Many national and state governments have strict laws on industrial gas processing, storage and distribution to avoid accidents and pollution.
Fremont, CA: According to a recent market research study, the global industrial gas market is benefiting from growing customer demand for freshness in food products. Health-conscious customers are seeking less pesticides and cleaner and fresher food items, which raise the market for industrial gases, which can be used instead of chemical ingredients.
As a result, the food and beverage industry is purchasing growing volumes of food grade industrial gas used to chill, freeze and package a range of food items, such as dairy and frozen products, drinks, fruit, vegetables, meat, fish, seafood, snack foods, bakery and confectionery.Food grade gases are high-purity gases that meet with food grade standards; they contain nitrogen, oxygen and carbon dioxide.
A Regulated Market
Many national and state governments have strict laws on industrial gas processing, storage and distribution to avoid accidents and pollution. For example, the existing Good Manufacturing Practices (CGMPs) are legislation introduced by the US Food and Drug Administration to regulate the quality of medical gases.The CGMPs oversee the proper monitoring and control of production processes and facilities in the medical gas industry. Any of these regulations increase operating costs, thus impacting the profit margins of industrial gas producers.
By end-user sector, automotive is the world's largest segment of the industrial gas market, primarily due to manufacturing demand for industrial gases, such as nitrogen and hydrogen.In the automotive industry, for example, nitrogen in combination with other welding gases is used to weld car parts, frames, mufflers and other components. Nitrogen is also used in high Reynolds-numbered wind tunnels, heat treatment furnaces and autoclaves, and to help produce solid and lightweight materials. Hydrogen is used in the production of heat treatment for furnaces and parts.
Metallurgy was the second largest end-user group, primarily due to the use of oxygen to improve combustion efficiency in both ferrous and non-ferrous metal processing. CO2 is used as a shielding gas that prevents atmospheric contamination of molten metal in electrical arc welding processes.