic sourcing for food and beverage, Millwood consolidates vendors, unifies specifications and ensures every pallet is validated for quality and compliance. Our Packaging Science Lab tests performance, while sustainability programs provide recycling and repair solutions to align with ESG goals.

Are Your Food Pallets Creating Hidden Costs?
Many companies overspend on overbuilt pallets or risk supply chain failure with underbuilt ones. Millwood engineers right-fit pallets for food industry needs, delivering consistency, compliance and cost control.

A Few Ways We Work With the Food and Beverage Industry

Use Case 1: Scaling With High-Volume 48×40 Pallets

Food manufacturers rely on recycled and new 48×40 stringer pallets at scale. Millwood consolidates vendors and ensures consistent supply across plants, reducing cost and procurement complexity.

→ Learn more strategies in the Strategic Sourcing Report.

Use Case 2: Preparing for Retailer & Automation Demands

As retailers mandate block pallets and ASRS systems expand, Millwood engineers food pallets that meet evolving requirements. This prevents costly downtime and ensures retailer compliance.
→ Explore more in the Report.

Use Case 3: Adding Slip Sheets, Film, and Alternatives

Food and beverage companies use more than just pallets — slip sheets, stretch film and strapping improve safety and handling. Millwood integrates these with pallet configuration for food industry applications for efficiency.
→ See more examples in the Strategic Sourcing Report.

Strategic Sourcing Report for the Food and Beverage Industry

Download the Strategic Sourcing Report for Food and Beverage

5 Proven Ways to Strengthen Your Supply Chain:

  • Eliminate redundant vendor costs

  • Engineer right-fit pallets for heavy products

  • Scale solutions across multiple plants

  • Prevent costly product damage

  • Improve ESG results with recycling programs

See How We've Helped Others

When a leading restaurant brand discovered a packaging error just weeks before launching its new automated distribution center, we acted fast. Working alongside their engineering and operations teams, our Packaging Science Lab redesigned, tested and validated new pallet configurations to keep the project on schedule.

Through collaboration and verified design, we prevented product loss, protected their investment and ensured the launch happened on time.

  • Developed and tested three verified pallet designs under tight deadlines
  • Prevented loss of 136,000 boxes of product per rotation
  • Enabled an on-time launch with zero delays

FAQs About Building Materials Packaging and Supply Chain

Food and beverage operations rely primarily on 48×40 stringer pallets, though combo and block pallets are also used to meet specific retailer or automation requirements. The right pallet depends on balancing cost, compliance and performance.

Food and beverage supply chains move enormous volumes, so consistency in pallet size and quality is critical. The 48×40 stringer pallet — in both new and A/1A recycled versions — dominates the industry. Combo and block pallets are increasingly used when automation systems or large retailers require them. Millwood engineers pallet programs for food and beverage that standardize across facilities, reduce waste and ensure compliance with safety standards while avoiding unnecessary overspending.

Yes. Large retailers and automated systems are accelerating the adoption of block pallets, which are accessible on all four sides and provide stability in high-speed operations.

Costco and other major retailers require block pallets for inbound shipments, and automation in food and beverage warehousing favors block pallet designs. While the transition is not universal, it is growing. Millwood provides cost-effective whitewood alternatives, custom block pallet designs and vendor-managed programs that help food manufacturers and distributors comply without inflating costs. Engineering expertise ensures block pallets are optimized for each supply chain while maintaining efficiency and resilience.

Strategic sourcing streamlines vendor relationships, unifies pallet specifications and embeds recycling and recovery programs, delivering both cost savings and operational stability.

Food and beverage companies often operate across multiple facilities and geographies. Without strategic sourcing, pallet programs can become fragmented, driving up costs and compliance risks. Millwood consolidates suppliers, applies consistent pallet engineering and designs recycling programs that meet sustainability goals. This approach improves resilience against disruption, reduces administrative burden and ensures pallets are standardized for both retailer and automation requirements. The result is a stronger, more cost-effective pallet program that supports growth and reliability.

Slip sheets, stretch film and strapping stabilize unit loads in high-speed environments, working together with pallets to protect food and beverage products in transit.

Food and beverage shipments move through automated systems where stability is essential. Slip sheets reduce friction and make it easier to separate or stage loads. Stretch film and strapping secure cases tightly to pallets, minimizing damage and preventing contamination. Millwood integrates these packaging components into engineered pallet programs, ensuring they complement each other. By viewing pallets, packaging and unit load design as one system, Millwood provides comprehensive protection that supports efficiency, compliance and safety in food supply chains.

Mold prevention is essential for hygiene and regulatory compliance in food supply chains. Heat treatment, kiln-drying and alternative pallets help eliminate risk.

Mold can compromise both food safety and retailer acceptance, making prevention a top priority. Millwood offers multiple solutions, including heat-treated and kiln-dried lumber, mold-resistant coatings and alternatives like plastic or pressed-wood pallets for sensitive environments. These options ensure pallets stay clean and dry throughout storage and transit. By proactively addressing mold, Millwood helps food and beverage companies maintain compliance with strict industry standards, protect brand reputation, and keep shipments moving without costly delays or rejections.

Solution Providers to Help You Scale Smarter

Packaging Science Lab

ISTA-certified testing simulates real-world transit conditions, ensuring every pallet, crate and solution performs reliably.

Custom Design Capabilities

From engineered pallets to specialized crates, Millwood designs packaging solutions tailored to your products’ durability and transport needs.

Sustainability Initiatives

Repair-and-return programs, pallet recycling and circular solutions that cut costs while meeting ESG goals.

Let's See How We Can Work Together

Discover how strategic sourcing with Millwood can simplify your supply chain and deliver measurable results. 

Download The Strategic Sourcing Report