+353-1-416-8900REST OF WORLD
+44-20-3973-8888REST OF WORLD
1-917-300-0470EAST COAST U.S
1-800-526-8630U.S. (TOLL FREE)

Carbon Neutral Farming - A Global and Regional Analysis: Focus on Carbon Neutral Farming, Startup Landscape, Government Regulations, and Innovation Analysis

  • PDF Icon

    Report

  • 85 Pages
  • August 2023
  • Region: Global
  • BIS Research
  • ID: 5876410
10% Free customization

The implementation of carbon-neutral farming practices can pose financial challenges for farmers

10% Free customization

This report comes with 10% free customization, enabling you to add data that meets your specific business needs.

A series of agricultural practices known as "carbon farming" boost soil's capacity to store atmospheric carbon. These procedures are typical in regenerative agriculture, organic farming, and other methods of food production. During photosynthesis, plants capture carbon dioxide from the atmosphere and store it. When plants die, the carbon is either released back into the atmosphere or is deposited in the soil. The carbon farming techniques sequester carbon in the soil, whereas the conventional methods release CO2.

Regulatory Landscape

The implementation of carbon-neutral farming practices can pose financial challenges for farmers, as it often involves significant upfront costs associated with acquiring new technologies and infrastructure. Furthermore, the adoption of precision farming techniques requires investments in specialized equipment and training. However, despite these initial financial barriers, it is crucial to provide support for the adoption of carbon neutral farming practices due to their long-term advantages, such as enhanced crop yields and improved environmental sustainability.

Governments play a vital role in providing the necessary policy frameworks, financial incentives, and technical support to enable farmers to transition to sustainable and climate-resilient agriculture. By actively promoting and implementing carbon neutral farming practices, governments contribute significantly to mitigating climate change and building a more sustainable future for agriculture and the planet. The regulatory landscape surrounding global carbon neutral farming varies across countries and regions.

How Can This Report Add Value to an Organization?

Primary Research

The primary sources involve the carbon neutral farming industry experts and stakeholders such as data suppliers, platform developers, and service providers. Respondents such as vice presidents, CEOs, marketing directors, and technology and innovation directors have been interviewed to verify this research study's qualitative and quantitative aspects.

The key data points taken from primary sources include:

  • understanding the competitive landscape
  • validation of the numbers of various markets for market type

Secondary Research

This research study involves the usage of extensive secondary research, directories, company websites, and annual reports. It also makes use of databases, such as Hoovers, Bloomberg, Businessweek, and Factiva, to collect useful and effective information for an extensive, technical, market-oriented, and commercial study of the global market. In addition to the data sources, the study has been undertaken with the help of other data sources and websites.

Secondary research was done to obtain crucial information about the industry’s value chain, revenue models, the market’s monetary chain, the total pool of key players, and the current and potential use cases and applications.

Table of Contents

1 Carbon Neutral Farming and its Impacts on Agriculture
1.1 Outlook
1.1.1 Market Definition
1.1.2 Carbon Farming
1.1.2.1 Carbon Farming: Subcategories
1.1.2.2 Challenges for Carbon Farming
1.1.2.3 Carbon Sinks
1.2 Business Models for Carbon Farming
1.2.1 Action-Based Carbon Farming Models
1.2.1.1 Key Features of Action-Based Carbon Farming Models
1.2.1.2 Case Study: Action-Based Carbon Farming Model
1.2.2 Result-Based Carbon Farming Models
1.2.2.1 Key Features of Result-Based Carbon Farming Models
1.2.2.2 Case Study: Result-Based Carbon Farming Model
1.2.3 Hybrid Carbon Farming Models
1.2.3.1 Key Features of Hybrid Carbon Farming Models
1.2.3.2 Case Study: Hybrid Carbon Farming Model

2 Regulatory Framework
2.1 List of Regulations: Regional and Country Level
2.1.1 North America
2.1.1.1 Government Initiatives and Regulatory Landscape in the Carbon Neutral Farming in North America
2.1.2 South America
2.1.2.1 Government Initiatives and Regulatory Landscape in the Carbon Neutral Farming in South America
2.1.3 Asia-Pacific
2.1.3.1 Government Initiatives and Regulatory Landscape in the Carbon Neutral Farming in Asia-Pacific
2.1.4 Europe
2.1.4.1 Government Initiatives and Regulatory Landscape in Carbon Neutral Farming in Europe
2.1.5 Middle East and Africa
2.1.5.1 Government Initiatives and Regulatory Landscape in the Carbon Neutral Farming in Middle East and Africa
2.1.6 U.K.
2.1.6.1 Government Initiatives and Regulatory Landscape in the Carbon Neutral Farming in the U.K.
2.1.7 China
2.1.7.1 Government Initiatives and Regulatory Landscape in Carbon Neutral Farming in China

3 Startup and Innovation Landscape
3.1 Startup Landscape in Carbon Neutral Farming
3.1.1 Carbon Credit: Scope in Agriculture
3.2 Funding Landscape
3.3 Role of Renewable Energy in Carbon Neutral Farming
3.4 Innovation Ecosystem
3.4.1 Sustainable Agrochemicals
3.4.2 Carbon Neutrality Programs and Initiatives by Startups
3.4.3 Carbon Credits Distribution Model
3.4.4 Others

4 Case Studies and Successful implementation Review
4.1 Case Study and Successful Implementation Review
4.1.1 Case Study 1 - Implementation of Regulation
4.1.2 Case Study 2 - Startup Positioning
4.1.3 Case Study 3 - Innovative Technology
4.1.4 Case Study 4 - Sustainable Product

5 Conclusion and Recommendations
5.1 Conclusion
5.1.1 Agrivoltaics (AV)
5.1.2 Agroforestry
5.1.3 Algae-Based Farming
5.1.4 Biochar
5.1.5 Carbon Offset Markets
5.1.6 Efficient Paddy Cultivation
5.1.7 Methane Mitigation in Livestock
5.1.7.1 Global Methane Pledge
5.1.8 Silvopasture
5.2 Recommendations
5.2.1 For Farmers
5.2.1.1 Integrating Renewable Energy
5.2.1.2 Growing Cover Crops and Practicing Crop Rotation
5.2.1.3 Adopting Smart Irrigation Practices
5.2.1.4 Implementing Agroforestry
5.2.1.5 Incorporating Carbon Credit and Carbon Off-Setting Programs
5.2.2 For Policy Makers
5.2.2.1 Boosting Education and Awareness Programs
5.2.2.2 Fostering Research and Development
5.2.2.3 Incentivizing Sustainable Farming Practices
5.2.2.4 Providing Market Access and Certification
5.2.2.5 Promoting Collaborations and Partnerships
5.2.2.6 Introducing Regulatory Standards
5.2.3 For Startups and Agriculture Companies
5.2.3.1 Promoting Precision Farming
5.2.3.2 Implementing Sustainable Farming Solutions
5.2.3.3 Encouraging the Concept of Carbon Markets and Certification Programs
5.2.3.3.1 Circular Economy Initiatives
5.2.3.4 Spreading Education and Awareness
5.2.3.5 Fostering Innovative Farming Methods
5.2.3.6 Financing: Key Points to Focus
5.2.3.6.1 For Startups
5.2.3.6.2 For Investors

6 Research Methodology
6.1 Data Sources
6.1.1 Primary Data Sources
6.1.2 Secondary Data Sources

List of Figures
Figure 1: Benefits of Carbon Neutral Farming
Figure 2: GHG Emission from Agriculture in 2020 and Incremental Emissions by 2050, by Emission Source
Figure 3: Carbon Farming Sub-categories
Figure 4: Innovations in Carbon Neutral Farming
Figure 5: Methods and Practices to Achieve Carbon Neutrality in Agriculture
Figure 6: Recommendations for Carbon Neutrality in Agriculture
Figure 7: Region-wise Green House Gas (GHG) Emissions from the Agriculture Sector, 2020
Figure 8: Share of Industries in Green House Gas (GHG) Emissions in the U.S., 2021
Figure 9: GHG Emission from Agriculture in 2020 and Incremental Emissions by 2050, by Emission Source
Figure 10: Subcategories of Carbon Farming
Figure 11: Carbon Farming Mitigation Potential among European Nations
Figure 12: Challenges Hindering the Mitigation Potential of Carbon Farming
Figure 13: Concept of Carbon Sequestration
Figure 14: Projected Annual Amount of Carbon Sequestration by the MGNREGS Scheme
Figure 15: Percentage Share of Carbon Credit by Sector, 2021
Figure 16: African Development Bank (AfDB) Climate Technology Funding, by Sector, 2021
Figure 17: U.S. Venture Capital Funding in Carbon Neutral Farming Startups, 2017-2021
Figure 18: Challenges faced by Carbon Credit Management Systems
Figure 19: Implementation of Regulation in Kerala, India
Figure 20: Startup Positioning of Grassroots Carbon
Figure 21: Innovative Technology by Arise IIP
Figure 22: Sustainable Product by Corteva
Figure 23: Nitrogen Fertilizer used Per Hectare of Farmland, 2019-2020
Figure 24: Carbon Neutral Farming: Recommendations for Farmers
Figure 25: Carbon Neutral Farming: Recommendations for Policy Makers
Figure 26: Carbon Neutral Farming: Recommendations for Startups and Agriculture Companies
Figure 27: Suggested Funding Strategy for Carbon Neutral Sector Startups
Figure 28: Carbon Neutral Farming: Research Methodology

List of Tables
Table 1: Effectiveness of MRV Methods on Different Ways to Implement Carbon Farming
Table 2: Case Study: Action-based Carbon Farming Model
Table 3: Case Study: Result-based Carbon Farming Model
Table 4: Case Study: Hybrid Carbon Farming Model
Table 5: Government Initiatives and Regulatory Landscape in the Carbon Neutral Farming in North America
Table 6: Government Initiatives and Regulatory Landscape in the Carbon Neutral Farming in South America
Table 7: Government Initiatives and Regulatory Landscape in the Carbon Neutral Farming in Asia-Pacific
Table 8: Government Initiatives and Regulatory Landscape in the Carbon Neutral Farming in Europe
Table 9: Government Initiatives and Regulatory Landscape in the Carbon Neutral Farming in the Middle East and Africa
Table 10: Government Initiatives and Regulatory Landscape in the Carbon Neutral Farming in the U.K.
Table 11: Government Initiatives and Regulatory Landscape in the Carbon Neutral Farming in China
Table 12: Few Companies in Carbon Neutral Farming Space and Their Products
Table 13: Investments Raised by Top Carbon Neutral Farming Startups, as of July 2023
Table 14: Case Study- Sustainable Agrochemicals
Table 15: Case Study- Sustainable Agrochemicals
Table 16: Case Study- Carbon Credits
Table 17: Strategies to Mitigate Methane Emissions from Livestock

Executive Summary

Carbon neutral farming refers to an agricultural approach where the net amount of carbon dioxide (CO2) emissions released into the atmosphere during farming activities is balanced or offset by an equivalent amount of carbon dioxide removal or sequestration. The goal is to achieve a net-zero carbon footprint, where the total emissions from farming activities do not contribute to the accumulation of CO2 in the atmosphere, thus mitigating the effects of climate change.

The report examines a range of agricultural methods and practices, including carbon offsetting, agroforestry, livestock management, renewable energy, silvopasture, and other strategies that help carbon neutrality in the agriculture sector.

The report also identifies and examines the startup and funding landscape in the carbon neutrality space, including the agriculture sector, as well as potential prospects for additional market growth and expansion. Additionally, recommendations for important stakeholders in the carbon neutral farming space, including farmers, policymakers, startups, and other agricultural firms, have been highlighted to achieve carbon neutrality in an efficient and cost-effective manner.

Analyst’s Thoughts

According to Debraj Chakraborty, Principal Analyst at the publisher, "It is crucial to establish a comprehensive strategy that integrates carbon neutral farming practices throughout the entire agricultural value chain in order to reduce greenhouse gas emissions in agriculture. This means using precise irrigation techniques, embracing the use of renewable energy sources, and putting sustainable land management practices into practice. Each of these actions is crucial in promoting an agricultural system that is more resilient, environmentally friendly, and has a smaller carbon impact.”

Key questions answered in the report:

  • What are the various agricultural practices and techniques available for reducing greenhouse gas emissions in the context of carbon neutral farming?
  • What are the different business models that can be adopted by agricultural firms and startups for carbon neutral farming?
  • What are the national and international policies, agreements, and regulations in place that promote carbon neutral farming and the mitigation of greenhouse gas emissions?
  • What are some of the challenges faced by carbon credit management systems in the agriculture sector?
  • What are some real-world examples and case studies that highlight the successful implementation of carbon neutral farming for mitigating greenhouse gas emissions? 
  • What strategic recommendations can be provided for farmers, policymakers, and other stakeholders to encourage the adoption of carbon neutral farming practices and reduce greenhouse gas emissions in the agricultural sector?
  • What is the current state of greenhouse gas emissions associated with agricultural activities, including their sources, trends, and impacts on climate change?
  • What are the expected emission reduction potentials of different carbon neutral farming technologies?