The circular bioeconomy offers solutions to curb the effects of climate change by focusing on the use of renewable, biological resources to produce food, energy, materials, and services. The substitution of fossil products by wood-based products can help avoid or reduce greenhouse gas emissions over the life cycle of products. However, it is important to understand the potential impacts of large-scale material substitution at the market level. This study aimed to assess the role of selected wood-based products in the circular bioeconomy, the possible changes in their markets, and investigate which elements could ensure the environmental sustainability of these products. The demand for graphic paper has declined over the last 15 years, while the demand for packaging has increased. Cross-laminated timber and man-made cellulosic fibres have seen their global consumption increase over the last decade. While there are benefits associated with the substitution of non-renewable materials by wood-based products, there is still limited understanding of the substitution effects at market-, country- and global level. Some factors enabling the further uptake of wood-based products include initiatives that stimulate technological change, incentives to produce or consume less fossil-based and more bio-based alternatives, and the promotion and marketing of wood-based products as viable alternatives to non-renewable materials.

The forest sector plays an important role in the circular bioeconomy due to its focus on renewable materials that can substitute fossil or greenhouse gas emissions-intensive materials, store carbon in bio-based products and provide ecosystem services. This study investigates the state of the bioeconomy in Brazil and its forest industry. Specifically, this study presents some examples of novel wood-based products being developed or manufactured in Brazil and discusses possible opportunities for the development of the country’s forest sector. The pulp and paper industry plays an important role in the forest sector. It has also been showing advancements in the development of cascading uses of wood invalue-added products, such as nanocrystalline cellulose, wood-based textile fibers, lignin-based products, and chemical derivatives from tall oil. Product and business diversification through the integration of the pulp and paper industry to biorefineries could provide new opportunities. Moreover, biochemicals derived from non-wood forest products, such as resin and tannins could promote diversification and competitiveness of the Brazilian forest industry. Although some engineered wood products are still a novelty in Brazil, the market for such products will likely expand in the future following the global trends in wood construction.

Background: The forest-based industry has been moving towards the manufacture of bio-based products in response to the increasing concern by consumers and governments regarding the use of non-renewable materials and the generation of residues. Various innovative technologies geared towards reducing the environmental footprint of products and processes are currently being developed and applied in the forest-based industry. This study presents some innovative wood-based products that are about to enter the market or that are already being commercialized but have the potential to expand in market size. Methods: We collected data from interviews and a survey with organisations working with product development and manufacturing, and from the literature. Results: Many innovative products that are already produced at an industrial scale, such as cross-laminated timber, wood-based composites, and lyocell, can still increase their market share in the coming years. Some of the up-and-coming products with high potential to substitute fossil-based materials and will likely enter the market in the near future are wood foam, lignin-based adhesives, glycols, bioplastics, and textile fibres. Our study indicates that, although biomass demand is expected to increase, stakeholders do not consider future supply a limiting factor. Conclusions: The ease of market introduction of innovative products relies heavily on the products’ ability to take advantage of existing value chains. Overall, many of the reviewed products have the advantage of being ‘drop-in’. This is because products that require adjustments to production lines are less likely to get into the market without strong external drivers that push for bio-based alternatives. According to stakeholders, the economic viability and the market expansion of these products could be encouraged to a certain extent by EU policies, and certain barriers could be alleviated by reducing bureaucracy, increasing the support for pilot-scale to full-scale production, and increasing subsidies for bio-based alternatives.

White spruce breeding has traditionally focused on genetic improvement for high productivity, targeting mostly stem volume. However, new challenges, such as the effects of climate change on individual trees and ecosystems and the changing nature of forest products markets, require action to address these issues while providing improved stock for seed and seedling production. This work aims to define the relative importance of white spruce wood traits for the lumber industry, with the intent of guiding tree breeding programs. This manuscript examines: (1) wood features that are important for lumber, (2) the genetics of wood traits and their improvement and (3) the level of acceptance of raw material with optimal traits, as obtained from a survey conducted with sawmills. Stem diameter at stump height, wood density, bending strength and stiffness were determined as the most important properties for sawmills. Decay proportion, knot diameter, slope of grain and the proportion of compression wood were also determined as important for sawmills, but to a lesser extent. Breeding efforts aiming to produce lumber should focus on stems with improved growth that are capable of sustaining the production of dense wood in greater proportion.

Due to the high amount of low-quality hardwoods harvested during selection cuts, the forest industry has been facing a decline in profit margins. One possible solution for utilizing the low-quality raw material is the production of extracts. The objective of this work was to estimate to what extent the inclusion of betulin in the traditional wood products portfolio could extend the profitability of a hardwood value chain. The profitability of a selection cut was assessed from the sawmill perspective, followed by an evaluation of the potential financial gain of producing betulin. Finally, the inclusion of betulin in a value chain was assessed. Results showed that the profitability of selection cuts was very low in some forest stands. The sensitivity analysis demonstrated that, among selected costs and revenues, profit was more sensitive to variations in the value of coproducts. If a fraction of coproducts volume was used to extract betulin, it would be sufficient to generate enough revenue to offset the total costs; however, a major constraint was the small size of the current betulin market, with annual sales not exceeding 1000 kg. Despite that, results demonstrate the potentially strong contribution of high value added extracts to the profitability of the forest value chain.