EU must recognise key role of bioeconomy to boost competitiveness and resilience

Biomass-derived chemicals are crucial for Europe’s competitive, sustainable, and resilient future. The bio-based chemical industry, with decades of experience, can help shape policies for a thriving bioeconomy. 

Recently, the Clean Industrial Deal announced a Bioeconomy Strategy to improve resource efficiency and to “tap the significant growth potential of bio-based materials substituting fossil-based materials, and related industries.” 

In an open letter to the European Commission, Cefic and its Sector Groups active in the bioeconomy call for the upcoming Bioeconomy Strategy to be elevated into a fully-fledged industrial strategy for Europe. 

Establishing a favourable policy environment will enable the creation of a single market for sustainable products, helping to retain existing businesses while scaling up bio-based manufacturing in Europe. 

To achieve this, the letter, signed by Cefic and Sector Groups APAG (Oleochemicals Europe), BioChem Europe (Biomass-derived chemical producers), EFCG (European Fine Chemicals Group) and EFG (European Fermentation Group) outlines several strategic priorities to build the competitiveness and resilience of the European Union while respecting planetary boundaries: 

• Mainstream the Bioeconomy Strategy into upcoming EU legislation such as the Industrial Decarbonisation Accelerator Act, Biotech Act, Circular Economy Act, and Common Agricultural Policy, to provide consistency and long-term predictability. 

• Integrate targeted provisions into product-specific legislation, including the Ecodesign for Sustainable Products Regulation (ESPR), the Packaging and Packaging Waste Regulation (PPWR), and the End-of-Life Vehicles Regulation (ELVR), to ensure broad applicability across bio-based value chains. 

• Ensure that biomass feedstock availability is aligned with the needs of the bio-based sector in Europe at competitive market conditions to ensure a level playing field. 

• Create a true single market for bio-based and secondary raw materials and to stimulate market demand. 

• Apply the successful model of the Critical Raw Materials approach to biological and technical materials on which the chemical industry depends. 

• Improve trade and investment relationships with other regions through Free Trade Agreements, collaborative initiatives, and research and development partnerships. Mitigate and reallocate dependencies on imported raw materials to strengthen Europe’s resilience and competitiveness.  

• Address increasing global competition by building up local production capabilities and supply chain stability to reduce reliance on imported raw materials. 

Cefic and its Sector Groups remain committed to supporting the European Commission in shaping the necessary framework conditions for a prosperous bioeconomy. This is a strategic imperative for reaching the EU’s 2050 objectives while reinforcing the sustainability and resilience of European industry.