Senate Farm Bill Advances with Significant Opportunities for Michigan's Bioeconomy

The Senate Committee on Agriculture, Nutrition, and Forestry advanced the Agricultural Act of 2026 on September 16, moving a long-delayed Farm Bill reauthorization toward consideration by the full Senate. The committee approved the measure on a 12–11 party-line vote without adopting additional amendments during the resumed markup, leaving its bioeconomy provisions intact. The bill must still clear the Senate and be reconciled with the House-passed Farm Bill.

For Michigan, several provisions in Title IX could help translate the state’s agricultural resources, industrial base and research capabilities into greater production of renewable chemicals, fuels, materials and other biobased products. 

Section 9002: Building Markets for Biobased Products 

Section 9002 strengthens USDA’s BioPreferred Program, which promotes federal purchasing of biobased products and administers the voluntary USDA Certified Biobased Product label. The legislation directs federal agencies to increase either the number of contracts reserved for biobased products or the volume of those products purchased. Agencies would also receive improved procurement guidance and training and face more detailed reporting requirements. 

The section calls for updates to federal purchasing systems including the System for Award Management, GSA Advantage! and FedMall - so buyers can more readily identify qualifying products. It also requires greater use of existing North American Industry Classification System (NAICS) and North American Product Classification System codes in procurement data. 

Importantly, Section 9002 separately directs USDA to examine how federal statistical systems represent the bioeconomy, recommend changes and assess the potential value of bioeconomy-specific industry and product codes. Better classifications would make it easier to measure the sector’s economic contribution, track supply chains and design policies around real-world industry activity.  

Many of these procurement reforms draw from the bipartisan Biomanufacturing and Jobs Act of 2025 (S. 2654), introduced by Michigan Sen. Elissa Slotkin. The House companion, H.R. 4832, is cosponsored by Michigan Rep. Kristen McDonald Rivet. 

For Michigan companies, the significance is straightforward: federal procurement can provide the dependable early demand needed to justify investment in new production capacity. Stronger purchasing requirements could open markets for biobased lubricants, polymers, coatings, packaging, construction materials, chemicals and other products made or developed in the state. 

Section 9003: Supporting Commercial-Scale Biomanufacturing 

Section 9003 updates USDA’s Biorefinery, Renewable Chemical and Biobased Product Manufacturing Assistance Program. It expressly adds sustainable aviation fuel to the program and establishes competitive grants for developing, constructing or retrofitting biorefineries that convert renewable biomass into biofuels, renewable chemicals, sustainable aviation fuel or biobased products. Individual grants could reach $10 million. 

The provision incorporates priorities from the bipartisan Agricultural Biorefinery Innovation and Opportunity Act (S. 2467) 

Access to scale-up capital remains one of industrial biotechnology’s largest barriers. A technology may perform successfully in the laboratory or at pilot scale but still struggle to attract the financing required for demonstration and commercial production. Section 9003 could help close that gap, particularly when combined with the program’s existing loan-guarantee authority. 

Michigan is well positioned to compete. The state brings together agricultural feedstocks, forestry resources, chemical and materials expertise, advanced manufacturing, automotive customers, research universities and Great Lakes transportation infrastructure. Those assets create opportunities not only to produce renewable feedstocks, but also to convert them into higher-value products and incorporate them into established supply chains. 

Section 9004: Clearer Bioproduct Terminology 

Section 9004 directs USDA to establish definitions for “bio-attributed plastic,” “bio-attributed product,” “biobased plastic” and “plant-based product.” The goal is more nationally consistent labeling and greater transparency for purchasers and consumers. 

Clear terminology can help legitimate manufacturers distinguish scientifically supported biobased claims from vague environmental marketing. It can also give federal purchasers greater confidence in product designations. USDA’s implementation will nevertheless require careful consultation with manufacturers, researchers and standards organizations so the rules recognize evolving production models, including mass-balance and bio-attribution systems, without creating unnecessary compliance burdens. 

A Strategic Opportunity for Michigan 

Together, Sections 9002, 9003 and 9004 address three connected challenges: creating demand, financing commercial capacity and establishing credible market terminology. The package is especially relevant to Michigan because it links the state’s traditional strengths in agriculture and manufacturing with emerging opportunities in biotechnology, renewable chemistry and advanced materials. 

The September 16 vote does not enact these policies. The Farm Bill still faces a difficult path through the full Senate and negotiations with the House. Yet the underlying bioeconomy measures have bipartisan origins, including Sen. Slotkin’s leadership on the Biomanufacturing and Jobs Act.  

Michigan’s congressional delegation should work to preserve and, where possible, strengthen these provisions in the final Farm Bill. Doing so would support domestic supply chains, expand markets for agricultural and forestry resources, attract capital-intensive manufacturing projects and create new pathways for Michigan-developed technologies to reach commercial scale.