Bayer and Neste to develop canola for renewable fuel production

Neste and Bayer have signed a memorandum of understanding aimed at developing a winter canola ecosystem in the US.

This includes identifying partners and developing the value chain together and scaling winter canola production as a raw material for renewable products.

Neste is working together with value chain partners in several regions globally, collaborations varying from smaller field trials studying sustainability benefits of selected concepts to more mature projects using different regenerative agriculture practices.

The aim is to identify the most promising concepts that can be scaled up and can play an important role in diversifying and growing Neste’s raw materials pool for renewable products.

“This collaboration with Bayer aligns with Neste’s efforts to develop regenerative agriculture concepts,” said Artturi Mikkola, senior vice-president, feedstock sourcing & trading at Neste. “Used as a new alternative rotational crop, winter canola fits well to our novel vegetable oil concepts. Winter canola not only has the potential to result in lower carbon intensity raw material, but can also bring additional environmental benefits to cropping systems and provide farmers with new income opportunities.”

“Renewable fuels are playing an important role in the decarbonization of transportation and energy while global targets continue to shape biofuel markets and accelerate demand for biomass-based feedstocks going forward,” said Frank Terhorst, head of strategy & sustainability for Bayer’s Crop Science Division.

“We are committed to supporting farmers’ ability to deliver low-carbon feedstocks on demand, through investments in new crops like winter canola and advancement in sustainable cropping systems.”

Winter canola, used as a rotational crop in combination with regenerative agriculture practices, can improve soil health and sequester carbon, contributing to more sustainable farming.

The resulting lower carbon intensity raw material can then be used to produce renewable fuels like sustainable aviation fuel and renewable diesel, that can significantly reduce greenhouse gas emissions over the life cycle compared to fossil fuels.

Tags: Neste, renewable products, меморандум, Production, Bayer, winter canola