How Can a Pallet Company Get Government Contracts?

By Dr. Shirley Ayangbah, Founder and Lead Strategist, Global Economic Research Consulting (GERC)

Yes, pallet companies win government contracts, and many of them are small businesses. Federal agencies such as the Defense Logistics Agency (DLA), the Army, the Department of Veterans Affairs and the U.S. Coast Guard buy wood pallets, skids and crates every year, and state and local agencies buy them too. Federal awards coded to wood container and pallet manufacturing add up to tens of millions of dollars a year, and many are set aside for small businesses.

This guide explains how a pallet company, whether a pallet manufacturer, pallet recycler or crate maker, can get registered, find bids and win government contracts anywhere in the United States.

Step 1: Know your codes

• NAICS 321920, Wood Container and Pallet Manufacturing. This is the main code for wood pallets, skids, boxes and crates. Its SBA small business size standard is 500 employees. Check the current SBA size standards table to confirm, and add other codes if you also make plastic or metal pallets or resell pallets.
• Product Service Code (PSC) 3990, Miscellaneous Materials Handling Equipment, which DLA uses for skids and pallets.
• PSC 8115, Boxes, Cartons and Crates, for crate and box work.

Step 2: Register your pallet company in SAM.gov

Every federal contractor needs an active SAM.gov registration, which gives you a Unique Entity ID (UEI) and a CAGE code. List NAICS 321920 and your other codes, confirm you qualify as a small business, and renew every year. See our guide to SAM.gov renewal.

Step 3: Register in DIBBS to bid on DLA pallet contracts

The Defense Logistics Agency buys pallets and crates through DIBBS, the DLA Internet Bid Board System. After SAM.gov, register in DIBBS and set up email alerts for the supply classes you make, such as 3990 and 8115. Many DLA requests for quote are small, fast purchases, which suits small pallet plants. However, some solicitations involve export-controlled technical data and require a Joint Certification Program (DD Form 2345) registration, so check each one.

Step 4: Get ISPM 15 certified

Wood pallets and crates used in international shipments, including many military shipments overseas, must meet ISPM 15. In the United States, producers enroll with an inspection agency accredited by the American Lumber Standard Committee (ALSC), heat treat the wood (56°C at the core for at least 30 minutes) or fumigate it, and stamp each unit with the official mark. As a result, ISPM 15 certification opens more government and export work.

Step 5: Read the packaging specifications

Government solicitations spell out the exact pallet: size, lumber grade, fasteners, load rating and marking. Military buys may cite a drawing or a packaging standard such as MIL-STD-2073-1. For this reason, price your bid only after you read every requirement, because a pallet that does not meet the specification can be rejected.

Step 6: Use small business advantages

• Small business set-asides: many pallet and crate buys are reserved for small businesses.
• Micro-purchases and simplified buys: purchases up to $15,000 can be made quickly with a government purchase card, and buys up to $350,000 use simplified procedures that favor small firms.
• HUBZone certification: many pallet plants are in rural or industrial areas that qualify as HUBZones, which can bring set-asides and a price evaluation preference.
• Other certifications: WOSB, 8(a) and SDVOSB certification can open more set-aside contracts if you qualify.

Step 7: Sell to state and local buyers

State agencies, counties, cities, ports and school districts also buy pallets, often through their own vendor portals. GERC handles vendor registration in all 50 states; see our state guides for each state’s portal and certifications.

Step 8: Subcontract with prime contractors

Large defense and logistics contractors need pallets and crates to ship what they sell to the government. Reach their small business liaison officers with a strong capability statement listing your capacity, ISPM 15 number, lead times and service area.

How GERC helps pallet companies win government contracts nationwide

GERC works with pallet manufacturers, recyclers and crate makers across the United States. We handle SAM.gov and DIBBS registration, SBA and state certifications, vendor registration, bid tracking and bid writing, plus pricing analysis when lumber costs and tariffs change. Learn more about government contracting for pallet companies, call (909) 454-7076 or book a free 15-minute call.

Frequently asked questions