Alex Crawford, who runs ACT Pallets with his wife and son, first opened his business to collect used pallets and move them to Sydney, where they were recycled.

But sensing the increased popularity of the second hand products, he started repairing and restoring them himself.

Mr Crawford said demand for used crates and pallets for household projects had risen up to 40 per cent over the past decade and he had seen timber varieties turned into planter boxes, bicycle racks, fencing and furniture.

"[Customers] really like the rustic outdoor look," he said.

Canberra creative Renee Douros, who produces and publishes Hitched magazine, said she and her colleagues had used pallets to create a lounge for their workspace.

Ms Douros said she was seeing small bespoke eateries and boutiques open in Canberra which, for budget or aesthetic purposes, had used recycled materials in their fitouts.

"This adds a charming, raw feel to our public spaces which I think is really refreshing to see," she said.

"Not everything needs to have a sleek fit-out to look modern and unique."

Ms Douros said using second hand timber crates and pallets was becoming so popular because it was accessible. "You can go out on the weekend, pick up some unused palettes, sand them back and turn them into a fabulous outdoor daybed for under $100," she said. "It looks great and you made it yourself."

Mr Crawford agreed that was price was a factor in the trend, as was a concern for the environment.

He said Canberra people had a particular passion for recycled products.

Businesses and government departments also used his recycled crates and pallets for storage, Mr Crawford said, and at this time of year he was busy making crates for local wineries to store their bottles in.

But the most unusual use of recycled pallets he had seen was by a rural fire brigade, who used a truck load to build a house in the middle of a paddock.

Crew members then set the whole thing alight and used it as practise putting out the flames.