Strengthening the roots of an agri-carbon market

A CIMMYT study highlights the potential of agricultural carbon markets in India but calls for greater inclusivity, better incentives, and improved implementation to ensure long-term farmer participation and sustainable outcomes

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CIMMYT’s economists Adeeth Cariappa and Vijesh Krishna examine the potential of agricultural carbon markets to boost sustainable farming in India while addressing climate change. Their study, published in Climate Policy, reviewed seven carbon farming projects in Haryana and Madhya Pradesh, finding limited participation from smallholders and marginalized communities, with women making up just 4% of participants.

Although new sustainable practices such as zero tillage and intercropping were adopted, key challenges remain, including poor communication, insufficient training, and delayed payments—resulting in nearly 28% of farmers abandoning these practices. To improve outcomes, the authors recommend offering better financial incentives, ensuring timely payments, and improving project implementation through partnerships with research institutions. Digital technologies like remote sensing and satellite imagery are expected to play a critical role in improving carbon credit monitoring and farmer participation going forward.

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