The european bioeconomy urges the EC to harmonize policies, strengthen funding, and create more favorable markets for innovation

The bioeconomy has become one of the major engines of transformation in Europe, with a unique potential to address today’s challenges in sustainability, competitiveness, and strategic autonomy. Through biotechnological innovation and the efficient use of biological resources, the bioeconomy contributes to greener and more circular solutions that directly impact key sectors such as food, energy, health, and industry.

In a context defined by the climate crisis, the need to transition to a low-carbon economy, and growing global competition, developing a strong and cohesive bioeconomy is essential. To contribute to this goal, the ShapingBio project, funded by the EU and with AseBio as a partner, has published a comprehensive policy report containing key recommendations to help the European Commission (EC) create an optimal framework for a sustainable and competitive European bioeconomy.

These recommendations highlight the urgent call made by Commissioner for Environment, Water Resilience and Competitive Circular Economy, Jessika Roswall, for collective efforts to build a prosperous, sustainable, and circular bioeconomy. In this context, the European Commission has identified several strategic pillars likely to be central to the future EU Bioeconomy Strategy, for which ShapingBio has proposed a set of concrete recommendations.

Towards a Competitive and Sustainable European Bioeconomy

The European bioeconomy has great potential to generate innovation, economic growth, and sustainable solutions, drawing on diverse raw materials, established infrastructures, and a strong biomass-processing industry. However, differences remain among Member States in innovation, R&D, and policies, which limits global competitiveness. Therefore, it is recommended to strengthen understanding of the bioeconomy concept, promote integrated policies, and coordinate actions at European, national, and regional levels, as well as to foster the exchange of best practices with the goal of improving both horizontal and vertical coordination and deepening stakeholder dialogue.

Start-ups, spin-offs, and SMEs play a key role in this transition but need a strong business environment and support adapted to their stage of development, including access to public and private funding.

The development of bio-based markets is essential to transform innovation into viable products, though these face higher costs and regulatory barriers. It is advised to combine incentives for bio-based products with disincentives for fossil-based products, and to harmonize regulations to facilitate market entry.

Finally, the transfer of technology from laboratory to industry requires academia-industry collaboration and access to pilot and demonstration infrastructures (PDIs), which help reduce risks and accelerate biomanufacturing. Strengthening co-financing mechanisms, ensuring continuous public support, and promoting public-private partnerships are proposed as ways to scale innovations to industrial level.

“Europe has strong assets in the bioeconomy, from diverse biomass resources to leading research and innovation. But fragmented strategies and uneven innovation capacities hold us back. To remain globally competitive and achieve sustainability goals, we need coherent policies that foster stronger collaboration among all Member States, improved financing, and ensure Europe’s leadership in sustainable biomanufacturing. Our recommendations aim to guarantee that Europe not only develops bio-based solutions but also creates the right conditions for them to thrive,” said Sven Wydra, coordinator of the ShapingBio project.

The contributions from ShapingBio have been well received by policymakers at the European Commission who are preparing the New EU Bioeconomy Strategy. With bio-based innovation at the heart of the Net-Zero Industry Act and Europe’s Circular Economy Action Plan, the implementation of these recommendations could strengthen Europe’s resilience, competitiveness, and sustainability in the decades to come.

The recommendations are based on extensive engagement with nearly 2,000 key bioeconomy stakeholders, including policymakers, industry leaders, researchers, and civil society representatives, through surveys, interviews, and 45 events held between 2022 and 2025.

• Full reports from the ShapingBio project and recommendations: https://www.shapingbio.eu/resources/
• ShapingBio Policy Brief: https://www.shapingbio.eu/media/u4sjr431/shapingbio-policy-brief.pdf
• Visit the ShapingBio project website: www.shapingbio.eu