Neste, Bayer collaborate to develop novel vegetable oils for possible renewable fuels production
Neste and Bayer, a global enterprise with core competencies in the life science fields of health care and agriculture, have signed a memorandum of understanding (MoU) aimed at developing a winter canola ecosystem in the U.S, including identifying partners and developing the value chain together, and scaling winter canola production as a raw material for renewable products. 
While having a strong focus on waste and residue raw materials, Neste continues to actively explore and develop other types of renewable raw materials, such as novel vegetable oils produced by regenerative farming practices. Regenerative farming practices aim to trap carbon in healthier soils, promote biodiversity and reduce emissions from agriculture, while increasing farm productivity.
Neste is working together with value chain partners in several regions globally—collaborations vary 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,” says 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 lifecycle compared to fossil fuels.
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