Bridging the “Valley of Death” – Tackling the Innovation Gap within the Pan-European Region’s Wood Sector

On April 1, the Technical Working Group “Innovation & Research” workshop brought together wood-based value chain experts, researchers, and policymakers to tackle the notorious “valley of death”—the gap between research findings and successful market implementation in the Pan-European region’s wood sector. Participants explored practical strategies and innovative funding solutions.

Thomas Fedrizzi of Timber Finance presented their approach to monetising the CO₂ storage potential of timber, aiming to unlock crucial private investments.

The workshop also featured presentations from initiatives such as InnovaWood’s EU Funding Navigator. Presented by Uwe Kies, it provided an overview of upcoming calls and analysed them in detail for the members. In his second presentation, he highlighted the influence of regulations and standards on innovation in the wood sector.

Stefan Torno of the Bavarian Forestry and Wood Cluster Initiative focused on the challenges for SMEs – the heart of the sector. He also noted the low share invested in R&D within companies in the sector.

Milena Daphinoff of the University of Applied Sciences Bern presented the Timber Startup Incubator (TSI), an initiative that provides focused support to connect researchers and students to the business world, support the development of entrepreneurial skills, and identify changemakers within companies.

Solmaz Esmaili presented CBRE Group Inc.’s Renovation Revolution Project, a sustainability-driven initiative aimed at accelerating the energy renovation of non-residential buildings across Europe, promoting circularity and public-private collaboration to achieve a zero-emission building stock by 2050.

All these initiatives collectively demonstrated a commitment to fostering cross-sector collaboration and nurturing entrepreneurial ventures to ensure sustainable growth and competitiveness in the timber industry.

A special highlight of the workshop was the insightful discussion led by Nancy Ramia (Luxinnovation GIE), who outlined funding opportunities through Horizon Europe, focusing on sustainable wood and bioeconomy sectors. The presentation highlighted the essential role of public funding, in this case, targeted EU funding in accelerating innovation and supporting SMEs to overcome commercialisation hurdles.

The workshop concluded with an excursion to Erne Holzbau AG’s production plant, which provided inspiring insights into industry best practices and the use of Swiss Beech in high-rise wood construction.

Resources from the TWG Innovation & Research Workshop in Zurich

Meeting Memo

TWG 3 Workshop in Zurich Meeting Memo 01 April 2025