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The other biobased products however, in contrast to biofuels, suffer from a lack of tax incentives or other supporting regulations. Although research and innovation have reached a stage where products are ready for market introduction, renewable raw materials are only used in certain product categories. A few examples of specific policies that have been developed to promote the use of biobased products include: • In Europe, the European Commission is developing a demand-based innovation policy for biobased products. The aim of the so-called Lead Market Initiative (known as LMI) for biobased products is to promote and stimulate innovation by strengthening the demand base. The added value of the LMI is about developing a prospective, concerted and tailored approach of regulatory and other policy instruments, including legislation, public procurement, standardisation, labelling, certification, and comple- mentary instruments. Although an advisory group has developed a series of recommendations to stimulate market uptake and development, these measures still have to be implemented. Other national demand-driven policies often focus on the sustainability agenda (including green public procurement) and are often implemented as a mix of public procurement procedures, legislation and direct financial incentives. • In the United States, the BioPreferred programme aims to increase the purchase and use of renewable, environmentally friendly biobased products. • In Japan, in 2002 the government initiated the Biomass Nippon Strategy, requiring that 20% of all plastics consumed in the country be sourced renewably by 2020. This prompted Toyota, NEC and others to accelerate levels of R&D into biobased plastics and to raise the biobased content of their products. Biobased chemicals and bioplastics benefit from usage, waste management, and labelling legislation. • In China, support for biobased chemicals includes numerous incentives for producers and a preferential tax treatment for selected firms in emerging biochemical industries. In addition, since 2005, a specific programme promotes production and consumption of biodegradable plastics. • In Korea, the government supports the use of biodegradable materials in refuse bags and fishing nets. One-time use products cannot be made from conventional plastics, and polystyrene is banned in food packaging. 22 INDUSTRIAL BIOTECHNOLOGY AND CLIMATE CHANGE: OPPORTUNITIES AND CHALLENGES – © OECD 2011PDF Image | Industrial Biotechnology and Climate Change
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