An assessment of inter-firm networks in a wood biomass industrial cluster: lessons for integrated policymaking

Effective use of biomass is emerging in various agro-industries, offering new avenues for sustainable regional development. A case analysis is done on a wood industrial cluster in Maniwa, Japan to analyze the drivers and barriers for community-based actions in improving environmental performance of small businesses operating in the cluster. Wood processing businesses in Maniwa generate wastes such as wood trimmings and shavings. Community-based actions of various businesses in the supply chain realized the commercial value in such waste products and explored options of wood such as biomass fuel, extraction of ethanol, wood-based concrete and organic strawberry farming. Various technologies enabled the process to be carried out, and knowledge/information was brought in by local research institutes. Taking leadership and participation by business in community-based social networks increased the availability of market information and lowered its cost. It also led them to reach collective decisions and implement actions together. Evidences from a strength, weakness, opportunities and potential analysis of the Maniwa wood cluster revealed that stimulating community-based actions, providing enabling technologies, creation of social capital and policy integration are the pillars for transforming local industrial clusters into eco-friendly industrial clusters. Technical facts, policy experiences and findings suggest that grouping of biomass-based industries and developing joint actions for sound material flow represent a promising strategy to promote sustainable production and consumption while providing a new model for environment friendly regional development.