Odisha Government has partnered with global research institute ICRISAT to pilot a first-of-its-kind farmer-centric carbon market initiative in India. This initiative represents a significant step towards climate-smart agriculture in the country.
Launched in 2023, the project, called Carbon Standards for Incentivizing Farmers for Regenerative Agricultural Practices (CSIFRA), is currently being implemented in the Sambalpur, Bargarh, and Subarnapur districts. The aim of this initiative is to enable farmers to earn carbon credits by adopting eco-friendly farming practices.
The initiative marks a significant shift towards regenerative agriculture, especially in paddy cultivation. It involves real-time measurement of greenhouse gas emissions at the farm level and promotes sustainable practices such as direct-seeded rice, alternate wetting and drying (AWD), and integrated nutrient management.
According to ICRISAT Director General Dr. Himanshu Pathak, the project has potential to turn Indian farmers into both climate warriors and carbon credit earners. “Carbon credits can reverse the narrative around agriculture’s role in emissions while opening new income streams for farmers,” he said.
Carbon farming refers to agricultural practices that absorb and store atmospheric carbon dioxide in soils and plants while reducing on-farm emissions. These include low-till farming, crop rotation, agroforestry, and biochar application. As India moves towards a regulated carbon trading ecosystem, Odisha’s CSIFRA project aligns closely with the Government’s Voluntary Carbon Market initiative, launched in 2023.
ICRISAT Deputy Director General Dr. Stanford Blade noted that farmer participation has been strong, underlining the need for the right policy tools to accelerate the adoption of green farming.
Dr. Arabinda Kumar Padhee, Principal Secretary, Odisha Department of Agriculture and Farmers’ Empowerment, added that the project aims to develop a standardized Measurement, Reporting, and Verification (MRV) process to ensure farmers are fairly compensated for adopting climate-positive techniques.
The pilot builds on ICRISAT’s longstanding partnership with the Odisha Government, which has already led to progress in rice-fallow farming, millet processing, and sustainable irrigation.
According to ICRISAT Senior Scientist Dr. Mukund Patil, practices like optimized nitrogen application and switching from continuous flooding to AWD in rice fields have already shown measurable reductions in emissions.
ICRISAT is also working on a digital MRV system to streamline certification and make carbon credit processes accessible to smallholder farmers. The project could help lay the groundwork for a scalable carbon market in Indian agriculture, turning what was once seen as a challenge into a climate and income opportunity.
