Domestic Next-Gen Feedstocks: Revolutionizing the Bioeconomy (Part 2 of 2)

By Jennifer Kaplan

In Part 1 of our series on next-gen feedstocks, we explored the exciting potential of agricultural byproducts in the bioeconomy. Now, let’s dive into the challenges, opportunities, and systematic approach used to analyze the viability of these innovative feedstocks.

Challenges in Harnessing Next-Gen Feedstocks

While the potential of next-gen feedstocks is enormous, several complications need to be addressed to make them a reality:

1. Variability in Composition: Unlike traditional feedstocks, next-gen options can vary significantly in their chemical composition, making standardization challenging. Robust testing of multiple batches and location sources can help address this.
2. Collection and Logistics: Many of these byproducts are geographically dispersed, making efficient collection and transportation a significant hurdle. Co-location of facilities near production hubs and strong partnership relationships are needed to minimize collection and logistics risks.
3. Technology Adaptation: Next-gen feedstocks often require specialized pretreatment processes to make them suitable for biorefining, adding complexity and cost. Existing biorefining technologies may need to be adapted or entirely new processes developed to process these diverse feedstocks efficiently. Thorough due diligence and upfront technology testing and adaptation are essential before long-term commitment to a next-gen feedstock can be made.
4. Market Development: New markets must be created and developed for the products derived from these feedstocks. Product-market fit should be analyzed and confirmed before embarking on new product development.
5. Regulatory Hurdles: As new feedstocks and processes emerge, regulatory frameworks must evolve to ensure safety and environmental protection while fostering innovation. This is especially significant in the food and agriculture sectors.
6. Economic Viability: The cost of processing next-gen feedstocks must be competitive with traditional fossil-based products and first-generation bioproducts. Robust techno-economic analyses (TEAs) are table stakes before resources are invested.
7. Integrating Economics and Environment: Combining TEAs with Life Cycle Assessments (LCAs) is vital for evaluating the viability of a next-gen feedstock. An integrated approach can balance cost-down activities with environmental impacts. This is essential to creating economically viable and sustainable strategic planning while preventing unintended environmental impacts.
8. Scale-up Challenges: Moving from laboratory success to commercial-scale production presents significant engineering and economic challenges like all new technology.

These challenges also present opportunities for innovation within the bioeconomy. From developing more sustainable feedstock and efficient processing technologies to creating new supply chain models, there’s room for entrepreneurship and scientific advancement at every turn. The bioeconomy is driving collaboration between sectors that traditionally didn’t interact, fostering interdisciplinary innovation to overcome these hurdles.

Analyzing the Viability of Next-Gen Feedstock

A systematic approach is helpful to evaluate the potential of next-gen feedstocks. Here’s how to create a streamlined process to screen potential next-gen feedstock sources based on key parameters:

1. Availability and Volume: Quantify total production, assess seasonal variations and geographical distribution, and evaluate competing uses and valorization markets.
2. Composition Analysis: Determine chemical composition, identify valuable compounds, and assess variability across sources or seasons. 
3. Processability: Evaluate ease of collection and transportation, assess storage stability and pretreatment requirements, and determine compatibility with existing biorefining technologies.
4. Product Potential: Identify possible high-value products, assess market demand and potential pricing, and consider multiple value streams.
5. Economic Feasibility: Estimate costs, compare production costs with potential revenue, and assess capital investment requirements.
6. Environmental Impact: Conduct LCAs or product-level carbon footprints, consider land use changes and soil health impacts, and assess the potential for GHG emission reduction.
7. Regulatory Landscape: Identify regulatory barriers or incentives, consider food safety regulations, and assess compliance with existing standards.
8. Scalability: Evaluate potential for scaling up and consider adaptability to different scales of operation.
9. Competitive Advantage: Compare performance against established alternative valorization markets, identify unique selling points, and assess potential for intellectual property protection.
10. Stakeholder Acceptance: Gauge partnerships in terms of willingness and capacity to make commitments, assess customer acceptance, and consider potential partnerships along the value chain.

Case Study: Rice Hulls as a Next-Gen Feedstock

Let’s apply this framework to rice hulls as an example:

1. Availability: 1.8 million tons annually in the US with consistent production.
2. Composition: Rich in silica and lignocellulosic material.
3. Processability: Easy to collect at rice mills but may require specialized handling due to silica content.
4. Product Potential: Possible uses in construction materials, energy production, and as a source of silica for various industries; technology still in development to unlock sugars.
5. Economic Feasibility: Low acquisition cost, but processing may require investment in specialized equipment.
6. Environmental Impact: Utilization reduces waste and can potentially lower carbon footprint.
7. Regulatory Landscape: Generally favorable, with increasing interest in bio-based materials.
8. Scalability/Logistics: Good potential due to centralized production (Arkansas/Louisiana and California) and consistent annual production.
9. Competitive Advantage: The high silica content in rice hulls provides unique benefits for specific applications, such as construction materials. However, this same characteristic limits their use in other areas, like animal feed or biofuel production. As a result, the supply of rice hulls often exceeds the current demand for silica-rich agricultural byproducts.
10. Stakeholder Acceptance: Growing interest from both rice producers looking to valorize waste and industries seeking sustainable material alternatives.

This analysis suggests that rice hulls have strong potential as a modest-volume next-gen feedstock, particularly in applications where silica is not an obstacle. 

The Bigger Picture: Circular Bioeconomy

The push to utilize next-gen feedstocks is part of a more significant movement towards a circular bioeconomy, where waste is minimized, and resources are used to their fullest potential. This concept ensures that bio-based products are designed for durability, reuse, and eventually biodegradation or recycling.

Looking Ahead: The Future of Next-Gen Feedstocks in the Bioeconomy

As research continues and technologies improve, we can expect to see even more innovative uses for next-gen feedstocks within the bioeconomy. These diverse agricultural byproducts are crucial in addressing global challenges such as climate change, resource scarcity, and food security.

The next time you encounter an agricultural “waste” or by-product, remember – it might just be the next-gen feedstock fueling our transition to a more sustainable, bio-based future. The agricultural industry isn’t just feeding the world; it’s helping to reshape it, one byproduct at a time, driving the evolution of the bioeconomy with an exciting new generation of feedstocks.

One Last Thought

As consultants in the bioeconomy sector, we recognize that while next-gen feedstocks offer exciting possibilities, their successful implementation requires thorough, expert analysis. The economic viability, scalability, and environmental impact of these feedstocks vary widely and demand rigorous assessment. Our experience shows that each feedstock presents unique challenges in collection, processing, and regulatory compliance. Moreover, the technology readiness levels differ significantly across applications. A comprehensive evaluation, including detailed techno-economic analyses and life cycle assessments, is crucial for any organization considering investment in next-gen feedstocks. By leveraging professional expertise, stakeholders can navigate the complexities of this evolving landscape, mitigate risks, and identify the most promising opportunities in the transition towards a circular bioeconomy.

© 2024 | Jennifer Kaplan​​​​​​​​​

This piece also appeared in BiofuelsDigest.