The primary sector (agriculture, livestock, fisheries and forestry) generates a significant amount of organic waste, also known as biomass residues (see our previous blog post). These materials, if properly managed, hold enormous potential to be transformed into valuable products such as compost, biogas, biofertilizers, and bio-based materials. However, in practice, most of this biomass is either underutilized, burned, or landfilled, leading to environmental degradation and economic loss.
To transition towards a more circular and sustainable economy, the reuse and valorisation of biomass waste must become a priority. Nonetheless, primary producers face a range of challenges that limit progress, often because they lack the capacity, the necessary tools, or simply the awareness to take action. In this context, we analyse the main challenges that must be overcome to make this transition viable and to enable the effective valorisation of biomass in the primary sector.
Lack of Knowledge, Awareness and Limited Information in the Primary Sector
Many primary producers are unaware of the economic and environmental benefits of biomass reuse. There is a lack of technical knowledge, limited access to training, and minimal dissemination of best practices. As a result, valuable opportunities to convert these residues into value added products are often missed, basically because the potential is not fully understood or promoted.
Economic challenges
Technologies for biomass use require significant investments that many primary producers cannot afford. In addition, in many countries and regions, subsidies, accessible loans, or public incentives to promote biomass reuse are insufficient or difficult to obtain.
Often, producers do not meet the technical or administrative requirements to access available public funding, or they are unaware of what support mechanisms exist and how to apply for them. Similarly, many do not know which private investors to approach or how to pitch their project effectively. In cases where investment is available, it may come with conditions that are not viable for small producers, such as requiring a high percentage of future profits in exchange for funding.
At the same time, the demand for products made from biomass, like compost, soil amendments or biogas, is often too low to make the initial investment worthwhile, which makes producers even less likely to invest.
Technological Difficulties
Many available solutions are designed for large-scale producers, making them difficult to implement in small or medium-sized primary producers. In consequence, there is a lack of suitable technologies adapted to small-scale operations. Affordable options often have low efficiency, generate secondary waste, or are not flexible enough to handle the wide variety of biomass types generated across different locations. This technological mismatch also complicates the management of logistics and coordination among producers.
To overcome these limitations, it may be necessary to rethink the approach, moving from isolated, farm-based solutions to more collaborative models such as bioindustrial parks or living labs, where resources, infrastructure, and knowledge can be shared among multiple producers and other stakeholders. These spaces can function as innovation hubs to test and adapt technologies in a way that is both economically and technically feasible for the primary sector. However, this model also brings new challenges related to the coordination, governance, and logistics of shared infrastructures, requiring clear management structures and cooperation among diverse stakeholders.
Logistical and Transportation Management
Biomass waste is usually generated in dispersed and remote areas, making its collection and transportation both costly and operationally difficult. For small producers, managing this process on their own often means facing high logistical costs, especially when infrastructure is inadequate or there are no shared collection systems in place.
One of the gaps may be the absence of a dedicated actor or intermediary responsible for organizing and managing the collection and transport of biomass waste to valorisation facilities. Without this link in the chain, small-scale producers are left to absorb costs and coordinate logistics they are not equipped to handle.
Regulatory and Policy Gaps
In many regions, policies that support the valorisation of biomass remain underdeveloped, fragmented, or inconsistently enforced. This regulatory uncertainty discourages producers and limits investment in innovative solutions. A common issue is the absence of clear incentives or penalties that would encourage better waste management practices.
The European Union is currently developing a system of carbon credits, which are certificates representing the reduction or elimination of greenhouse gas emissions. These credits can be traded or used to offset emissions, so they can be sold and be an income for those who reduce them. However, it is not yet clear how these carbon credits will be applied specifically in cases of biomass reuse. Similarly, there is still uncertainty about how the positive environmental impacts of these practices (such as improved soil health, biodiversity or reduced emissions) will be recognised or financially rewarded. In other words, while the idea of rewarding sustainable practices is gaining ground, the rules and mechanisms to compensate for these benefits, often referred to as positive externalities, are not yet clearly defined in the context of biomass reuse.
Hence, these tools could provide financial recognition for sustainable practices, but their design and implementation are still under discussion, adding another layer of complexity for those wishing to invest in circular models.
Additionally, primary producers are frequently discouraged by the bureaucratic hurdles and the lack of clarity on how to proceed legally and commercially with the waste and waste-derived products.
Role of PRIMED Project
As part of the PRIMED project, we are actively working to address many of the challenges mentioned above. We have established 5 Living Labs across different regions in EU, described in detail on the project website, which serve as collaborative spaces where primary producers, businesses, researchers, policymakers and other stakeholders come together to create solutions.
Additionally, we are also developing a Circular Business Model Navigator, which will be part of an open-access toolbox. This platform is designed to support primary producers and other stakeholders by highlighting real success stories, promoting knowledge exchange, offering practical solutions, and helping connect key actors across the value chain. Its main goal is to make it easier for the primary sector to adopt more sustainable, resilient, and economically viable business models.
