1. USDA Designation Process
USDA BioPreferred® Program
USDA Designation Process
for Intermediates
Marie Wheat
Industry Economist
USDA BioPreferred Program
Biobased Stakeholder’s Dialogue
July 7, 2016

2. The USDA BioPreferred® Program Designating Categories of Intermediates for Mandatory Federal Purchasing
What are biobased intermediates?
Why is USDA designating intermediates?
How is USDA designating intermediates?
The rulemaking process
Understanding the difference between designated and certified intermediates
BioPreferred product catalog and examples of certified intermediates
The value of participating in the USDA BioPreferred program

3. So exactly what are biobased intermediates?
A material or compound made in whole or in significant part from biological products, including renewable agricultural materials or forestry materials…
that have undergone value added processing (including thermal, chemical, biological, or a significant amount of mechanical processing),
offered for sale by a manufacturer or vendor…
and that is subsequently used to make a more complex compound or product.

4. Designating Intermediate Categories for Mandatory Federal Purchasing: WHY?
Required by statute.
Intermediates are a major part of progress in bioeconomy.
In 2013, U.S. biobased products industry added $369 billion in value to the U.S. economy and over 4 million American jobs.
Will provide a pathway for approximately 50 new product categories representing possibly thousands of individual products.

5. Mandatory Federal Purchasing
Federal agencies and federal contractors required to buy biobased products in categories designated by USDA
Currently 97 diverse categories
For each category, minimum biobased content is established
Currently about 15,000 products in BioPreferred catalog that qualify for mandatory federal purchasing

6. Two “rounds” for rule-making process
Designating Intermediate Categories for Mandatory Federal Purchasing: HOW?
Two “rounds” for rule-making process
Round 11 - designating approximately 10 categories of intermediates for mandatory federal purchasing
Round 13 - designating final products composed of biobased intermediate ingredients.
This proposed rule will designate, under the Mandatory Federal Purchasing program, approximately 50 finished product categories that cover a wide range of consumer use products.
Many of these products are already included in the BioPreferred Program under the voluntary certification initiative.

7. Intermediates/Feedstocks
In designating intermediate ingredient or feedstock categories, USDA will designate categories composed of generic groupings of intermediate ingredients or feedstocks, and will identify the minimum biobased content for each listed intermediate/feedstock category.
As categories are designated they will be added to the USDA Designated Category List for mandatory federal purchasing.

8. The Rule Making Process
Draft Preamble --explains the “why”
Draft Rule -- explains the “how”
Publish Proposed Rule in the Federal Register
Public comments accepted
Draft Final Rule
Publish Final Rule in the Federal Register

9. Qualified as part of mandatory federal purchasing
vs.
Qualified as part of mandatory federal purchasing
Certified
through voluntary labeling
Product fits within one or more of the categories identified for federal purchasing
Product fits within one or more of the categories identified for federal purchasing
Yes
Yes No
Product meets program criteria and minimum biobased content for category
Product meets program criteria and minimum biobased content for category
Product does not fall within one of the categories but meets program criteria and is at least 25% biobased
Yes
Yes
Product may be both qualified and certified
Yes
Product may be certified but is not qualified for mandatory federal purchase
Exceptions may be granted for both minimum biobased content and product being qualified.

10. USDA Certified Intermediates

11. Thank you! Marie Wheat USDA BioPreferred® Program Office: