Because of the amount of wood heading to landfills, they have been refusing it, meaning the wood is burnt causing air pollution.
Portsmouth company TIPCI decided to make a change to this process - and its work has not only brought it business success, it has also seen it win the Manufacturing Innovation of the Year category at the first Innovation Awards.
The awards were held at the Village Hotel in Portsmouth on Thursday and saw honours handed out in 10 categories.
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Christine Durkin, from The Marketing Centre, was representing TIPCI at the event as the family who run the company were at a family do.
She said: ‘TIPCI is a family firm, and they couldn’t be here tonight as they have their priorities right and have put family first.
‘But I am so pleased for them to win this award. I know they will be over the moon. It is amazing.’
TIPCI is a pallet manufacturer, in Claybank Spur, Hilsea that supplies big retail companies.
It refurbishes used pallets and made them reusable for businesses, but has struggled to find the blocks for these pallets in this country. This year it invested in a crushing machine which recycles waste wood into sawdust and makes pallet blocks. It is the first company in the UK to do such a thing.
The judges said: ‘This is an excellent example of a manufacturing firm using innovation to do good for the environment at the same time as boosting its business.’