European funded projects are scaling up the industrial potential of algae

EU-funded projects supported by the Circular Bio-based Europe Joint Undertaking (CBE JU), the EU’s public-private partnership advancing the bio-based sector, are helping to scale up the industrial potential of algae. Industrial-scale microalgae biorefineries, new seaweed farming systems and algae-based proteins are transforming this abundant marine resource into ingredients, materials and new business opportunities across Europe.

On 12 October, World Algae Day puts the spotlight on one of Europe’s most versatile renewable resources. CBE JU is supporting projects helping to overcome some of the barriers that have held back the wider industrial use of algae, from cultivation and processing to cost, resource efficiency and market uptake. Algae contain proteins, lipids, pigments, carbohydrates and other compounds that can be recovered for multiple applications, from the food & feed, to cosmetics, chemicals and energy sectors.

From pilot plant to industrial production

The SCALE project, led by French SME Microphyt, inaugurated a microalgae biorefinery in Baillargues, southern France, in July 2025. The facility is producing around 100 tonnes per year of natural active ingredients for the health, nutrition, cosmetics and animal feed sectors. The plant has also created around 40 direct and 200 indirect jobs.
The ALLIANCE project, coordinated by Wageningen University in the Netherlands, is developing a circular microalgae biorefinery designed to turn four processing pipelines into 15 near-zero-waste product lines. Using solvent-free extraction, water recirculation and renewable energy, the project aims to develop 19 new ingredients and 12 product prototypes for food, aquafeed, agriculture and cellular agriculture.

“Microalgae have enormous potential as a versatile and sustainable feedstock for a wide range of applications. Through ALLIANCE, we are working to unlock this potential by developing circular, near-zero-waste processing routes that can transform microalgae into valuable ingredients for multiple sectors.” – Iago Dominguez Teles, Research Manager, Wageningen University & Research and ALLIANCE Project Coordinator.

Building the European seaweed industry

Europe’s seas also offer opportunities to expand the use of macroalgae, or seaweed, as a renewable feedstock.

In Portugal, BIG-ALGAE is developing and scaling cultivation technologies for five native European macroalgae species, combining offshore and land-based approaches with advanced processing. The aim is to create new value chains for products ranging from food and feed to cosmetics, textiles and bio-based packaging.
SALINA is establishing demonstration sites in several European marine regions to test scalable macroalgae cultivation integrated with coastal biorefineries. By connecting cultivation with processing and product development, the project is exploring how seaweed can generate new value while supporting coastal economies.

Turning underused biomass into protein

The European Commission’s Protein Action Plan, adopted last July, aims to strengthen sustainable EU protein supply and reduce strategic dependencies. CBE JU projects are exploring how algae can contribute to this transition.

ALEHOOP demonstrated pilot-scale biorefineries capable of recovering proteins from seaweed and legume-processing side streams, developing functional proteins for food and feed applications.
In Sevilla, the ALGANOVA project is combining agro-marine by-products with biogenic CO₂ to cultivate high-protein microalgae. It aims to upcycle up to 95% of agro-marine by-products and use an estimated 200 tonnes of biogenic CO₂ per year.

“ALGANOVA ambitions to change how Europe produces protein. By converting agro-marine by-products and industrial biogenic CO₂ into protein-rich microalgal biomass, we are building a more sustainable, circular alternative to traditional and imported protein ingredients.” – Lila Otero-Gonzalez, Team Leader and ALGANOVA Project Coordinator.

The development of algae-based activities in Europe reflects a shift in the bioeconomy towards integrated value chains that maximise the use of renewable biological resources and develop products that can compete on performance and cost. CBE JU-funded projects are helping to put this approach into practice across the value chain, supporting innovation from cultivation technologies and pilot processing through to industrial production and market development.

About CBE JU

The Circular Bio-based Europe Joint Undertaking is a €2 billion public-private partnership between the European Union and the Bio-based Industries Consortium (BIC), funding research, innovation and demonstration projects that accelerate the transition to a sustainable, circular bio-based economy in Europe. CBE JU has so far invested a total of €1.4 billion in close to 250 projects. The public funding comes from the Horizon Europe R&I programme. Each euro of EU funding has triggered more than three euros in private investments.