How Will the Balloon Industry Cope with a World-Wide Helium Shortage?

Many of us have experienced helium shortages before, and although it might seem to be majorly problematic, there are always solutions and alternative decor ideas with air-filled balloons that we can offer to our customers.

But before we look at alternative decor ideas, we should first try to understand the type of helium that is generally used within the balloon industry and why helium is in short supply. Especially because this might help when speaking with customers.

https://www.aljazeera.com/indepth/interactive/2017/07/helium-production-world-170726095826950.html

Just to clarify, the 8% helium used by balloons includes weather balloons too, of which there are hundreds released twice a day world-wide.

This is an excerpt from USA Today - 10th May 2019

"A big reason for the shortage is that about 75% of all the helium comes from just three places: Ras Laffan Industrial City in Qatar, ExxonMobil in Wyoming and the National Helium Reserve in Texas, according to gas-trade publication Gasworld.com.

In Texas, the reserves are being depleted, while at the same time overall demand for the gas has been growing."

In the U.K., a statement was released from one of the top helium suppliers, which highlighted the differences in the various types of helium, as well as the future of helium.

"It's important to be aware that there is a distinction between pure, liquid and impure, gaseous helium. Gas companies prioritise supplies of pure, liquid helium for critical medical uses e.g. MRI scanners in hospitals, ensuring that they can remain fully operational.

Helium for balloons is a different product - it is impure and gaseous and produced as a by-product of supplying liquid helium for the MRI market - a market which makes up around forty percent of the helium business in the U.K. Impure, gaseous helium cannot be used directly in medical MRI scanners or in other applications that use super-conducting magnets. Impure helium can be recovered by the customers and re-liquified if the customer has the necessary plant on site, and if not, it can still be recovered and reprocessed in the balloon market. Historically, recovery has only been viable for large users of helium, but new opportunities are constantly being reviewed and implemented with customers to help them conserve and reuse their helium. 

For the future, there is still plenty of helium on our planet, with investments being made to bring various new sources on-stream in the coming years. The locations and environments of these new sources will mean the market prices for helium is expected to continue to rise, but making these investments will mean that helium will continue to be available fo many years to come. Rising prices in the market will also drive an increase in investment in the means by which customers can recover more of their own helium."

The Pro Environment Balloon Alliance (PEBA) recently issued the following information:

"Medical Helium is not used to inflate balloons. The helium used to inflate balloons is not pure enough for medical use. It is a by-product gathered during the production of medical grade helium. Instead of wasting this resource, it is collected and recycled. The sale of balloon gas offsets the cost of medical helium. 
According to an Australian Helium Gas supplier… The transportation of Liquid Helium from an ISO into a storage flask (Dewar) is a very meticulous process. Due to liquid helium’s sensitivity to warmer temperatures, the majority of the liquid helium boils off in the transfer process. Instead of losing this helium, the boil off is captured in a large balloon. This lower grade helium is then recycled and compressed into smaller storage cylinders which becomes part of the balloon gas supply.
If this boil off were not captured and recycled, a huge amount of helium would be lost and wasted in the process. This recycled helium is use for weather balloons, scientific purposes and balloon gas. Reductions in demand can also be experienced due to increased recycling and increasingly efficient use of helium.
The helium industry reports that non-essential market segments like the balloon industry sector are experiencing shortage of supply and absorbing large price increases due to the fact that essential markets receive their supply first. 
The shortage is due to a number of factors that include global economic forces, political issues, rationing and unscheduled maintenance on a large helium facility. 
Due to these fluctuations of supply and demand, the balloon industry is decreasing its reliance on helium by increasing our use of air-filled designs. Shortage and price increases provide incentives to reduce helium consumption and the industry is evolving accordingly. We are already reducing our helium consumption by stopping balloon releases, this is environmentally and economically responsible." 

While we often read in the press that party balloons should be banned to save helium reserves, in reality, if we are using balloon gas, we are using a product that has already been used for medical purposes, and we are merely using a recovered product that is no longer suitable for medical or other specialist purposes.

We may never knowing the true and accurate reason for the shortage or why it's currently so difficult to obtain. Dan Flynn, COO of Pioneer Worldwide shared his findings;

“There are mixed signals from the major helium suppliers as to the expected timeframe before the market tightness is over. Most estimates are the supply will be restricted throughout this year, though availability should increase in 2020.”

So rather than getting upset about this problem, we need to embrace it and find good alternative solutions of which there are many.

Have you seen the latest on-line edition of Images Magazine? To remedy this current shortage, the entire issue features only air-filled designs and decor ideas! Click HERE for a direct link.

Here is one of the fabulous new designs by Sam Jossie, CBA, Pioneer® Balloon Company

If you use the search facility in the Balloon Decor Inspiration gallery and set the search to Air-Filled designs, you get over 600 results! 

Who wouldn't love this wonderful entrance decor, designed and created by Luiz Carlos da Costa Silva, CBA, of Cenário Balões, São Paulo, Brazil.

For more inspiring ideas check out some of my older blogposts that are packed with air-filled decor designs! 

From Traditional to Contemporary Jungle Party Decor Ideas.
Air-Filled Decor is the Only Way To Go! 
Fun, Quick, and Highly Sellable Air-Filled Balloon Characters - Step by Step Video
Finding the Perfect Air-Filled Decor Solution

I would love to hear how you are coping with the helium shortage and what alternatives you are using!

Happy ballooning!

Sue
www.suebowler.com
#suebowler

Helium and a little of what you need to know as a balloon professional Part 1

I wonder how many people who read this blog are unsure how much it costs to fill a balloon with helium?

When I first started working with balloons, I had absolutely no idea how to work out the cost of helium, along with a lack of job costing my work, everything that I ever sold was complete guess work, and very bad guesswork at that!I was asked recently if I could help someone to work out how much helium each balloon uses and how to cost it when using the job cost form, so I thought that this would be a useful blog for others too!Before we start talking about costs and prices, lets just take a few moments to review helium and a few points of safety.