A new buzzword?
Sceptics may think this is the latest instance of wordplay. In fact it is not. The bioeconomy represents that same familiar old concept: optimizing the use of resources. When the farmer slaughters his pig, he gains food, animal feed and raw materials. This resource is so valuable that everything but the pig's squeal is put to good use.
For some time now, we've been talking about the green economy; still older is the concept of sustainable development. So what is different about the term "bioeconomy"? The bioeconomy is a specific part of the green economy: achieving thought-out and sustainable development in the production and use of biomass. In short, while the green economy attempts to introduce the whole spectrum of economic activities that preserve the environment and resources, then the bioeconomy focuses on the production and use of biomass. Such an approach is rational; it keeps good intentions from becoming vague and it keeps us from losing sight of our goals.
The need to overcome barriers
The European Union's bioeconomy strategy states that the bioeconomy is based on renewable biological resources from land and sea, as well as the efficient use of organic waste. This involves production in primary sectors such as agriculture, forestry, fishing, aquaculture and processing industries such as the food, paper, chemical and energy industries. As such, the bioeconomy is not a sector in itself.
Speaking at a Tallinn workshop titled "Realizing the Bioeconomy in the Baltic Sea Region" - organized in late March by the Nordic Council of Ministers and the Estonian Ministry of Agriculture - European Commission policy officer Thomas Dodd emphasized the bioeconomy's role in breaking down barriers between various sectors. The solution for the problems of one sector may well be found in a whole different sector, and it is therefore wise to streamline activities and regulations across all sectors.
"Creating value from bioresources", a fresh analysis by Nordic Innovation. One of the conclusions concerning innovation in the Nordic bioeconomy is that potential for growth and innovation lies in the bioeconomy's aspiration to overcome the barriers between sectors. The bioeconomy accounts for around 184 billion euros or ca 10% of the whole Nordic economy. In the whole of Europe, the bioeconomy has an annual turnover of ca 2 trillion euros and provides jobs to around 22 million people.
Innovative codfish
The goal of the bioeconomy is to optimize the use of biomass. Iceland's economy has the highest share of bioeconomic activity among the Nordic countries. Currently, their fishing industry uses up ca 47% of their cod, making them the frontrunner in Europe. They have set a goal for reaching 100%. This provides resources to the materials industry, artists, agriculture, in addition to food and animal feed. It is important to preserve cod during lengthy trips at sea; here, Icelanders have come up with an innovative design for fish containers (by rounding the corners). Science has also provided a whole new use for cod - in skin grafting for burn patients. It is said to work better than pigskin.
Or take Finland, for example. They have many fisheries, where the main cost of production is importing feed; at the same time, they have a major paper industry, which is in need of a use for the waste that it produces. It turns out this cellulose-rich waste is suitable for the production of fish feed. From tree to fish fillet! There are also several examples from industrial symbiosis, including in Kalundborg, Denmark. The ultimate goal is to squeeze out as much as possible from each unit of biomass, to stretch out the value chain, and all in a sustainable manner.
To give another example, Estonia is involved in a group that is analysing the potential use of reed. The group has found several interesting opportunities for cross-usage and recycling. Then there is the Vormsi algae cultivation project. Also significant is the proposed strategy for Estonia's bioeconomy, initiated by the Estonian Ministry of Agriculture
So how do we go forward?
In light of Thomas Dodd's speech, as well as several reports and presentations, the key issue that has resonated is market access. In order to achieve this, we need to reach multilateral agreements and develop supporting regulation. On the European level, this initially means compiling thorough statistics on the bioeconomy, for which the European Bioeconomy Observatory is being set up over the course of three years. The EC put together a 30-member bioeconomy panel, whose task is to help policy-makers make better decisions and to phrase coherent policies. This coming fall, they will present their first report and recommendations. On the financial side, the bioeconomy is part of the Horizon 2020 framework.
To the satisfaction of the Nordic Council of Ministers, it has been charged with the task of overseeing the development of the bioeconomy in the Baltic Sea region, under the framework of the action plan of the EU's Baltic Sea strategy. We have carried out an initial mapping of stakeholders and now continue to seek partners with whom we can launch co-operation projects. Our role is to be the main contact, to encourage action, to bring together the stakeholders, and to offer a platform for discussion, and sharing knowledge and experience. Here, we would like to draw special attention to Nordic-Baltic co-operation. We are currently mapping the interests and problems of stakeholders. So if we haven't yet telephoned you and you are interested, don't hesitate to get in touch with us.
The article is written by Madis Tilga, adviser at the Nordic Council of Ministers' Office in Estonia. It was published on the Estonian business newsportal Ärileht.ee on April 13, 2014.
Please share your expertise!
To help promote a bioeconomy in Europe, the European Commission is supporting the development of standards, labels and certifications and promoting the public procurement of bio-based products. To ensure that these measures respond to real needs in the market, the "Open-Bio" project (financed by the Commission's 7th Framework Programme for Research and Technological Development) is conducting a survey of professionals in the field of bio-based products and materials. The results will directly feed into ongoing policy and standardization processes. For more information on the Open-Bio project, please click here. Please note that the deadline for filling in the survey is end of April 2014!