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Bio-economy in Europe András Sebők Chairman of Research and Development Expert Group of Food&DrinkEurope Bio-economy between Food and non Food: The Italian Way
Bio-economy in Europe
András Sebők Chairman of Research and Development Expert Group of
Food&DrinkEurope
Bio-economy between Food and non Food: The Italian Way
Bio-economy concept
An approach for integrating all inputs from
• primary production sectors – agriculture, forestry, fisheries
• processing industries – food, bio-based products, bioenergy
along the whole value chain to develop the most efficient and sustainable production and exploitation of biological resources for
• food, feed, bio-based products, bioenergy
to address mayor interconnected societal challenges
• food security, managing natural resources, sustainably, reducing dependence on non-renewable resources, mitigation of climate change, job creation, enhancing economic growth and competitiveness
through use of transdisciplinary approach and innovation
2 Milan, 26.05.2015
Adapted from A. di Giulio (2014)
EU Bio-economy Strategy
Need for a coherent, supportive Research and Innovation policy environment
• Resource efficient use of biomass
• Trade offs between food, feed, bioenergy, bio-materials
• Increase agricultural productivity while protecting biodiversity, eco-systems and the environment
• Improving coherence and synergy between policies related to the bio-economy at EU level and encourage a similar initiative at regional and national level
• Support to the development of consumer markets for bio-based products through market instruments
• Better informing consumers about product properties to promote more sustainable lifestyle
3 Milan, 26.05.2015
Adapted from A. di Giulio (2014)
EU bio-economy turnover of 2.690 billion € with 22 million employees.
Sector Turnover
(Billion €)
Employees (million)
Source
Food & Drink Industry 1.186 4.4 FoodDrinkEurope
Agriculture 430 12,0 COPA-COGECA
Fisheries 14 0.5 FAO
Paper, Leather etc. 428 1,8 CEPI
Forestry 337 2,0 CEI-BOIS
Others 227 1,0 CEFIC
Bio-based materials
Chemistry 60 (est)* 0,15 (est)* USDA, Arthur D Little, Festel, McKinsey, CEFIC
Enzymes 1 (est)* 0,005 (est)* Amfep, Novozymes, Danisco/Genencor, DSM
Biofuels 7 0,15 EBB, eBio
Total 2.690 22
2014 EU BIO-ECONOMY
Source: CE 2014 Milan, 26.05.2015
European Manufacturing Sectors
Source: Data & trends of the European Food and Drink Industry 2012 (FoodDrinkEurope)
FOOD MANUFACTURING SECTOR
First sector of EU Manufacturing
Accounts for about 15% of EU turnover and employment
4,2 million employees
285.000 enterprises
Source: Data & trends of the European Food and Drink Industry 2012 (FoodDrinkEurope)
Maximising values from efficient, sustainable use of biological resources
• Identification of the benefits provided and the needs for knowledge, solutions and skills, necessary raw materials, energy, infrastructure, costs and risks, drawbacks for the main outputs for each sector,
• Application of transdisciplinary approach
– to develop new business models, evaluation of feasibility
– each sector should give priority on those areas, in which its value generated and performance is the best, and the types of outputs are non-replaceable – leading to demand
– identify priorities as a starting point
– review, combine, adjust sector priorities to joint bio-economy priorities
• Improving yield, efficiency of using resources
• Circular economy - identification of main sources of waste generation and potential for prevention/reduction, reuse and recycling of waste
• Cascading exploitation of material over the whole life-cycle
• Transfer of knowledge, training, investment into innovation 8 Milan, 26.05.2015
Role of the ETP Food for Life
• An operating network at EU, national and transdisciplinary level -36 National Technology Platforms (NTPs)
• Definining joint industry led R+I strategy : Improving resource efficiency and sustainability along the whole food value chain is one of the main priorities
• Systematic application of the transdisciplinary approach of innovation is one of the key methods – practical experience is available and formalised
• NTPs involve large number of SMEs • NTPs are hubs for knowledge transfer, training
Transdisciplinary chain approach: Developing new core competencies
Exploring opportunities in systematic combination and exploitation of complementary
• resources
• capabilities
• competencies
of businesses and knowledge providers
• along the food, feed, bioenergy, bio-based product value chains
• between different sectors including high-tech industry sectors (advanced manufacturing, ICT, biotechnology, materials, etc.)
• between industry and innovation networks
to develop new, joint core competencies leading to products, services, processes with distinguishable benefits for the users, consumers resulting in a competitive edge
10 Milan, 26.05.2015
Value chain approach of innovation
Knowledge and solution providers from different sectors are suppliers and customers along a value chain
Milan, 26.05.2015 11
Core
competencies
of supplier
Core
competencies of customer
Core
competencies of
firm Strategic
resources
Key capabilities
Strategic
resources
Key capabilities
Core competences
Core competences
Strategic
resources
Key capabilities
Core competences
Core competences
Sustainable Chain
competitive advantage
Main benefits provided by the food for consumers
• Food security: availability, affordability, accessibility - priority
• Nourishment/nutrition
• Pleasure – variability, diversity
• Nutrition and health
• Tradition, culture
• Convenience
• Ethics
• Employment
• Socialisation
• Income for the community for public spending
12 Milan, 26.05.2015
Safety Minimising
contamination in production
Managing safety hazards and risks in processing,
distribution and sale
Delivering products that are safe throughout shelf-
life
Protecting the consumer through appropriate
guidance
Quality and value Ensuring suitability for
purpose and proportionate cost
Maintaining and enhancing quality
through effective process technology
Maintaining product quality throughout shelf-
life
Exceeding consumer expectations
Nutrition, health and well-being
Enhancing nutritional potential
Preserving and enhancing nutritional value in
processing , distribution and sale
Delivering nutritious products that meet
dietary needs
Responding to nutritional requirements and dietary
habits
Resilience and efficiency
Securing supply and assured integrity at proportionate cost
Assuring resilience and efficiency throughout
manufacturing, distribution and sale
Delivering safe, authentic and compliant products
and packaging
Building consumer trust in the supply chain
Environmental sustainability
Producing ‚more with less’
Enabling efficient use of energy and materials
with minimal environmental impact
Designing product and packaging waste
Minimising waste and environmental impact
Skills and knowledge
Developing and maintaining skills,
knowledge and ‚tools’ in production
Developing and maintaining skills,
knowledge and ‚tools’ in manufacture and food
service
Anticipating and responding to regulatory
and technical changes and their impacts on
product and packaging
Engaging consumers on production, process,
product and packaging knowledge
Strategic themes and the drivers for food industry needs Primary production, raw
materials and ingredients
Manufacturing and
supply
Product and
packaging
Food, drink and the
consumer
Source: Innovation for the food and drink supply chain, Scientific and technical needs, 2015-2017, Campden BRI 2014 13
Horizon 2020 – Societal challenge 2 – Sustainable Food Security
• Major systemic risks to the supply and quality of food and animal feed – Direct impacts on the daily access to sufficient, safe and nutritious food on health and well-being of citizens and on environment.
• Related risks from climate change, natural hazards, energy& resource scarcity, inapproprie practices, pollution, plant and animal diseases, unsuitable manufacturing technologies, food waste, population growth, demographic changes, unsuitable dietary patterns.
• Need to better understand and limit risks& environmental impacts,
• Cope with fluctuating conditions, seize opportunities for new ways of production, processing, consumption.
Focus on
• More resilient value chains for food and bio-based products
• Environmental – smart and climate – smart and primary production
• A competitive food industry
• Healthy and safe foods and diets for all 14 Milan, 26.05.2015
Bio-based Industries PPP
• A major public- private effort (3.7billion EURO) investment in bio-based innovation till 2020 (Horizon 2020)
• Focus:
- Feedstock: foster a sustainable biomass supply with increased
productivity and building new supply chains
- Biorefineries: optimise efficient processing through R&D and
demonstrate their efficiency and economic viability at large-
scale biorefineries
- Markets, products&policies .develop markets for bio-based
products and optimise policy frameworks
Source: Bio-based Industries consortium Milan, 26.05.2015 15
Bio-based Industries PPP- Benefits for Europe
Develop the potential of waste as well as agriculture and forestry residues. Diversify and grow farmers’ incomes: up to 40% additional margins with existing residues. Replace at least 30% of oil-based chemicals and materials with bio-based and biodegradable ones by 2030. Create a competitive bio-based infrastructure in Europe, boosting job creation, 80% of which will be in rural and underdeveloped areas. Deliver bio-based products that are comparable and/or superior to fossil-based products in terms of price, performance, availability and environmental benefits. The new bio-based products resulting from the BBI will on average reduce CO2 emissions by at least 50% compared to their fossil alternatives. Source: Bio-based Industries consortium
16 Milan, 26.05.2015
Management approach to ensure resilience for sustainable bio-economy
• Need for monitoring and risk reduction strategies to tackle hazards (immediate shocks + long term changes)
– effects on animal, plant and human health hazards
– disturbances, shortages in availability of resources and in market demands
– development, applicability of the technology, unfavourable trends in unexpected environmental impacts
• Sustainability of use of resources
• Management system approach
– Identification of hot points, where measures can be applied and are essential to prevent an adverse situation.
17 Milan, 26.05.2015
Illustration of the concept of management system approach of risk management strategies for the
bio-economy
Intervention
actions and
contingency
plans
Drivers
(Cause of a
hazard/incident)
Monitoring
- Who
- When
- What
- Records
Critical limit/level of
the indicator
Measures to support the bio-economy system
- Contribution of the businesses, knowledge and
solution providers and other stakeholders
- Policies, systems, services, infrastructures
Factors influencing the bio-economy
- hazards
Milan, 26.05.2015 18
Conclusions
• Using a chain approach for re-evaluation of the processes along whole chain of biomass production and processing - exploitation to make optimal use of available renewable resources
• Exploration of using transdisciplinary knowledge and available/emerging solutions from the bio-based primary production sectors and industries and high tech sectors/KETs (manufacturing, ICT, biotechnology, advanced materials etc.)
• Identification of sources and volumes of waste and potential for reduction and valorisation
• Establishing and maintaining an inventory of valorisable materials
• Supportive policy environment, eliminating policy and legal barriers
• Creating demand, markets for existing and new products
• Considering concerns of consumers/ users – consumer education and transparency
• Repeated evaluation of feasibility of solutions demand, costs,prices technologies may change
19 Milan, 26.05.2015
