Manufactured Ice

Technological advances freed consumers from their long dependence on the harvest of local, naturally occurring sources of ice by permitting first its export and then its manufacture. Whether by private companies or by public utilities, product was based on developments that also heralded the era of domestic refrigeration, and the ice trays found in most American kitchens became the major rival of commercial ice manufacturers. In terms of volume, however, domestic refrigerators could not compete with ice plants, and manufactured ice has sold well in outlets where goods for parties, receptions, and other events are routinely purchased.

In the first decade of the 2000s, ice manufacturers' products ranged from bags of ice cubes in varying quantities to blocks of ice in weights of 10 to 300 pounds. The larger blocks were particularly popular for ice carvings at outdoor festivals and banquet buffets.

According to Dun and Bradstreet, 647 establishments and 6,418 workers were engaged in the U.S. ice manufacturing industry in the late 2000s. Revenues for the industry reached $750.9 million in 2008. Texas was by far the top-producing state, with $377 million in sales.

Much of the industry's annual revenue depends on the weather. The warmer the temperature, the more consumers purchase ice. Logically, sales of manufactured ice are highest during the summer months of June, July, and August. Due to the ever-increasing efficiency of ice-making machinery and delivery, the wholesale price of ice has increased by only 5 cents since the late 1970s, to between 45 cents and 50 cents per pound in the late 2000s.

Purity is a primary issue among ice suppliers. Many ice suppliers have learned to enhance the purity of their product by creating a hole in the center of each cube and then flushing it, using water to rinse away the sulfur, iron, and other impurities that had concentrated there during the formation of the cube. Such purity concerned not only consumers but also businesses that required large quantities of ice to keep food cool and fresh. While those businesses could count on convenience and cheaper costs of ice produced in-house, ice-manufacturing specialists had the potential to create a product with greater purity.

Beginning in the late 1980s, legislation at various levels of government led to tightened controls on sanitation and an improved standard of quality in the ice industry. Mandated drug testing of truck drivers further regulated the industry.

Both the continuing quest for purity and a heightened consciousness about ecological issues on the part of consumers made for a promising development in the 1990s--the marketing of gourmet ice, as harvested from glaciers, springs, and other sources pre-dating or little affected by human pollution. While this trend represented a return to the very origins of the ice industry, another growing demand favored chewable ice. Chewable ice making machines, previously used primarily by the health care marketplace for patients unable to use larger cubes, became a growing industry in the 2000s. One report showed that more than 37 percent of foodservice operators who planned to purchase ice-making equipment in 2006 wanted a chewable ice making component, and the Air Conditioning and Refrigeration Institute reported that sales of machines that make easier-to-chew ice increased 23 percent in three years, reaching 16,673 units in 2006. Some food establishments, including Sonic Drive-Ins, sold chewable ice in cups and bags; one Sonic in Texas sold thirteen 10-pound bags in one week, according to the Wall Street Journal. Manufactuers of chewable ice also worked to incorporate the "chewability" factor into brand names, such as Chewblet, Nugget Ice, and Pearl Ice.

One of the major ice producers and distributors in the late 2000s was Reddy Ice Inc., of Dallas, Texas. As the largest U.S. maker of packaged ice, Reddy Ice had the capacity to make 18,000 tons of ice a day. The company had customers in 31 states and reported 2008 revenues of $329.3 million. In addition to producing ice in quantities from seven-pound bags to 300-pound blocks, Reddy Ice leased ice equipment, provided refrigerated warehousing, and bottled water. Another industry leader was Home City Ice Company Inc., of Cincinnati, Ohio. Founded in 1896, Home City Ice produced more than 4,400 tons of ice per day in 28 ice manufacturing plants and had reported sales of $80.0 million in 2008. Manitowoc Ice Inc., of Manitowoc, Wisconsin, was a subsidiary of Manitowac Company and manufactured ice-making, beverage-dispensing, and refrigerating products. With more than 26 different models of ice machines, Manitowoc Ice had sales of $35.6 million in 2008. A more diversified company was IAP Worldwide Services Inc., of Cape Canaveral, Florida. IAP was a leading provider of support services and expertise to the U.S. Department of Defense, other federal customers, and state and foreign governments. Selected by the U.S. Army Corps of Engineers to procure and transport emergency packaged ice during the 2006 hurricane season, IAP established alliances with 230 ice suppliers and 350 trucking companies.