From Innovation to Market: How EU-funded bioeconomy projects are strengthening Europe's competitiveness

Across Europe, bioeconomy innovations are moving beyond the pilot phase and entering the market - strengthening European Union (EU)'s value chains, supporting regional industries, and contributing to Europe’s long-term competitiveness. 

17 bioeconomy projects (representing €70 million in investment), supported under the Interregional Innovation Investments (I3) Instrument, are already delivering results. From sustainable fertilisers to algae-based products and smart manufacturing, bio-based innovations are helping to build more resilient and circular industrial ecosystems and reduce strategic depencies.

From regional innovation to European value chains

A key challenge for Europe remains scaling innovation across regions and integrating it into strong, competitive value chains. In this context, the Interregional Innovation Investments (I3) Instrument plays a key role by supporting interregional collaboration and helping regions scale up mature innovations into market-ready solutions.

Three standout I3 Instrument projects - I3-4-BIOFERTILISERS, I3-4-SEAWEED, and IGNITE LDR - presented at the CBE JU Networking Event, exemplify how Europe can turn innovation into market-ready solutions by bridging regions, sectors, and actors — while advancing its competitiveness and green transition objectives.

I3-4-BIOFERTILISERS: REVOLUTIONISING SUSTAINABLE AGRICULTURE The Challenge Modern agriculture heavily relies on chemical fertilisers, which degrade soil health, contribute to pollution, and increase farmers' costs. Europe needs scalable, sustainable alternatives to reduce dependency on chemical inputs. The Solution The I3-4-BIOFERTILISERS project is developing bio-based fertilisers and biostimulants that improve soil fertility, enhance crop resilience, and support circular agriculture. With €6.9 million in EU funding, the project brings together eight investment cases across several EU regions (Italy, France, Portugal, Spain, and Belgium), each focused on demonstrating and scaling up innovative biofertiliser and biostimulant solutions.  Key Impacts Market-ready alternatives – Accelerating the shift from chemical to bio-based fertilisers, reducing environmental harm. SME support – A €1.8 million cascade funding scheme helps 30 SMEs develop feasibility studies, investment plans, and go-to-market strategies. Knowledge sharing – Provides mentoring, pilot testing infrastructures, and advisory services, helping SMEs overcome technical and market barriers and scale up their solutions.

I3-4-SEAWEED: UNLOCKING THE POTENTIAL OF EUROPE'S BLUE BIOECONOMY The Challenge Seaweed is an underutilised marine resource with vast potential applications for food, cosmetics, biofertilisers, and bioplastics and an enormous growth potential. The Solution The I3-4-SEAWEED project is transforming seaweed into high-value bio-based products, with €6.8 million in EU funding. Spanning 13 European regions - including Less Developed Regions (LDRs) and outermost areas like the Canary Islands - the project supports 16 partners in developing scalable seaweed-based solutions. Key Impacts New bio-based products – From algae-based food supplements to sustainable cosmetics and fertilisers. Coastal economic growth – Boosting local seaweed farming and processing industries, creating jobs in rural and maritime communities. SME acceleration – A €1.8 million cascade fund supports 28 SMEs and start-ups, alongside mentoring, technical assistance, and pilot infrastructure access. Long-term innovation hub – Establishment of a “Seaweed Food Innovation Network Center” to sustain knowledge exchange across regions.

IGNITE LDR: DIGITALISING MANUFACTURING IN EUROPE'S LESS DEVELOPED REGIONS The Challenge Many of Europe’s Less Developed Regions (LDRs) struggle with outdated manufacturing processes, limiting their competitiveness in global value chains. Industry 4.0 technologies - such as AI, robotics, and IoT - could revolutionise production, but SMEs often lack the resources to adopt them. The Solution IGNITE LDR is accelerating the digital transformation of manufacturing in Less Developed Regions across Europe. Bringing together 23 partners from 14 countries the project helps SMEs integrate smart technologies to improve efficiency, reduce waste, and integrate into European industrial value chains, while adopting circular economy principles. Key Impacts Six industrial demonstrators – Showcasing AI, robotics, and IoT in sectors like packaging, plastics, and textiles in several European regions (PL, PT, BG, IT, GR, RO). SME digitalisation – A €1.8 million cascade fund supports 10–15 SME-led sub-projects, with structured training, technical support, and access to digital testbeds. Stronger value chains – Connects regional SMEs with leading innovation hubs, ensuring knowledge transfer and market access.

Strengthening competitiveness through collaboration

These projects highlight how interregional cooperation can directly contribute to Europe’s competitiveness by:

• Connecting innovation ecosystems across borders
• Supporting SMEs in bringing solutions to the market
• Directing investment where it can have the highest impact
• Building a pipeline of scalable, investment-ready projects 

Background

The Interregional Innovation Investments (I3) Instrument, funded by the European Regional Development Fund, supports interregional innovation projects to scale up mature solutions and strengthen Europe’s competitiveness. By focusing on high-TRL investments (TRL 6–9), the Instrument contributes to building resilient EU value chains, reducing innovation gaps, and supporting the integration of less developed regions into European industrial ecosystems.