The Revenues of the Global Dry Ice market to reach USD 289.65 Million by 2026 with a CAGR of 3.816%
Published | July 2020
Global Dry Ice Market has shown steady growth over the years. Its aggregate revenues are projected to increase at CAGR of 3.81%, over the prediction period 2019-2026, and reach USD 289.65 million by 2026. The growing global business of high-quality perishable food products requires more refrigeration facilities during transportation. Growing import & export activities related to drugs & vaccines and rising organized retail & foodservice industry are expanding the demand for Dry Ice in the global market. Due to global pandemic, there has been a slowdown in economic activity and more transportation restrictions in affected countries. It is likely to impact the production and profitability of global Dry Ice companies, mainly engaged in manufacturing and raw material procurement. Small and medium-sized firms may have greater difficulty surviving the disruption.
Pellets segment contributing substantially to the growth of the Dry Ice market
The selection of Dry Ice form depends upon its application. For instance, Pellet form of Dry Ice is the best for smaller-scale needs or one-time storage or delivery purposes. The Dry Ice slice form is high in density and long-lasting. Dry Ice slices are customized for the airline and pharmaceutical industry. Rectangular and square solid pieces of Dry Ice are often used in the storage and/or transportation of perishable goods such as food or medical supplies. Each slice is individually wrapped for ease of use and for reducing sublimation levels.
Multiple application sectors creating a lucrative opportunity for dry ice market globally
Dry Ice is an excellent refrigerant medium used for many applications. It has a high cooling capacity and is available in blocks, slices or pellet forms. The global dry ice market based on application sectors is segmented into food and beverages, storage and transportation, healthcare, industrial cleaning and other applications for the entertainment industry, research etc. Dry Ice is the best means to maintain frozen and refrigerated foods for avoiding spoilage in the event of a power outage. At a temperature of - Dry Ice can replace the cooling power of a refrigerator or freezer with temperature as cold as -109°F. The placing of Dry Ice on the top shelf of the freezer and the bottom shelf of the refrigerator help to maintain its cold temperature in case of power failure. Its use will ensure the secure long-distance transport of perishable food or medicines.
In the industrial cleaning sector, Dry Ice blasting has become the fastest-growing application of CO2 in the entire industry. The Sandblasting and Dry Ice blasting use a jet nozzle and compressed air to shoot small pellets of Dry Ice (blasting rice) in a similar way for superior results. The extreme cold causes targeted material to shrink, allowing its easier removal. The used blasting rice will sublimate into gaseous CO2 after use, which makes cleaning a breeze.
The rising preference for Dry Ice over regular ice drives the market across the globe.
The rising preference of Dry Ice over water-based ice has propelled the growth of the global Dry Ice market. The Dry Ice has a far low temperature than water-based ice. When it is heated, it directly changes into the gas and does not leave any liquid residue. The Dry Ice is cost-effective and has non-combustible and non-toxic properties. It is also used to make carbonated drinks and soda. Its benefits and diverse applications increase its use over regular ice in the food preservation, machine blast cleaning, pharmaceutical, and entertainment industry. These factors will surge the demand of Dry Ice during the projection period.
North America holds the largest market share and is likely to witness vital growth in the market during the forecast period.
North America controls the significant market share in the global Dry Ice market. It has bright potential due to the rising trend of direct to doorstep food delivery services. Companies like Blue Apron and Hello Fresh offer meal kit services, and now even Amazon is assuring two-hour grocery delivery. Such developments call for more storage facilities, and Dry Ice becomes the foremost requirement for it. Dry ice is a substantially growing market in North America due to the presence of an established e-commerce business model for food delivery. More efficiencies in the region add to the cost-effectiveness of using Dry Ice. Also, there are major suppliers in the industry that have large scale facilities tied to CO2 manufacturing plants.
Dry Ice: Competitive Landscape
The global Dry Ice market is pretty consolidated with a few industry titans capturing a large part of the market share. Linde Plc and Messer Group GmbH are the two principal players within the global Dry Ice market accounting for significant market share across the globe. In 2018, Linde Plc. declared business combination between Praxair and Linde AG. Companies such as Gulf Cryo, Polar Ice Ltd., Continental Carbonic Products Inc., Sicgil India Limited, Linde Plc., Air Liquide, Tripti Dry Ice Co., Messer Group GmbH, Air Water Inc., and Punjab Carbonic Private Limited are the key players in the global fry ice market.