The Mass Balance Approach in Feedstock Substitution 

In its transition towards a circular economy, BASF is increasingly using recycled or renewable raw materials as alternatives to fossil resources at the beginning of its value chain. The alternative feedstocks are attributed to downstream products via the mass balance approach. While mass-balanced products keep all product properties unchanged compared to their conventional equivalents, they contribute to the substitution of fossil resources in BASF´s production process and may have a smaller product carbon footprint. 

An established method to foster sustainability in existing infrastructure 

Let's start with the following scenario: A customer wants her product, for example cocoa or wood, to have a lower carbon footprint. She is looking for more sustainable alternatives to the conventional product. Due to the complex, networked processing and infrastructure, it is not economical to set up a separate value chain for the sustainable alternative. The solution: the mass balance approach ensures that the proportion of sustainably grown cocoa or wood that is brought into this value chain is attributed to the customer products. Even if it does not physically purchase the sustainable material, the certification is proof of the corresponding sustainability performance in the value chain.