The European chemical umbrella organization Cefic wants the European Commission to introduce mandatory minimum shares for the use of bio-based raw materials in products. According to the organization, without such targets, insufficient market demand will be generated to scale up investments in the European bioeconomy.
In a series of policy proposals, Cefic writes that the industry needs a clear and predictable framework to accelerate the transition from fossil to renewable raw materials. The technology for biobased chemicals and materials already exists, but there is still insufficient demand for the products, according to the umbrella organization. A mandatory share of biobased content could close that gap.
Demand, not supply, is the bottleneck.
According to Cefic, the problem lies primarily on the demand side. Producers are willing to invest in new biobased production lines, but first want certainty that a market for those products will emerge. That certainty is currently lacking.
Therefore, the organization advocates for minimum targets at the product or product group level. An important principle is technology neutrality. Both fully biobased products and products whose biobased share is attributed via mass balance (bio-attributed) should count. Additionally, Cefic calls for flanking measures, such as a lower VAT rate for products with a minimum share of circular content, to help emerging value chains that are still facing technical and financial barriers.
Rapid implementation via existing legislation
Cefic wants the goals to be incorporated into existing or forthcoming instruments. The umbrella organization identifies the Ecodesign for Sustainable Products Regulation (ESPR) and the announced Biotech Act II as the designated routes to harmonise definitions and accelerate implementation. A gradual build-up with interim milestones should provide companies with the predictability they need to invest.
Cefic places the goals within the broader endeavor to scale up the European bioeconomy and make the industry more competitive and resilient. In this context, bio-based raw materials serve as an alternative to fossil raw materials and as a way to reduce dependence on them.
Source: Cefic
Photo: Gerhard Seybert – Adobe Stock
