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Bipartisan legislation designed to strengthen biomanufacturing

Agriculture-based manufacturing is driving new job opportunities and the biobased products industry is an important contributor to the growth.

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On July 20, Sen. Amy Klobuchar (D-Minn.) introduced the Biomanufacturing and Jobs Act, designed to strengthen the USDA's BioPreferred program.

Co-sponsors of the bill included Joni Ernst (R-IA), Debbie Stabenow (D-MI) and Pete Ricketts (R-NE).

The term "biobased product" means a product determined by the USDA to be a commercial or industrial product (other than food or feed) that is composed, in whole or in significant part, of biological products, including renewable domestic agricultural materials, renewable chemicals, and forestry materials; or an intermediate ingredient or feedstock.

Biobased products are derived from raw materials such as plants and other renewable agricultural, marine and forestry materials and generally provide an alternative to conventional petroleum-derived products. These include a range of offerings such as lubricants, detergents, inks, fertilizers and bioplastics. Biobased products do not include food, feed or fuel.

According to information released by Klobuchar’s office, the legislation would:

  1. Strengthen markets for farmers while also supporting good-paying manufacturing jobs.
  2. Allow the Secretary of Agriculture to set acceptable price premiums under the program.
  3. Require each federal agency to increase their procurement of biobased-only contracts or biobased volume purchased under those contracts.
  4. Improve reporting of biobased products that are purchased through online federal procurement systems.

In November 2022, at a Senate Committee on Agriculture, Nutrition and Forestry hearing, Klobuchar highlighted the importance of biofuels and showed support for the BioPreferred Program. 

“Biomanufacturing is crucial for  developing new commodity markets, driving economic growth, and creating jobs,” said Klobuchar. “I’m proud to lead this bipartisan effort to support our farmers while reducing our dependence on fossil fuels with Senator Ernst, Senator Ricketts, and Senator Stabenow, who has been a longtime champion for the Biopreferred program.” 

In February 2022, Klobuchar and Stabenow led a letter to the Secretary of Agriculture to invest in biobased products. 

"We are positioned to lead the world in biobased innovation through new renewable chemicals, biobased plastics, and other products that reduce our dependence on petroleum and create new markets for our farmers and growers," said Stabenow. "The Biomanufacturing and Jobs Act will build on this progress by improving federal purchasing of biobased products and providing a stable market for our nation’s farmers."

John Bode, president and CEO, Corn Refiners Association, noted America’s food and agriculture industries are responsible for nearly 20% – or $8.6 trillion – of the nation’s economic activity.

"Agriculture-based manufacturing is driving new job opportunities nationwide and the biobased products industry is an important contributor to that growth," said Bode. "The ag bioeconomy presents one of the most promising and innovative opportunities to bolster rural economic development, while simultaneously addressing supply chain and climate challenges."

The Biomanufacturing and Jobs Act is endorsed by Agriculture Energy Coalition, American Farm Bureau Federation, American Soybean Association, Clean Fuels Alliance American, Corn Refiners Association, National Association of State Departments of Agriculture, National Corn Growers Association, National Farmers Union, National Industrial Hemp Council of America, National Hemp Association, Plant Based Product Council and Renewable Fuels Association. 

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