**Table 1.**

**171**

**Figure 8.**

*for Medium-Range Weather Forecasts (2020).*

*Bioeconomic Potential of Sustainability Indicators in a Ceramic Production Center…*

*Pisciculture production in the state of Amazonas (2016 to 2018). Source: Brazilian yearbook of fish farming* 

As is the case for raw material extraction (clay), the manufacture of ceramic products requires environmental licensing and proof of origin of the input materials used in the ceramic kilns. The generation of thermal energy for heating and baking the ceramics demands creative strategies that adhere to bioeconomic principals. Wood from residuals generated from native forest timber processing is currently the principal fuel used by companies in the ceramic processing sector in the region [18, 39, 40]. However, bioeconomic principals require inclusion of new resources used as fuel for kilns to be based on renewable biomass [17]. In this sense, biomass is generally understood to be

*Characterization of monthly pluviometric in the state of Amazonas (1989 to 2017). Source: European Centre* 

*DOI: http://dx.doi.org/10.5772/intechopen.94002*

**Figure 7.**

*(2020).*

*Bioeconomic proposal for areas of clay extraction used by the ceramic industries of Iranduba, Amazonas, Brazil.*

*Bioeconomic Potential of Sustainability Indicators in a Ceramic Production Center… DOI: http://dx.doi.org/10.5772/intechopen.94002*

**Figure 7.**

*Ecosystem and Biodiversity of Amazonia*

**Extraction** 

**of natural** 

**resources** Operational

cycle of clay

extraction

**170**

**Bioeconomic** 

**Months** **January**

**February**

**March**

**April**

**May**

**June**

**July**

**August**

**September**

**October**

**November**

**December**

**potential**

Operational

cycle of fish

production

*Source: The authors (2020).*

**Table 1.**

*Bioeconomic proposal for areas of clay extraction used by the ceramic industries of Iranduba, Amazonas, Brazil.*

*Pisciculture production in the state of Amazonas (2016 to 2018). Source: Brazilian yearbook of fish farming (2020).*

**Figure 8.**

*Characterization of monthly pluviometric in the state of Amazonas (1989 to 2017). Source: European Centre for Medium-Range Weather Forecasts (2020).*

As is the case for raw material extraction (clay), the manufacture of ceramic products requires environmental licensing and proof of origin of the input materials used in the ceramic kilns. The generation of thermal energy for heating and baking the ceramics demands creative strategies that adhere to bioeconomic principals. Wood from residuals generated from native forest timber processing is currently the principal fuel used by companies in the ceramic processing sector in the region [18, 39, 40]. However, bioeconomic principals require inclusion of new resources used as fuel for kilns to be based on renewable biomass [17]. In this sense, biomass is generally understood to be

**Figure 9.**

*Operational and bioeconomic cycle of clay extraction at the ceramic production center at Iranduba, Amazonas, Brazil. Source: The authors (2020).*

**Figure 10.**

*Variety of products made at the ceramic production center at Iranduba, Amazonas, Brazil. Source: The authors (2020).*

any non-fossil organic matter from plants, animals, or microbes that has economic potential and that can be used to generate energy [41, 42]. For example, residuals generated from silvicultural management in agroforests are normally left on the soil surface and will eventually contribute to CO2 release to the atmosphere. Alternatively, this biomass could be reutilized and technologically adapted into an energy source by industries, including those that produce ceramics.

The Amazon possesses an extensive variety of sources of residual biomass, whose reutilization could result in tangible and intangible benefits for transformational industries. In the geographic area of the ceramic production center at Iranduba there are agroindustries that produce and process plant fibers such as malva (*Urena lobata L.*) and juta (*Corchorus capsularis L.*), whose organic residual wastes are underutilized and discarded into the environment. A mix of these plant fibers and other sources of biomass such as seeds of açaí-do-Amazonas (*Euterpe precatória* Mart.) could be used as an innovative alternative for burning in the ceramic kilns of the ceramics industry in the region. Despite the rudimentary production system that uses only a low level of technology, the residuals of these plant fibers represent a promising biotechnological solution for thermal energy generation. During the fiber extraction process about 95% of the plant is discarded at the collection site, and this represents an opportunity to create an alternative destination for this material. A similar situation occurs during the processing of açaí, wherein approximately 83% of the fruits are discarded due to a lack of an alternative use in the market. These residuals, which are generated in abundance in the Amazon and subsequently disregarded, could become subproducts, such as briquettes, for transformational industries. The manufacture of briquettes through mixing different types of residual

**173**

**Figure 11.**

*Bioeconomic Potential of Sustainability Indicators in a Ceramic Production Center…*

solids as well as generate thermal energy in the ceramic kilns.

aid in decreasing deforestation in the western Amazon [18].

distribution of the products to resellers or final consumers.

or Deemed Taxable Income tax payment methods.

biomass such as pellets used for products made from açaí, malva and juta, is an innovative biotechnological solution that can provide an alternate destination for residual

Another regional residual biomass that is commonly and abundantly discarded into the environment is the outer shell that contains the nuts of the Brazil nut tree (*Bertholletia excelsa Bonpl.*), whose chemical composition is primarily lignin and cellulose. This residual biomass rapidly enters combustion and has a high calorific value, thus being easily converted into thermal energy [43–46]. The use of this source of biomass in the ceramics production process as an alternative source of thermal energy will reduce the demand for wood from residuals of native forest and

From the perspective of innovation, the adoption of a production system based on new types of inputs for energy generation should occur in an integrated manner, with active participation of research institutions, agroextractivist communities, and

A production chain based on bioeconomic principles requires knowledge and technology to incorporate biomass resources used as an energy source and to manufacture ecological products (bioproducts), and also needs a sustainable business model. **Figure 11** summarizes the sequence of activities of a ceramics production

The third step in the production chain consists of the process of marketing and

In terms of market competition, the structural characteristics of a sector are generally affected by an efficient combination of the processes of production, distribution, and sale. In the case of the ceramic industries of Iranduba, there is a certain level of homogeneity in the characteristics of internal processes, suppliers, and clients. These ceramic companies have operational structures like those categorized as Microcompanies (Microempresas (ME)) or small businesses (EPP) by the federal government. The principal characteristics of companies classified as ME or EPP are levels of revenue and tax bracket. According to Brazilian legislation, a company classified as ME must have gross annual revenue less than or equal to R\$ 360,000,00 and pay taxes through one of the following options: (National Simple Method, Actual Profit Method, or Deemed Taxable Income). The legislation permits that the ME be registered in one of its four subcategories: Ordinary Partnership, Individual Limited Liability Company, Enterprise Corporation, and Sole Proprietorship. Companies classified as EPP gross annual revenue less than or equal to R\$ 4,800,000,00, and can opt for either the National Simple, Actual Profit,

The consumers of the products made by the ceramic industry in Iranduba are principally the resellers, with physical store locations in the city of Manaus, and on a smaller scale in the upper Negro River region (**Figure 12**). These clients are responsible for about 65 to 75% of the purchases of ceramic production made in Iranduba. The remainder of the production is sold and distributed to endpoint consumers, principally civil construction companies that are responsible for public and private construction projects that used financial resources from the federal government. Among the endpoint consumers is a small proportion of purchases made by individual people who buy products directly from a ceramic company for use in their own homes.

*Aspects of the bioeconomy that should be incorporate into a production chain. Source: The authors (2020).*

chain that will result in bioproducts and a sustainable business model.

*DOI: http://dx.doi.org/10.5772/intechopen.94002*

ceramic industries.

#### *Bioeconomic Potential of Sustainability Indicators in a Ceramic Production Center… DOI: http://dx.doi.org/10.5772/intechopen.94002*

biomass such as pellets used for products made from açaí, malva and juta, is an innovative biotechnological solution that can provide an alternate destination for residual solids as well as generate thermal energy in the ceramic kilns.

Another regional residual biomass that is commonly and abundantly discarded into the environment is the outer shell that contains the nuts of the Brazil nut tree (*Bertholletia excelsa Bonpl.*), whose chemical composition is primarily lignin and cellulose. This residual biomass rapidly enters combustion and has a high calorific value, thus being easily converted into thermal energy [43–46]. The use of this source of biomass in the ceramics production process as an alternative source of thermal energy will reduce the demand for wood from residuals of native forest and aid in decreasing deforestation in the western Amazon [18].

From the perspective of innovation, the adoption of a production system based on new types of inputs for energy generation should occur in an integrated manner, with active participation of research institutions, agroextractivist communities, and ceramic industries.

A production chain based on bioeconomic principles requires knowledge and technology to incorporate biomass resources used as an energy source and to manufacture ecological products (bioproducts), and also needs a sustainable business model. **Figure 11** summarizes the sequence of activities of a ceramics production chain that will result in bioproducts and a sustainable business model.

The third step in the production chain consists of the process of marketing and distribution of the products to resellers or final consumers.

In terms of market competition, the structural characteristics of a sector are generally affected by an efficient combination of the processes of production, distribution, and sale. In the case of the ceramic industries of Iranduba, there is a certain level of homogeneity in the characteristics of internal processes, suppliers, and clients. These ceramic companies have operational structures like those categorized as Microcompanies (Microempresas (ME)) or small businesses (EPP) by the federal government. The principal characteristics of companies classified as ME or EPP are levels of revenue and tax bracket. According to Brazilian legislation, a company classified as ME must have gross annual revenue less than or equal to R\$ 360,000,00 and pay taxes through one of the following options: (National Simple Method, Actual Profit Method, or Deemed Taxable Income). The legislation permits that the ME be registered in one of its four subcategories: Ordinary Partnership, Individual Limited Liability Company, Enterprise Corporation, and Sole Proprietorship. Companies classified as EPP gross annual revenue less than or equal to R\$ 4,800,000,00, and can opt for either the National Simple, Actual Profit, or Deemed Taxable Income tax payment methods.

The consumers of the products made by the ceramic industry in Iranduba are principally the resellers, with physical store locations in the city of Manaus, and on a smaller scale in the upper Negro River region (**Figure 12**). These clients are responsible for about 65 to 75% of the purchases of ceramic production made in Iranduba. The remainder of the production is sold and distributed to endpoint consumers, principally civil construction companies that are responsible for public and private construction projects that used financial resources from the federal government. Among the endpoint consumers is a small proportion of purchases made by individual people who buy products directly from a ceramic company for use in their own homes.

**Figure 11.**

*Aspects of the bioeconomy that should be incorporate into a production chain. Source: The authors (2020).*

*Ecosystem and Biodiversity of Amazonia*

**Figure 9.**

**Figure 10.**

*(2020).*

*Brazil. Source: The authors (2020).*

any non-fossil organic matter from plants, animals, or microbes that has economic potential and that can be used to generate energy [41, 42]. For example, residuals generated from silvicultural management in agroforests are normally left on the soil surface and will eventually contribute to CO2 release to the atmosphere. Alternatively, this biomass could be reutilized and technologically adapted into an energy source by

*Variety of products made at the ceramic production center at Iranduba, Amazonas, Brazil. Source: The authors* 

*Operational and bioeconomic cycle of clay extraction at the ceramic production center at Iranduba, Amazonas,* 

The Amazon possesses an extensive variety of sources of residual biomass, whose reutilization could result in tangible and intangible benefits for transformational industries. In the geographic area of the ceramic production center at Iranduba there are agroindustries that produce and process plant fibers such as malva (*Urena lobata L.*) and juta (*Corchorus capsularis L.*), whose organic residual wastes are underutilized and discarded into the environment. A mix of these plant fibers and other sources of biomass such as seeds of açaí-do-Amazonas (*Euterpe precatória* Mart.) could be used as an innovative alternative for burning in the ceramic kilns of the ceramics industry in the region. Despite the rudimentary production system that uses only a low level of technology, the residuals of these plant fibers represent a promising biotechnological solution for thermal energy generation. During the fiber extraction process about 95% of the plant is discarded at the collection site, and this represents an opportunity to create an alternative destination for this material. A similar situation occurs during the processing of açaí, wherein approximately 83% of the fruits are discarded due to a lack of an alternative use in the market. These residuals, which are generated in abundance in the Amazon and subsequently disregarded, could become subproducts, such as briquettes, for transformational industries. The manufacture of briquettes through mixing different types of residual

industries, including those that produce ceramics.

**172**

Normally, the sectorial or competitive environment in which a company operates is characterized by competing forces that drive companies to reinvent themselves through organizational strategies with the goal of increasing profits. A strategy can be defined as a set of operations that can create a competitive advantage by generating greater economic value compared to competitors. A competitive advantage is perceived through greater profitability, liquidity, leverage, and activity [47].

In the bioeconomy field, a competitive advantage can be related to the perception of the consumer that a certain company is more ecologically correct than its competitors, or that it is completely dedicated to producing and marketing products in harmony with principles of sustainability (**Figure 13**). This characteristic of ecological products imposes upon production systems the necessity of incorporating technologies that can aggregate value and attenuate impacts on biodiversity.

The search for sustainable competitive advantages has become an objective of all managers who are focused on the global market. The challenge consists in efficiently maintaining the skills that have been acquired over time while searching for novel strategies that will facilitate the manufacture and offer of ecologically

**175**

**Figure 15.**

**Figure 14.**

*Bioeconomic Potential of Sustainability Indicators in a Ceramic Production Center…*

pallets and wrapped in thin, transparent plastic film (**Figure 14**).

sustainable products. For the ceramic industries of Iranduba, the commercialization and distribution of ceramic products is conducted through a simple, unsophisticated process, without innovative characteristics that would differentiate a product from its competition. In general, the ceramic products that are sold are stored on

To maintain a sustainable competitive advantage, companies need to innovate and acquire more highly developed marketing skills than their competitors. Products that have a seal of origin or any characteristic that conveys ecological correctness will normally aggregate intangible values that are translated into a

In strategic terms, the ceramic industries of Iranduba represent an activity that efficiently transforms natural resources into bioproducts that are a reference for the entire Amazon region. On the other hand, structural changes in the production chain through addition of biotechnology and manufacture of sustainable products, requires a detailed analysis and identification of possibilities and vulnerabilities

*DOI: http://dx.doi.org/10.5772/intechopen.94002*

that involve the ceramics sector in the region.

*Finished product, wrapped and ready for sale. Source: The authors (2020).*

*Possibilities and vulnerabilities identified using the SWOT matrix. Source: The authors (2020).*

competitive advantage.

**Figure 13.** *Competitive advantages associated with biologically-based products. Source: The authors (2020).*

### *Bioeconomic Potential of Sustainability Indicators in a Ceramic Production Center… DOI: http://dx.doi.org/10.5772/intechopen.94002*

sustainable products. For the ceramic industries of Iranduba, the commercialization and distribution of ceramic products is conducted through a simple, unsophisticated process, without innovative characteristics that would differentiate a product from its competition. In general, the ceramic products that are sold are stored on pallets and wrapped in thin, transparent plastic film (**Figure 14**).

To maintain a sustainable competitive advantage, companies need to innovate and acquire more highly developed marketing skills than their competitors. Products that have a seal of origin or any characteristic that conveys ecological correctness will normally aggregate intangible values that are translated into a competitive advantage.

In strategic terms, the ceramic industries of Iranduba represent an activity that efficiently transforms natural resources into bioproducts that are a reference for the entire Amazon region. On the other hand, structural changes in the production chain through addition of biotechnology and manufacture of sustainable products, requires a detailed analysis and identification of possibilities and vulnerabilities that involve the ceramics sector in the region.

#### **Figure 14.** *Finished product, wrapped and ready for sale. Source: The authors (2020).*

**Figure 15.**

*Possibilities and vulnerabilities identified using the SWOT matrix. Source: The authors (2020).*

*Ecosystem and Biodiversity of Amazonia*

**174**

**Figure 13.**

**Figure 12.**

*Competitive advantages associated with biologically-based products. Source: The authors (2020).*

Normally, the sectorial or competitive environment in which a company operates is characterized by competing forces that drive companies to reinvent themselves through organizational strategies with the goal of increasing profits. A strategy can be defined as a set of operations that can create a competitive advantage by generating greater economic value compared to competitors. A competitive advantage is perceived through greater profitability, liquidity, leverage, and activity [47].

*Routes used to distribute products made in the ceramic production center at Iranduba. Source: ArGis (2020).*

In the bioeconomy field, a competitive advantage can be related to the perception of the consumer that a certain company is more ecologically correct than its competitors, or that it is completely dedicated to producing and marketing products in harmony with principles of sustainability (**Figure 13**). This characteristic of ecological products imposes upon production systems the necessity of incorporating technologies that can aggregate value and attenuate impacts on biodiversity. The search for sustainable competitive advantages has become an objective of all managers who are focused on the global market. The challenge consists in efficiently maintaining the skills that have been acquired over time while searching for novel strategies that will facilitate the manufacture and offer of ecologically

In a geopolitical context, the ceramic production center at Iranduba has great economic and social importance for regional development. A redefinition of strategies and objectives together with the creation of participative public policies focused on bioeconomic principles will result in positive results in markets and will generate business models that will have a global impact. An important incentive to foster the implementation of new market strategies is the elaboration of strategic planning that identifies the possibilities and vulnerabilities that involve the ceramics sector. A tool that is commonly used for the elaboration of strategic planning is the SWOT (Strength, Weaknesses, Opportunities and Threats) matrix. The SWOT analysis allows for evaluation of how a company or group of companies behave in relation to competitors, identification of the factors that are responsible for this difference, fragilities, and the market opportunities that can be explored.

The SWOT matrix below synthesizes the principal environmental, economic, and social aspects necessary for the implementation of production of bioeconomic products in the ceramic production center at Iranduba (**Figure 15**).

Each segment of industry acts in a dynamic environment where companies must concentrate their efforts to establish a set of activities that can explore new markets, balancing development with conservation of biological resources.

The simplified strategic diagnostic in **Figure 13** will help ceramic industries identify points of rupture in their production chains and the bioeconomic alternatives necessary for organizational and technological restructuring.

## **4. Conclusions**

In the red structural ceramics production chain, there are biotic and abiotic elements that interfere in the conditions of biodiversity. The industries in the ceramic production center in Iranduba have high potential to improve their production standards, strengthen relationships between stakeholders, and offer products that are competitive and ecologically correct.

The geological diversity of clays and the strategic location of the companies favors the manufacture and distribution of sustainable products, principally bricks and tiles, that are based on bioeconomic resources and principles.

The areas where clay is extracted to produce red ceramic products present excellent conditions to be able to, in the same natural environment, extract raw material, and engage in pisciculture to produce fish for subsistence and for sale in markets. These actions will stimulate an increase in income, access to new technologies, and a reduction of the impacts on biodiversity caused by natural resource extraction.

With respect to the production process that occurs at the ceramics manufacture facility itself, the burning of wood derived from native forest timber is currently the principal fuel used by these companies in the region. Strategies based on bioeconomic principles should be adopted so that there is a gradual substitution of this wood source for residual biomass materials. The introduction of different types of biomass including a biotechnological combination of plant fibers with seeds, fruits, and other materials that are discarded from agroforestry operations represent a promising alternative as a fuel source for the kilns of ceramic industries in the Amazon.

The cultural, socioenvironmental, and economic dynamics of the ceramic production center at Iranduba are very complex and challenging. The logic involved with providing incentive to produce red ceramic products based on bioeconomic strategies is not only rooted in the need to increase productive efficiency, but also in the necessity to respect the environment and develop a series of products made in the Amazon that are considered highly sustainable.

**177**

**Author details**

São Paulo, Brazil

Gelson Dias Florentino1

**Acknowledgements**

Sandro Augusto Lima dos Santos3

(Bionorte) Belém, College La Salle, Manaus, Brazil

(CPATU/NAPT), Santarém, Pará, Brazil

6 Emilio Goeldi Museum, Belém, Pará, Brazil

provided the original work is properly cited.

\*Address all correspondence to: dias.gelson@gmail.com

Ires Paula de Andrade Miranda5

*Bioeconomic Potential of Sustainability Indicators in a Ceramic Production Center…*

ity criteria and thus make their products a reference for the global market.

Legal Amazon (Bionorte) for financial resources for publication.

Business strategies that seek excellence and product differentiation normally succeed in obtaining a competitive advantage and greater profits. In this context, well-structured, robust planning should be conducted that strives to make the operational activities of the ceramic industries of Iranduba conform to sustainabil-

The authors thank the Syndicate of the Ceramic Kiln Industry of the State of Amazonas (SINDICER/AM) for the excellent information given on the current situation of the production chain of the ceramic industry center in Iranduba. The authors are also very grateful of the Biodiversity and Biotechnology Network of the

\*, Lucieta Guerreiro Martorano2

1 Doctoral Student, Biodiversity and Biotechnology Network of the Legal Amazon

2 Brazilian Agricultural Research Corporation (EMBRAPA) Eastern Amazon

3 Cerâmica Montemar Indústria e Serviço Ltda., Iranduba, Amazonas, Brazil

4 Doctoral Student, Plant Production, University of the State of São Paulo,

5 National Institute for Amazon Research (INPA), Manaus, Amazonas, Brazil

© 2020 The Author(s). Licensee IntechOpen. This chapter is distributed under the terms of the Creative Commons Attribution License (http://creativecommons.org/licenses/ by/3.0), which permits unrestricted use, distribution, and reproduction in any medium,

,

,

, José Reinaldo da Silva Cabral de Moraes4

and Maria de Lourdes Pinheiro Ruivo6

*DOI: http://dx.doi.org/10.5772/intechopen.94002*

*Bioeconomic Potential of Sustainability Indicators in a Ceramic Production Center… DOI: http://dx.doi.org/10.5772/intechopen.94002*

Business strategies that seek excellence and product differentiation normally succeed in obtaining a competitive advantage and greater profits. In this context, well-structured, robust planning should be conducted that strives to make the operational activities of the ceramic industries of Iranduba conform to sustainability criteria and thus make their products a reference for the global market.
