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Global Biomanufacturing Capacity Must Grow 20X to Reach Industry Growth of $200 Billion by 2031, Says New Report – vegconomist

A recent report, co-authored by the New York-based biotech firm Synonym and Boston Consulting Group, has outlined a roadmap for the biomanufacturing industry, predicting a potential explosion to a $200 billion market in specialty sectors over the next ten years.

The report Breaking the Cost Barrier on Biomanufacturing encourages the transition to biomanufacturing to address issues of sustainability and cost-efficiency in current industrial production methods.

However, the report’s estimated $200 billion market value is focused on precision fermentation to produce food ingredients, chemicals, and chemical precursors. According to the authors, the figure is considered conservative and reflects only a fraction of the potential for growth within the industry.

“The big problem—and the reason that precision fermentation remains an underused technology despite continuing advances in genome engineering and strain development—is the high cost of production, which stems from adherence to rigorous standards to ensure high quality,” reads the report.

A recent report, co-authored by the New York-based bitech firm Synonym and Boston Consulting Group, has outlined a roadmap for the biomanufacturing industry, predicting a potential explosion to a $200 billion market in specialty sectors over the next ten years.
© Synonym

Breaking the cost barrier

Since the key obstacles to achieving widespread biomanufacturing success are production capacities and costs, the report emphasizes that for the industry to reach its full potential, biomanufacturing capacity must increase twenty-fold from the current 50 million liters globally, necessitating immediate investment from potential stakeholders.

“Now is the time for investors to seed the infrastructure needed for this future”

Central to the report is establishing biofoundries — large-scale, standardized fermentation facilities that offer economies of scale. Its proposed roadmap envisions the creation of 1,000 biofoundries worldwide, each with a capacity exceeding 2 million L, for a combined total of 2.4 billion.

Therefore, the authors argue that now is the right moment to invest in infrastructure for sustainable biomanufacturing, positioning the industry for growth and success. 

“Now is the time for investors to seed the infrastructure needed for this future—a future promising better stuff that’s also better for our planet and our own health,” comments Joshua Lachter, Synonym’s co-founder.

Formo eggs in pan
© Formo

Transitioning to sustainability

Large-scale biomanufacturing aligns with global sustainability goals, allowing companies to transition from animal and fossil-fuel-based manufacturing to low-carbon, sustainable alternatives. 

The report notes that 4,100 of the world’s largest companies have set transition goals in line with the 1.5 °C goals of the Paris Agreement, with many nations continuing to pledge to move away from fossil-fuel-facilitated manufacturing methods.  The report argues that biomanufacturing offers a clear benefit to companies striving to reach those targets.

Another example is US President Joe Biden, who has committed to utilizing biomanufacturing pathways for 30% of the country’s chemical demand by 2043. 

Breyers chocolate ice b¡cream made with animal-free whey
© Perfect Day

A catch-22 situation

Lastly, the report presents biomanufacturing as a straightforward solution to industrial production challenges and analyzes opportunities for the sector to deliver economically viable bioproducts for mass adoption.

“Our findings offer fascinating clarity on the pathway to non-pharma commercial biomanufacturing in the short term. While our figures appear conservative compared to some analyses, the biofoundry model detailed by Synonym offers a clear route primed for robust investment immediately,” shared Jean-François Bobier, Partner, Deep Tech, at the Boston Consulting Group and a lead author of the report.

“The industry is facing a catch 22 situation: latent demand needs lower costs, which require large scale—which requires firm demand,” he added.

The report can be downloaded here.

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