Joachim von Braun, Director, Center for Development Research (ZEF) and Professor, Economics and Technical Change, University of Bonn POLICY SEMINAR Bioeconomy – the new transformation of agriculture, food, and bio-based industries – implications for emerging economies OCT 24, 2017 - 12:15 PM TO 01:15 PM EDT

1. Bioeconomy: the new transformation of
agriculture, food, and bio-based industries
- implications for emerging economies-
Lecture at IFPRI, Tuesday, October 24, 2017 Washington, D.C.
Joachim von Braun
Professor for Economic and Technological Change
Director, Center for Development Research (ZEF), Bonn University
Chair, Bioeconomy Council of Federal German Government
German Bioeconomy Council

2. Overview
Bioeconomy…
1…concept
2…in pictures
3…policies, strategies, theory, measurement
4…resource competition, and food security
5…research agenda

3. Bioeconomy concept

4. Structural transformation among “sectors“ of the economy
Joachim von Braun, October 2017
Agriculture‘s
share in world
GDP: 4%, and
20% of jobs

5. The emerging bioeconomy: cluster with inter-linked
value chains - not a sector
• Agriculture
• Forestry
• Fisheries, Aquaculture
• Food industry
• Chemical industry (partially)
• Pharmaceutical industry
(partially)
• Cosmetic industry (partially)
• Pulp & Paper industry (partially)
• Textile industry (partially)
• Energy industry (partially)
• etc.

6. Evolving thought about big transformations…
• Georgescu-Roegen 1971: applied thermo-dynamics /
enthropy to economics,
• Paul Crutzen 2002: Athropocene... a new geological
epoch in which humans alter the planet
• Rockström et.al 2009: The nine planetary boundaries
• Steve Jobs 2011: “I think the biggest innovations of the
21st century will be at the intersection of biology and
technology. A new era is beginning.”
• Pope Francis 2015: Laudato si “… our Sister, Mother
Earth, …now cries out to us because of the harm we
have inflicted on her…”
6

7. Why Bioeconomy?
A global bioeconomy must rebuild natural capital and
improve the quality of life for a growing world population.
It should balance managing common goods, such as air,
water and soil, with the economic expectations of people.
Three types of innovation will be needed:
1. technological (such as systems to reduce emissions),
2. organizational (changes in institutional behavior), and
3. social (such as job creation)
El-Chichakli, von Braun, Lang, Barben. 2016. Five cornerstones of a global bioeconomy. Nature,
Vol. 535, pp. 221–223
7

8. Sustainable production and use of biological
resources, processes and principles to provide
products and services in all economic sectors.
Agriculture/Forestry/Fisheries, Food, Paper, Textiles, Building &
Construction, Paper, Chemistry, ICT, Pharma…
Plants, Microbes, Animals, Biodiversity,
Biotechnology, „C“ in CO2, biological knowledge
Defining the Bioeconomy

9. Bioeconomy – in pictures

10. 10
Examples of consumer products
Biomaterials in car
industry
Enzymes lowering
effective washing
temperate
Bioplastics
Implants made from
spider fibers
Biobased building
materials
New sugar substitutes
Biopharmaceuticals
based on proteins
Biofuels based on forest
residues, straw etc.

11. 11
Examples of industrial processes
• Bio-refineries (biomass to chemicals)
• Energetic use of waste
• Precision farming
• Blue Bioeconomy, aquaculture
• Controlled-environment agriculture (CEA)
• Phosphor recovery from waste water
• CO2 as industrial feedstock of 21st century?

12. 12
Biobased innovations for urban change
©Hoho Wien
©KOS Wulff Immobilien GmbH
Pictures from: www.biq-wilhelmsburg.de
©DUS Architects;
Wooden Highrise
Buildings
Algae Panels for Energy
Biobased and recyclable
3D-printed facade

13. 13
Hightech bioeconomic solutions
DNA-Computer
„Biomining“
Super materials
Bio-batteries
Bildnachweis: frank peters/Fotolia
Credits: Biocom AG
Credits: missisya/Fotolia
Credits: ymgerman/Fotolia
Biomimicry:
Airbus wing design
based on giant sea rose

14. Bioeconomy policies, strategies, theory and
measurement

15. Source: German Bioeconomy Council. (2015). Bioeconomy Policies – Synopsis of National Strategies in the World
Most of these
were
established in
past 6 years

16. Policy Strategies related to Bioeconomy Development
Source: German Bioeconomy Council. (2015). Bioeconomy Policies – Synopsis of National Strategies in the World

17. Major changes in:
1. Resource conditions and
availability
2. Consumer preferences
3. Science & technology
4. Sustainability concerns
Bioeconomy innovation is endogenous - driven by …

18. Major changes in:
1. Resource conditions and
availability
2. Consumer preferences
3. Science & technology
4. Sustainability concerns
… and responses:
Policy strategy & int. negotiations
(e.g. G7, COP21, SDGs)
Business strategies
(e.g. food industry, pulp & paper, ICT)
Science & technology initiatives
(e.g. climate science; agri-sciences, nano-
bio-info-cogno)
Bioeconomy innovation is endogenous - driven by …

19. Concepts of measuring progress in Bioeconomy
1. traditional: bioeconomy as a share of GDP and employment.
2. physical: share of renewable biobased content in the economy’s
products and services.
3. pervasive: outcome measures (reduced carbon emissions,
sustainability of water, soil, biodiversity, including non-price
measurement). Well-being of people.
Source: Justus Wesseler, Joachim von Braun. 2017. Measuring the Bioeconomy: Economics and Policies.
Annu. Rev. Resour. Econ. 2017. 9:17.1–17.24

20. Bioeconomy -
resource competition, complementarities, and
food security

21. Challenges
1. New economy-wide competitions for biomass:
Adverse impacts on food security & ecosystems?
2. Complementarities in value chains:
Enhanced economic efficiency and environmental
sustainability?
3. Participation:
Inclusion of small farmers and other small business?

22. • Food security & nutrition
• Health & well-being
• Clean water & sanitation
• Affordable & clean energy
• Economic growth
• Industry, innovation & infrastructure
• Responsible consumption &
production
• Climate action
• Life below water (aquatic resources)
• Life on land (terrestrial resources)
How does Bioeconomy Relate to SDGs

23. Food, Feed
Bioenergy,
& other
Biomass Use
Ecology,
Nature
Conflicting Goals in Bioeconomy

24. 24
(Above ground biomass) Zhao, Running, Science, August 20, 2010
Trend in global distribution of biomass

25. 25
Global Problem: Land- and Soil Degradation*
*taking account of Carbon-fertilization and precipitation variabilität
Quelle: Bao et. Al. ZEF, 2014 (Ableitung aus neuen Analysen zur NPP-Entwicklung)

26. Protecting and enhancing food security in the context of the
emerging bioeconomy?
policy actions:
1. Education, R&D for producing more with less
2. Zero-waste initiatives
3. Market-orientation in biofuels pricing, no fixed quotas
4. Standards for biomass production and trade
5. Efficiency in traditional bioenergy
6. Decentralized rural energy systems
7. Income opportunities for small producers in bioeconomy

27. African Opportunities
• The large resource base: biomass wealth
• Job creation in rural economy
• Growing science and innovation system: NARS;
Universities; NEF, CGIAR, African Acadmies, etc.
• Policy Initiatives: CAADP; G20 Initiatives with Africa
etc.
Value addition IN Africa; not resorce export of biomass
raw materials
27

28. Bioeconomy research agenda

29. Delphi study 2015: International
cooperation opportunities for 7 global
Bioeconomy innovation initiatives
Results of an international Delphi study, German Bioeconomy Council 2015
Vision: combining digitization with biologization of economies and industries

30. 30
“Making Bioeconomy Work for Sustainable Development”
I. Using renewable resources efficiently, ensuring food security and
protecting ecosystems
II. Making bioeconomy's contributions to Sustainable Development
Goals measurable
III. International collaboration in education, research and development
IV. Experience exchange on policies fostering private sector and market
development
V. Integrating bioeconomy in multilateral agendas (COP 21 and UN
Agenda 2030)
For more information see http://biooekonomierat.de/home-en.html
Communiqué of the Global
Bioeconomy Summit (Nov 2015, Berlin)

31. Save the Date
Opportunity to share experiences with bioeconomy governance
systems around the world, considering national diversities
http://gbs2018.com