The Circular Bio-Based Europe Joint Undertaking (CBE JU) has awarded €172 million to 24 projects designed to expand sustainable bio-based industries across the continent. The funding will support 332 organizations from 32 countries working to develop alternatives to fossil-based products.
The initiative comes as Europe seeks greater independence from fossil resources while building economic resilience. The projects range from industrial-scale biorefineries to laboratory research, all focused on creating circular economy solutions using biological materials.
Four flagship projects will receive €68 million to construct Europe’s first industrial biorefineries of their kind. Among these, PACE will establish a facility in the Netherlands converting potato farming waste into fatty acids that typically come from palm oil. BIOWRAP will build Germany’s first CBE JU-funded production plant, creating compostable paper-based bubble wrap as an alternative to plastic packaging.
Eleven innovation projects received €75.2 million to scale up prototype technologies. Eight research initiatives were granted €27.4 million for laboratory testing, while one coordination project received €1 million to develop workforce training programs.
Small and medium-sized enterprises will receive 47% of the total budget, up from 25% in the previous funding round. This marks a significant shift toward supporting smaller innovators in the bioeconomy sector.
The 2025 call introduced rubber production as a focus area. Two projects will develop bio-based rubber from local sources: CHIHIRO will process guayule shrub waste, while RUBBIO will create rubber from starch-rich food waste like bread and potatoes.
Other funded projects target textiles and marine resources. TEX4GREEN received €7 million to develop bio-based coatings and dyes from lignin and industrial byproducts. BIG ALGAE was granted €7 million to cultivate macroalgae for products spanning food, cosmetics, and packaging.
The BIOSPARK project will establish educational centers across all 27 EU member states to train workers for bioeconomy careers.
The funding attracted strong interest, with 248 proposals requesting over €1.42 billion. Applications for innovation projects nearly doubled compared to 2024, suggesting growing industry readiness to commercialize bio-based technologies.
A 2026 call offering €170.7 million is currently open, with submissions due September 22
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