Pallet or Stretch Wrap Plastic Bag Drop-Off If you are unable to take pallet or stretch wrap to a plastic bag drop-off location, place them in the garbage. Don't Recycle With Hard Plastic Pallet wrap cannot be recycled with other hard plastics, because it is a film that can easily get stuck in recycling equipment. Instead, pallet wrap should be disposed of with plastic bags. Shrink Wrap Is Garbage While pallet or stretch wrap is used to hold goods together on a pallet, plastic or shrink wrap is used to package individual products while giving them a glossy sheen, such as in meat packaging. Learn what to do with shrink wrap.