It is technically possible to build a chemical industry on agricultural feedstocks, but at present it is not economic to do so. In part this is because the chemistry is difficult, the competition (oil) is relatively cheap and the common feedstocks, carbohydrates, are highly oxidised. There are many new developments in technology, which coupled with new feedstocks such as vegetable oils could change this. Biotechnology offers one of the best prospects and already it is exerting increasing demand for raw materials. Most of the new products are towards the higher value end of the market and development of the technology to bring it towards bulk products should be encouraged.