Abstract:

Bio-fuels as a renewable energy attracts much attentions and has been dramatically developed in the last few years. However, with fast expansion of first generation bio-fuel (grain based), its impacts on food price, food security and environment start to loom, which initiates hot debates over development of bio-fuels. Therefore, many countries, including China, start to pay much attention to forest-based bio-diesels. In this paper multi-methods were used, including literature review, key person interviews, questionnaire and field survey. The results showed that: Bio-diesels industry is starting to boom in China, since government sectors has set up targets and incentive policies on bio-diesels, feedstock and bio-diesels refining plants are being developed in large scale. In long-term, bio-diesel may have a sound future, however as a new industry, it still face a series challenges and should not go forward too fast. Currently, we should pay much attention to research activities such as breeding improved variety and high-yield techniques related to feedstock planting. (4) We should adjust the mode of bio-diesel development and create appropriate industry environment for bio-diesel development.

Key words: forest-based bio-diesel, current production status, challenges, policy implication