Memphis' and the Mississippi Delta's Opportunity in the $140 Billion Bioeconomy Highlighted in 5-State Regional Study

Memphis Bioworks Foundation Sponsored Study Provides Blueprint for50,000 Biobased Jobs, Green Business and Growth of Industrial Biosciences

Memphis Bioworks Foundation
Aug 26, 2009

The Memphis Bioworks® Foundation today announced the conclusion of the "Regional Strategy for Biobased Products in the Mississippi Delta," a 5-state, 98-county examination of the potential for agriculture and forestry revitalization through the development of new markets, and the related industrial biotechnology opportunities in the region. The study, conducted by the Battelle Technology Partnership Practice, was initiated by Memphis Bioworks Foundation and included participation from companies and organizations across Arkansas, Kentucky, Mississippi, Missouri, and Tennessee.

The purpose of this report is to uncover the existing strengths, identify potential opportunities and shed light on the current and future role of Memphis and the region in a growing and vital bio segment--in this case bio-agriculture and its related biobased industries. The study area covered 36 million acres (56,000 square miles) and the Memphis metro area as the urban industrial, processing and logistics center for the region.

"This study gives us a remarkable snapshot of our assets and potential in one of the most important growth areas in the biosciences and in business overall, and where Memphis and our region fits in that picture," said Dr. Steven J. Bares, executive director, Memphis Bioworks Foundation. "As the world economy focuses on what can be done to make better use of sustainable resources and become less dependent on fossil fuels, this study shows that we are very well positioned for leadership."

The Memphis Bioworks Foundation and the study partners in the other four states can secure a key leadership role in the emerging multi-billion global bioeconomy by leveraging its assets and attracting technology partners from outside the region. The basis of the bioeconomy is the utilization of renewable biological raw materials--called biomass--that replace petroleum through clean manufacturing processes. Biomass refers to agricultural crops and forestry materials which can effectively harness solar energy and through photosynthesis convert it into a range of useful products based around key plant components such as carbohydrates, fatty acids, proteins, sugars, and starches. These can serve as the chemical building blocks to replace petroleum in many products such as biofuels, green chemicals, novel polymers, and biomaterials. The bioeconomy sits at the intersection of established industries such as agriculture, biotechnology and chemistry and merges them to create this new sector which is already valued at over $140 billion in global sales (Third Time Lucky; The Economist, June 4, 2009).

Among other things the comprehensive study concluded:

Sustainably grown and harvested biomass in the 98-county region can adequately supply an $8 billion USD biofuels and biobased products industry without affecting the food and feed supply chain.

The transformation to a bioeconomy will support more than 25,000 green and supporting jobs during the next 10 years, and more than 50,000 jobs within the next two decades related to bioprocessing and its supply chain in both rural and urban locations.

The bioeconomy will open up markets for new crops which will increase biodiversity in the region, leading to reduced use of synthetic fertilizers, agricultural chemicals, and water, while increasing options for local farmers.

The bioeconomy will contribute to reducing greenhouse gas emissions, increased air quality, providing sustainable raw materials for local industries, and bolstering national security.

"Memphis and the region are in a unique position to both build on the past and literally plant seeds for the future," added Bares. "With the adaptive re-use on the industrial side--repurposing, reutilizing and redeveloping infrastructure in a way that makes Memphis a key player in green industrial jobs--and with a focus on new energy crops across the region that make better use of agricultural resources for our farmers so they are able to capitalize on the changing green economy, we create an energy and economic development tool that will be rivaled by regions across the globe."

The study pointed out that preparation and growth of a reliable and skilled workforce in renewable energy and biobased product processing is essential to fully exploit the regional industrial bioprocessing opportunity. It will require workforce development, infrastructure development and entrepreneurism.

"One element that makes our economic development and job potential so compelling is the vast diversity of jobs and skill levels that will be needed," added Bares. "Certainly there are jobs on farms, but just important are the jobs in factories, production facilities, in logistics and transportation, in laboratories and in the offices of the new businesses that will develop."

The study identified bioprocessing green jobs as "Quality jobs with opportunities for career advancement in companies that provide goods or services that improve the environment or contribute sustainability. The production of biobased products will create a unique mix of green jobs in both rural and urban areas."

"For Memphis, this study makes it clear that we have a dual role. One is to take advantage of our own underutilized industrial capacity, our strong business infrastructure and our unique agricultural assets and to develop them. The second is to provide a regional approach that builds strong collaborations," said Bares.

Copies of the Regional Strategy for Biobased Products in the Mississippi Delta executive summary and full report are available at www.agbioworks.com or contact Ralph Berry at rberry@thompson-co.com.

Memphis Bioworks Foundation
The Memphis Bioworks Foundation is a not-for-profit organization, formed to lead the collaboration between public, private, academic and government entities to accelerate the growth of the bioscience industry in the region. Memphis Bioworks strives to leverage and expand the regional strengths in the biosciences through education, research, job training, and commercialization. Memphis Bioworks is leading the development of the UT-Baptist Research Park, which serves as the focal point of the city's biomedical economic development. For more information, visit www.agbioworks.org or www.memphisbioworks.org.

Special Thanks to the primary funders of this regional partnership in Tennessee: Tennessee Department of Agriculture and the MemphisED/Memphis Fast Forward. For a full listing of participants in the study, see the first pages of the executive summary.