If Euglena has its way, algae will become the fuel of the future. The name of this Tokyo-based company comes from the product it sells: the algae Euglena gracilis. Euglenas business is focused on five key areas: food, fiber, feed, fertilizer, and fuel. The firm is also investigating the use of algae for pharmaceuticals. The company has been successful in developing food and cosmetics using algae and is now making its mark in the biofuel industry. As carbon emissions become an increasing problemparticularly for countries like the United States, China, and Indiagovernments are looking toward biofuels as an alternative fuel source. Research has shown that the algae in which Euglena specializes has strong potential for biofuel production. Euglena oversees all aspects of the process, including cultivation of the algae and the refining and marketing of the fuel. A strategic alliance with Isuzu Motors has allowed Euglena to successfully mix its algae biofuel with light oil to power city buses. However, Euglena is determined to create its own algae biofuel that will not require oil so it can completely eliminate carbon emissions. The company is working with ANA Holdings to develop algae-based jet fuel. These partnerships have allowed Euglena to build the nations first algae biofuel refinery, which it estimates will produce 33,000 gallons of jet fuel yearly. Euglena has certainly attracted the attention of investors, but any promising breakthrough brings competition. ExxonMobil has partnered with Synthetic Genomics to investigate algae biofuels, and others are trying to create biofuels from garbage. The biofuel industry is growing globally, requiring firms like Euglena to remain innovative as competition heats up.

What are some of the opportunities Euglena might have expanding into countries like the United States, China and India? What are some potential barriers?