The natural gas is not pulled from the air but is extracted from the Earth. That is because of the global helium shortage. "People keep on telling me it is going to go higher," said Spiegel. "It's definitely a disruption," Hoffman said, "but we'll work through it.Michael Spiegel has owned a shop in Brooklyn for 30 years, selling balloons and other party favors.īut in the last 12 months he says the cost of helium has blown up, more than doubling. Air-filled balloons like arched garland pieces and table centerpieces are still options. "We're wondering week to week if we're going to have a new supply," Egan said.īut a lack of helium doesn't mean customers can't have balloons. The business is rationing helium-filled balloons for pre-booked parties. "It's not an ideal time," Ryan Egan of Queen City Balloon Bar said. He said he's letting customers know upfront about supplies and prices, which have also increased. Unexpected maintenance and plant shutdowns the past few months in Texas and Qatar further the supply problem, and four of the five major helium suppliers are rationing customers 45-60% of contracted amounts, according to Physics Today.Ī new helium plant in Amur, Russia shut down in January after an explosion and still hasn't opened up again. The war in Ukraine may also affects the dependability of Russia's helium supply, and another plant in Algeria was shut down because of the gas shortage resulting from the war. There are several factors contributing to the helium deficit happening right now. But now the demand is expected to grown 2%-3% each year, according to The Balloon Council, a national organization. The start of the coronavirus pandemic in 2020 actually meant helium was in a surplus since many industries weren't at full capacity and didn't use as much helium, a shift that ended the last deficit that ran from 2018 to 2020. In addition to balloons, helium is also used in the medical field and in the military for different instruments, and those industries take priority when it comes to the helium supply. Party America is limiting the number of balloons people can buy to five, but they can be any size. While Hoffman has been trying to keep prices down, he does ask his customers for patience with supplies. Lines have gotten longer at businesses where people are trying to find balloons for graduation, making this the busy season for the balloon industry. That's got me a little nervous," Hoffman said. "If I would have had to pay then what helium costs now - yikes. In anticipation of the helium shortage, David Hoffman at Party America started stocking up on helium in January. Stores started preparing months ago for helium shortage His supplier was able to find another helium source, but it was still a hard time getting it, and although the price of helium has also gone up, Krekelberg said he "ate" the last price increase to try and keep balloons affordable for his customers.Īnother issue for Krekelberg is the supply of latex for balloons. There are around 10 colors he hasn't been able to get in for months, and he said he will maybe only get half an order. More SFBJ: New Caribou Coffee drive-thru location opening in Sioux Falls "Though if you'd have asked me (two weeks ago), it would've been a slightly different story," he said. There have been a couple helium shortages over the past two decades, and while the industry had been anticipating one, Krekelberg said it came too soon. this one might be the worst yet," said Gary Krekelberg, owner of Party Land in Sioux Falls. "I haven't worried about it in the past, but this year I did. Several pockets in the country are running out of helium as a shortage ensues worldwide, and the Sioux Falls balloon scene is feeling its effects. Graduation is just around the corner, but the shiny, flying balloons reading "Congrats, Grad!" might not be as common at parties this year.
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