Industrial Green Chemistry Association Launches
Today, leading chemistry entrepreneurs from across Europe announced the founding of a new Industrial Green Chemistry Association (IGC) dedicated to represent the interests of chemistry startups and innovation-driven SMEs, a group long excluded from the traditional industrial dialogue in Brussels and Berlin.
The new association emerges in response to a growing need for early-stage innovators in the chemical and pharmaceutical manufacturing sector, which is not sufficiently represented by old industrial associations. The IGC represents a place for chemistry startups and other small, innovation-driven companies, voices that too often have been left out of the big discussions in Brussels and Berlin.
Why Now?
The EU is confronted with the biggest industrial challenges since its foundation: industrial sovereignty, climate neutrality, and digitalization are topics to which only innovation providers can bring about a change. The reality is that the unique needs of start-ups regarding finance, market access, or regulatory support are not being considered. Historically, only the voices of large, legacy players have been considered when policies have been made in the past. While the transformation of the existing is important, the creation of a modern, green, and forward-looking chemical industry must be created from the bottom up.
The Funding Gap
While the chemical industry is 3-4 times larger than the whole pharmaceutical industry, it receives significantly less funding. The German Chemical Association VCI published a report that shows: Between 2019 and 2021, only about 0.2% of venture capital in Europe went to chemistry startups. However, no big campaign was initiated; none of the existing associations started to invest heavily to bring about a change.
What IGC Intends To Do
- Making sure startups, scientific spin-off projects, and innovative SMEs have a real seat at the policy table, for example at the Critical Chemical Alliance
- Pushing to include green chemistry and process innovation in programs such as STEP, the Critical Medicine Act, or the Critical Raw Materials Act
- Fighting for a “Clean Industrial Deal for Startups” including access to pilot plants and startup-friendly funding
- Changing funding rules so that fast-growing, risk-taking startups are not penalized
- Bringing the products to market that customers want
The IGC has structured its membership so that individuals who have joined within the past three years hold veto power. According to its constitution, the organization emphasizes addressing the needs of future generations. IGC positions itself as a platform designed for innovators, aiming to facilitate ongoing change and encourage entrepreneurial activity focused on shaping the future.
