ASCO: How well known is dry ice in the USA as a refrigeration logistics agent? What alternatives are there?
O’Brien: Dry ice is known in the USA as a refrigeration logistics product and is therefore widely used. The areas of application for dry ice include the transport of food, medicines and vaccines, or as is the case with our company, for the cold storage of these and more products. Alternatives to dry ice include gel packs, liquid nitrogen and phase change materials, such as heating pads or instant cold compresses. In contrast to dry ice they have a lower temperature stability and gel packs in particular are less environment-friendly compared to dry ice.
ASCO: In your opinion, what are the advantages of dry ice compared to other cooling solutions?
O’Brien:In my opinion, one of the most important advantages of dry ice is, that it is readily available and can be produced on site with the help of a pelletizer. Dry ice is able to actively lower the temperature of products and maintain a consistent cold temperature. It has a higher cooling capacity per pound than the previously mentioned solutions, allowing for longer transport times and greater temperature stability. In its pellet form and filled in bags, dry ice is more formable and can adapt to the shape of the products to be transported in almost all containers and boxes.
Logo Frozen Logistics
ASCO: Which industries and which products are your main customers?
O’Brien: As a third-party logistics service provider, we do not have our own products. Instead, we provide cold chain logistics services and materials to support these services, such as insulating films, crates, dry ice and other refrigerants. Our key customers come from a variety of industries, including food and beverage, non-toxic plastics and polymers that require low temperature control, and frozen pet food. Although we currently serve these industries, we are open to expanding into other areas, such as pharmaceuticals and biotechnology.
ASCO: What impact did the COVID19 vaccine shipment have on dry ice as a cold logistics solution? Do you notice an increased demand?
O'Brien: The COVID-19 vaccine shipment had a significant impact on the demand for dry ice as a cold logistics solution in the US, as dry ice was needed to transport and store the vaccines. We saw a significant increase in demand for dry ice during the first vaccine shipment and this does not appear to be changing. The dry ice market is expected to increase by 8% by 2032, bringing the demand for dry ice up to US$300 million.
ASCO Pelletizer P75i and PBM 1000 from "Frozen Logistics"
ASCO: Have new business fields opened up as a result of the increased awareness? In which areas/services do you see potential for new business?
O'Brien: Yes, the increased awareness of the importance of cold chain logistics after the Covid19 - pandemic has led to new business opportunities in a variety of areas where we see potential for our company. These include areas such as cold chain consultancy, temperature monitoring and also supply chain optimisation.
ASCO: Approximately how much dry ice do you use per month to maintain your cold chains and how is it produced?
O'Brien: The amount of dry ice we use each month to maintain our cold chains goes from 20 tonnes upwards, depending on the volume and type of products being transported. Our dry ice is produced on site with dedicated equipment such as the ASCO P75i and P28i Pelletizers, which convert liquid CO2 into dry ice pellets and then pack them into bags using the ASCO Pellet Bagging Machine PBM 1000. Thanks to "in-house" production, we have better control over the production and quality of our dry ice and can thus ensure that it meets the specific requirements of our customers. Furthermore, we can better regulate the production costs, as we can adjust and produce the amount of dry ice we need.
Wesley O'Brien
Co-Founder and Chief Logistics Officer