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PBPC Speaker Series Discusses Advancing the U.S. Bioeconomy Through Smart Policy
The Plant Based Products Council recently convened leaders across agriculture, biomanufacturing and economics for a Speaker Series event to discuss one of the organization’s top priorities: the Biobased Materials Investment and Production Act.
The bipartisan legislation, introduced by Reps. Michelle Fischbach (R-MN) and Nikki Budzinski (D-IL) would create targeted tax incentives to expand domestic production capacity for renewable materials and chemicals.
Biobased Manufacturing Can Strengthen U.S. Supply Chains
America’s farmers and innovators are well-positioned to lead the next generation of renewable materials and domestic manufacturing. The Speaker Series made clear why that opportunity matters now: The U.S. bioeconomy already contributes nearly $489 billion annually to the economy, while consumer familiarity with plant-based products continues to grow.
The challenge is scale. New technologies and materials are advancing rapidly, but many companies still face a difficult gap between early-stage innovation and full-scale domestic deployment. The Biobased Materials Investment and Production Act would help bridge that gap through a 10-cent-per-pound production tax credit for eligible renewable products or a 30% investment tax credit for building or retrofitting manufacturing facilities.
Plant-Based Innovation Is Ready for Investment
Panelist Scott Irwin, University of Illinois agricultural economist, pointed to the pace of scientific advancement as a reason for optimism.
“I’m just struck that we may be in an era where some real leaps out in this part of the bioeconomy may be possible because of the incredible technology that’s coming out of the life sciences at the genetic level,” Irwin said.
That innovation, however, needs a durable policy framework. Irwin and other panelists emphasized that biomanufacturing projects require significant capital and long planning timelines. Without predictable incentives, companies may struggle to attract investment or choose to build elsewhere.
Tax Incentives Can Help Level the Playing Field
Brent Cutcliffe, co-founder and chief operating officer at Kemvera, explained that policy stability is essential for companies working to commercialize bio-based technologies.
“With the growing demand for bio-based products, there’s a lot of innovation in this space,” Cutcliffe said. “Tax incentives [are] crucial to investment decisions.”
Cutcliffe noted that margins in commodity markets are narrow, making a 10-cent-per-pound tax credit significant for companies competing against conventional incumbents with decades of infrastructure and process optimization behind them.
New Markets for American Farmers and Rural Communities
The legislation also reflects a core PBPC priority: ensuring that the growth of the bioeconomy benefits U.S. producers and rural communities. Jeremy Wilson, president of the Alabama Soybean and Corn Association, underscored the need to build domestic markets for American crops.
“If we don’t bring this in domestically, if we don’t do something like this, I think, long-term, bringing people back to farms, keeping family farms, keeping the farms in the U.S. could go away, and it could go away a lot faster than you think it could, because people are hurting right now,” Wilson said. “We don’t need to build our whole business model around exporting.”
Panelists also noted that new biomanufacturing facilities can create high-quality jobs and support small businesses in rural communities. By locating production closer to agricultural feedstocks, the industry can strengthen supply chains while expanding demand for crops such as corn and soybeans.
A Federal Policy Pathway for Bioeconomy Growth
The Speaker Series reinforced the central message behind the Biobased Materials Investment and Production Act: Smart, long-term federal policy can help unlock private investment, support U.S. manufacturing, and ensure that markets – not foreign governments – determine the future of this growing industry.
Global Competitors are investing heavily in development of biomanufacturing, but the United States still has an opportunity to lead. By scaling production at home, Congress can help make renewable materials, chemicals and products more accessible and affordable for American consumers while supporting farmers, innovators and rural economies.
A recording of the Speaker Series can be viewed on PBPC.com.
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