A new academic study explores how California’s emerging bioeconomy could create new value from the state’s biological resources while strengthening rural economics and preparing the workforce for new industries.
This study is in a special issue of the Agricultural and Resource Economics (ARE) Update from the University of California Giannini Foundation of Agricultural Economics. It highlights Californians discovering how agricultural byproducts, forest materials and food waste can become feedstocks for renewable energy, new manufacturing industries and other higher-value products.
An example of the bioeconomy in practice is how California’s almond industry is already creating value through agricultural circularity. Almond hulls sold as livestock feed fetch roughly $76 to $106 per ton, or about $160 million to $230 million. Another opportunity authors identify is returning almond shells to orchards as a potassium amendment and mulch, possibly generating another $21 million to $31 million in annual revenue while recycling nutrients, improving soil health and reducing waste.
These studies suggest that California’s next wave of innovation may come not from replacing agriculture’s traditional strengths, but from building on them. They suggest that industry, policymakers and UC Cooperative Extension could help California create new economic opportunities while improving resources and supporting resilient rural economies.
Learn more from a UC Agriculture and Natural Resources food blog: Could bioeconomy unlock new value from existing resources?