The Role of Industrial Biotechnology in Boosting the Italian Bioeconomy Mario Bonaccorso Assobiotec IEA BioEnergy- Sassari, 5 May 2015 Assobiotec: who we are Created in 1986 within Federchimica, Assobiotec is the Italian Association for the development of Biotechnology and represents today: More than 140 Associates Our Associates are companies and science parks involved in research, development, testing, manufacturing and commercialization of biotechnology applications www.assobiotec.it AGENDA Is Italy doing well in the Biotech Sector? Bioeconomy in Italy and in EU Bioeconomy or Bio(t)economy? Conclusions Is Italy doing well in the Biotech Sector? The Italian Biotech Sector Number of companies Companies R&D employees Biotech turnover R&D investments Total Pure Biotech 422 6.626 7,050 mln € 1,517 mln € 264 2.457 1,490 mln € 438 mln € Source: Ernst & Young – Assobiotec, BioInItaly Report 2014 International Benchmarking Italy is third in Europe in terms of pure biotech companies Source: Ernst & Young – Assobiotec, BioInItaly Report 2014 Small and Micro Companies are the Majority Total biotech companies Pure biotech companies Source: Ernst & Young – Assobiotec, BioInItaly Report 2014 Geographic Distribution Total Biotech Companies Biotech companies are mainly concentrated in Northern and Central Italy Lombardy is the region with the highest number of biotech companies (127) Source: Ernst & Young – Assobiotec, BioInItaly Report 2014 Analysis by Application Field Comparison between years 2012 and 2013 Source: Ernst & Young – Assobiotec, BioInItaly Report 2014 WHITE and GREEN Biotech Green White Companies R&D employees Biotech turnover R&D investments Companies R&D employees Biotech turnover R&D investments Total Pure Biotech 94 843 147 mln € 106 mln € 66 506 78 mln € 48 mln € 69 567 241 mln € 29 mln € 41 535 238 mln € 24 mln € Source: Ernst & Young – Assobiotec, BioInItaly Report 2014 Bioeconomy in Italy and EU Production value: 1200 billion euro in EU5… Production value of bioeconomy in Europe (Million euro, 2011) Italy Germany France UK Spain EU5 52,419 50,760 86,409 30,310 45,747 265,644 49,618 45,730 78,813 27,162 n.d. n.d. Forestry 690.7 4,560 5,475 1,574 n.d. n.d. Fishery 2,110 470 2,121 1,574 n.d. n.d. 154,185 89,372 105,051 643,143 Agriculture, Forestry, Fishery of which: Agriculture Food 123,165 171,370 Wood 17,369 22,740 10,709 7,401 7,108 65,327 Paper and pulp 24,207 39,550 17,803 13,603 14,682 109,846 Bio-chemicals 19,796 56,154 28,854 13,696 13,608 132,107 Bio-economy 241,311 330,484 295,366 154,986 186,617 1,208,765 Source: our estimates on Eurostat data 12 …with a important contribution of agro-food industry in Spain, France and Italy Bio-economy weight on total production (%, 2011) 12,0 10,0 Agriculture, Forestry, Fishery Food Wood Paper and pulp Bio-chemicals 8,0 6,6 0,74 7,6 7,1 0,76 0,74 6,0 4,0 9,8 0,92 4,8 8,1 0,8 0,72 0,5 0,8 0,6 0,8 0,44 0,4 2,0 0,0 UK Germany EU5 Italy Source: our estimates on Eurostat data 13 France Spain Bioeconomy or Bio(t)economy? Industrial Biotechnology Industrial biotechnology has been recognized as a key enabling technology to address the challenges we are facing today Bioeconomy companies revolve entirely around industrial biotechnology. Focus is the development of processes and products from renewable resources. Global challenges and role of biotech Increase of world population (9 billion by 2050 with +70% of food demand) Food safety and food security; functional food, new drugs Post-petroleum society Energy from renewable sources and bioproducts Climate change Biotech crops (water-savings) Environmental pollution Bioremediation (microorganisms, bacteria, etc.) Italy as cradle of the new Industrial Renaissance Renaissance, a period of great cultural change and achievement that began in Italy during the 14th century and lasted until the 16th century, marking the transition between Medieval and Early Modern Europe Design for a flying machine Codex Atlanticus f.844r is a drawing by Leonardo da Vinci Italy is a country with great players in the bioeconomy Mater-Biotech company, entirely controlled by Novamont, represents the start-up of the Novamont Biotechnology Platform. The BioItalia site in Adria (RO) will be converted into the first plant in the world dedicated to the industrial production of Butandiol (BDO) from renewable resources. In 2012 Novamont acquired a business unit of Tecnogen at Piana di Monte Verna (Caserta), a biotechnology research center supervised by the Sigma Tau Finanziaria SpA, that had already been put in liquidation. Novamont objective is to integrate this important Italian know-how in the field of Industrial Biotechnology with the research and development programs, in order to develop new national supply chains starting from agricultural scraps for the production of raw materials and chemical intermediates. Proesa™ belongs to the so-called “second-generation” technologies which allow the use of the sugars present in lignocellulosic biomass to obtain fuel and other chemicals with lower greenhouse gas emissions and at competitive costs compared to fossil fuels (oil, natural gas). It is the result of an investment of over 150 million Euro, started by Biochemtex in 2006. The Proesa™ technology was designed to use non-food biomass, like rice straw and sugarcane bagasse. Thanks to the efficiency of the Proesa™ process, non food sugars can be obtained at competitive costs and without incentives, thus enabling a widely spread use of bio-products from renewable sources. Beta Renewables announced that it won the ACHEMA 2012 Innovation Award in the category of Biotechnology for its PROESA® technology. The award, presented by PROCESS, honors the most innovative technologies at ACHEMA, a major conference for the chemical engineering, environmental protection and biotechnology industries. Over 100 companies applied for awards in ten categories. Winners were picked according to innovation, usability, quality, efficiency and economy. Its “aim is to work in the field of the modern biotechnologies applied to widely used materials, with the “intention to create 100% natural products/solutions based on renewable resources or agricultural processing waste materials”. The main product of Bio-On is MINERV-PHA, a high-performance PHA biopolymer, that is particularly suitable for injection and extrusion methods for the production of objects. It takes the place of highly pollutant materials such as PET, PP, PE, HDPE and LDPE. EuropaBio’s Most Innovative Biotech SME Award in 2014. Agreements with Magna International (automotive), Eridania Sadam (biobased levulinic acid from byproducts of sugar industry) and Pizzoli (bioplastic using waste from potato industrial process) Spike Renewables is a recently established Company composed by scientists and engineers from the University of Florence, Spike is member of RE-CORD Renewable Energy Consortium for R&D. The Company is particularly focused on bioenergy and biofuels. The technologies on which Spike has a specific expertise are biomass thermochemical conversion (torrefaction, pyrolysis, gasification) and biofuel processes, both first and second generation biofuels. Spike is participating in the design of two industrial scale advanced biofuel production plants from microalgae (under construction in Italy and Chile) Agroils Technologies focuses on the development and commercialization of its patent-pending process enabling the production of superior quality biofuels, animal feed and molecules of pharmaceutical interest from drought-resistant energy crop Jatropha curcas. The process does not require the use of fossil based alcohols; it is modular, fully scalable, cost competitive & environmental friendly. The company has its headquarters in Florence, an R&D facility in California and it has installed its first pilot plant in Dominican Republic, where it produces Biodiesel from Jatropha and waste vegetable oils collected from local restaurants and fast-foods. Sacom uses biological organisms to solve environmental problems such as contaminated soil or groundwater. Sacom was founded in 1981 to distribute agricultural products in the regional market. Since 1992 its activity has been focused on the production of fertilizers and products for agriculture. After the acquisition of ELEP S.p.A. subsidiary, the production has also been extended to Green Biotechnologies for agricultural use like microorganisms and mycorrhizae. Today Sacom’s core business is Green Biotechnology for agricultural use and fertilizers production and marketing. Chemistry and Biotechnology Industrial Biotech company which are partners of Italian Chemical Industry: Novozymes (DK) Beta Renewables 20% of shares and Cellic enzyme Genomatica (USA) Novamont (JV Mater Biotech) bioBDO (butanediol) Genomatica (USA) Versalis biobutadiene from non food biomass engineering organisms fermentation Yulex (USA) Versalis (and Pirelli) guayule-based biorubber extraction technology Conclusions WITHOUT BIOTECHNOLOGY THERE IS NO BIOECONOMY THE BIOECONOMY IS A REALITY IN ITALY AND A GREAT OPPORTUNITY TO RETURN TO GROWTH, RECONCILING ECONOMIC GROWTH, RURAL DEVELOPMENT, NEW HIGHSKILLED JOBS AND ENVIRONMENTAL SUSTAINABILITY. ITALY HAS EXCELLENT ENTREPRENEURS AND RESEARCHERS. IN THE INDUSTRIAL BIOTECHNOLOGY SECTOR ITALY IS DOING WELL WE NEED A STRATEGIC NATIONAL PLAN ON BIOECONOMY a. Agrofood Activities b. Marine & Maritime Activities c. Biorefineries d. Domestic and non-domestic wastes used as resources e. Transformation of biological materials from algal cultures and microrganisms See you in Lodi at IFIB 2015 (24-25 September 2015) www.ifib2015.talkb2b.net @assobiotec Mario Bonaccorso www.assobiotec.it [email protected] GREEN Biotech Green biotech covers a number of modern techniques with various potential applications, ranging from improving specific plant varieties to checking the origin and quality of food, and extracting bioactive substances which are available in nature only to a limited extend Nowadays, more than ever, growing the agricultural production in a sustainable manner, without increasing cultivated land, preserving biodiversity and reducing water consumption, chemical input and greenhouse emission is felt as a tangible need The introduction of the new techniques of genetic engineering have drastically changed the perspective of improving the productivity and the quality of a number of plant varieties, fully respecting the sustainability and the quality of the entire food chain WHITE Biotech White biotech makes an increasingly important contribution to the development of a sustainable biobased economy, by using enzymes and micro-organisms to obtain innovative products in the chemistry, paper, textiles and energy sectors White biotech could also provide new chances to the chemical industry by allowing easy access to building blocks and materials not easily accessible before, and have a considerable impact in the production of biofuels and biopolymers, by using biomass as an alternative to fossil resources