Pneumatic conveying apparatus and method are described to provide for a simple, economical, convenient (and preferably automatic) system for conveying small pieces of frozen food (e.g., chopped vegetables, diced meat, or preferably ice cubes or crushed ice) on an as-required basis to one or more locations remote from a food source. The system is configured such that dispensing locations can be added or eliminated from the system or temporarily taken "off line" from the system without the need to change the basic system configuration or the central food providing apparatus. The apparatus includes a food source, a feed auger (preferably reversible) for moving the food from the source into the conveying conduit, use of pressurized air to convey the food through the conduit, and a receiver bin in the terminal container to collect the conveyed food for subsequent dispensing or use. Appropriate sensors and controllers, which may be microprocessor-based, may be used to automate the system. The conduit may be refrigerated and the entire system is easily cleanable. The system is used by restaurants, groceries, hotels and motels, hospitals, laboratories, and similar establishments for providing ice or other frozen food supplies at various locations. An important application of the system is for providing ice cubes from an ice maker to dispensers such as typical beverage/ice dispensers in fast food restaurants.