Accelerating technological innovation and policy momentum is driving growth in biomass utilization and biogenic carbon solutions, sustainable land use and advanced biobased materials. The global bioeconomy is valued at an estimated US$4–5 trillion, with the potential to grow to US$30 trillion by 2050, positioning it as a cornerstone of the transition to a low-carbon, climate-resilient, and sustainable future. Realizing this potential will require targeted action across technology, finance, governance, and policy.

Biobased technologies are at the heart of the bioeconomy, offering innovative ways to use biological resources, such as crops, forests, and organic waste, to produce energy, materials, and other products sustainably. These technologies improve resource efficiency, reduce waste, and support circular systems, while also delivering climate, environmental, and social benefits. They respond directly to global calls to recognize the broader value of nature-based solutions, including sustainable forest management.

What makes biobased technologies especially promising is their ability to operate locally, using regionally available resources and knowledge. This enables innovation and production to flourish in rural and peri-urban areas, beyond traditional industrial hubs. Spanning sectors like bioenergy, bioplastics, food systems, and natural fertilizers, biobased technologies draw on diverse actors and practices, from indigenous knowledge to small-scale circular innovations. When integrated with climate technologies, they offer a powerful pathway to reduce emissions, build resilience, and promote inclusive, sustainable development.

Chapter highlights 

• The bioeconomy in Latin America and the Caribbean follows diverse, context-specific pathways, shaped by the region’s unique socio-ecological conditions.
• Latin America and the Caribbean hold exceptional potential for bioeconomic innovation, driven by rich biodiversity, diverse ecosystems, and strong agricultural systems. However, uneven institutional, infrastructural, and governance capacities across countries pose challenges to scaling innovation. Unlocking this potential requires targeted investments and support to foster inclusive, sustainable, and innovation-led bioeconomic transitions.
• Sectors in the bioeconomy, such as agriculture, forestry, fisheries, and biotechnology, form a strategic nexus between economic growth, sustainable development, and climate action. These sectors contribute meaningfully to Nationally Determined Contributions (NDCs) and other national climate plans, yet their integration into formal climate policies across Latin America and the Caribbean remains inconsistent and fragmented.
• Strengthening the link between bioeconomy strategies and NDC frameworks is essential to fully harness synergies between climate mitigation, adaptation, and sustainable production systems. A more systematic approach will enhance the region’s capacity to deliver on climate goals while advancing inclusive and resilient bioeconomic development.
• Social inclusion is fundamental to building a just and resilient bioeconomy. Pursuing bioeconomic opportunities without recognizing indigenous rights, cultural heritage, and local livelihoods risks reinforcing existing inequalities. By contrast, pathways that integrate the knowledge and contributions of indigenous and local communities enhance legitimacy, strengthen socio-ecological resilience, and ensure that bioeconomic transitions are both ecologically sustainable and socially just.
• Regional cooperation and policy coherence are critical to aligning the region’s ecological potential with inclusive and sustainable socio-economic outcomes