Bio-based products: a rapidly changing market

March 2025

Agence pour l’Environnement et la Maîtrise de l’Energie (ADEME)

Materials derived from living organisms to replace fossil fuels

Bio-based products are made from biomass, i.e. renewable organic materials. They are mainly plant-based, but can also be of animal origin (wool, leather) or derived from lesser-known resources such as fungi or micro-organisms, used in fermentation chemistry, for example. These materials can replace fossil resources in many industrial sectors.

‘Since around 2018-2019, the growth of bio-based products has exceeded that of petroleum-based products, and certain markets, such as cosmetics, are already largely dominated by these sustainable alternatives,’ explains Florian Rollin, bio-based product engineer at ADEME and lead author of the study, which was carried out by the CERESCO, B4C and FRD-CoDEM consortium. In total, bio-based products account for 4.4% of the global market in terms of volume and 10.8% in terms of turnover. In a market still dominated by fossil-based materials, this rapid breakthrough reflects a real interest, with bio-based products becoming essential in certain sectors.

A double advantage: ecological and economic

One of the main benefits of bio-based products is their ability to decarbonise the economy. ‘By replacing fossil resources with biomass produced in France, they reduce our dependence on imports and lower the carbon footprint of products,’ explains Florian Rollin. In addition, they promote the local economy and industrial sovereignty by making use of resources available in the region. France is 90% covered by forests and agricultural land, enabling it to exploit a wide variety of resources, such as flax and hemp, of which it is one of the leading European producers. In the textile industry, these two plants are a more environmentally friendly alternative to cotton and synthetic fibres. Their natural fibres are valued for their strength, lightness and thermoregulatory properties. They are also used in eco-construction and composite materials, particularly to reinforce certain parts in the automotive and aeronautical industries, and in building insulation (in the form of semi-rigid panels or lightweight concrete).

A presence in key sectors

Bio-based products can be found in several major categories:

• Construction materials, including wood, the leading bio-based material used in everything from building structures to finishes. ADEME supports the improvement and competitiveness of companies in the sector, as well as the adaptation of their production tools to local resources. Other sectors are also involved, such as straw and hemp, through their representative associations, the French Straw Construction Network (RFCP) and Construire en Chanvre.

• Cosmetics and hygiene products, where natural ingredients already dominate the market. In concrete terms, this means that in these markets, it will be difficult for a manufacturer to market a new product without it containing a significant proportion of bio-based raw materials.

• Paints, detergents and inks, where bio-based products are still in the minority but growing rapidly. Many paints now contain bio-based components, such as Coolroof reflective roof paints and resins manufactured by Ecoat, two companies also supported by ADEME.

• Textiles of the future, with alternatives to cotton and synthetic fibres, a sector where R&D is also intense, with many projects underway.

Cosmetics and construction: champions of bio-based products

Some markets have already widely adopted bio-based products. ‘This is the case for cosmetics and hygiene products, where natural formulations have become a key selling point,’ emphasises Florian Rollin. This sector accounts for around 30% of the volume of bio-based products (excluding wood) used in France. Another example is surfactants (found in detergents and hygiene products), which are now mostly bio-based. The construction sector, a major consumer of materials, is also following this trend, accounting for 27% of the volume of bio-based products used. The market study focuses on non-wood uses, but wood remains the leading bio-based material, particularly in construction. One example among many is the Breton company Rahuel Bois, which uses local chestnut wood to manufacture eco-designed cladding and fencing. By focusing on sustainable materials and local production, the company has been able to set itself apart from its competitors.

Internationally: what are the winning strategies?

In the United States and Japan, two major incentive policies have accelerated the adoption of bio-based products. These programmes rely on public procurement to create stable demand and encourage companies to invest in these sustainable alternatives. For example, the United States has had the BioPreferred programme in place for several years, which aims to promote the purchase of bio-based products by federal agencies. This programme, led by the Department of Agriculture (USDA), is based on two main levers:

• An official label: bio-based products that meet strict criteria can obtain the BioPreferred label, guaranteeing their plant-based or renewable origin and their compliance with performance standards.

• A public procurement obligation: federal agencies are required to give preference to these products in their purchases whenever a bio-based alternative is available on the market. This covers a wide range of products, from lubricants to construction materials, cleaning products and paints.

Japan has adopted a similar approach with the Green Purchasing Law, which requires public administrations to give preference to environmentally friendly products, including bio-based products. It is based on two main pillars:

• A strict legislative framework: the law establishes precise criteria for products that can be purchased by the State, including renewable materials and low-carbon manufacturing processes.

• Raising awareness among businesses and consumers: the Japanese government is implementing communication initiatives to promote the purchase of eco-friendly and bio-based products, thereby encouraging businesses to position themselves in these markets.

Challenges and levers to accelerate the transition

‘The main obstacle to the development of bio-based products remains the cost of production,’ says Florian Rollin. ’Traditional industries have amortised their infrastructure and R&D costs, while new players in the bio-based sector still need to scale up to be competitive. Public support is essential to overcome this hurdle.’ Another challenge lies in social acceptance. This is true for certain innovations, such as straw-based building materials and bio-based vehicle parts. Even though they offer the same safety and performance guarantees as their fossil-based alternatives, consumers often hold on to preconceived ideas.

A market undergoing revolution

The ADEME study confirms that bio-based products are no longer a niche market, but a fundamental trend. Their rapid growth, supported by innovation and public policy, makes them one of the concrete responses to current environmental and economic challenges. Their deployment now needs to be accelerated in order to transform our production and consumption patterns in a sustainable way.

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