The scale and operation of the supply chain of biomass production is influenced by geographic conditions, availability and economics of feedstock supply and volumes of value added product. Energy balance and the environmental impact of the processes and products are essential considerations in selecting a sustainable option. The growth of bio based industry in developing countries will require greater investments for both large volume products (. biofuels) and high value added products, such as bio based specialty chemicals or consumer goods. The growth in large volume product markets can potentially facilitate—at lower cost—the adaptation and/or creation of the appropriate physical infrastructure elements as well as stimulating enhancements in human capital—both specialised and general—to support the bio economy. Markets for the higher value added products in industry and consumer sectors can benefit from the improved infrastructure, and will providing more varied and sophisticated development alternatives in different parts of the world, depending on the natural and human capital available and the comparative advantages in different regions. .
