Government of Odisha Collaborates with ICRISAT in Farming-Focused Carbon Trading Trial
In a significant step towards sustainable agriculture and climate change mitigation, the Government of Odisha has partnered with the International Crops Research Institute for the Semi-Arid Tropics (ICRISAT) to launch the Carbon Standards for Incentivizing Farmers for Regenerative Agricultural Practices (CSIFRA) project in 2023. This pioneering initiative aims to establish a farmer-centric carbon market, enabling farmers to earn carbon credits through the adoption of eco-friendly farming practices.
The CSIFRA project focuses on scientifically validated carbon standards via real-time measurement of greenhouse gas (GHG) emissions at the farm level. It promotes sustainable practices such as direct-seeded rice, alternate wetting and drying (AWD), and integrated nutrient management. These practices contribute to carbon farming, which involves absorbing and storing atmospheric carbon dioxide in soils and plants while reducing on-farm emissions. Other methods include low-till farming, crop rotation, agroforestry, and biochar application.
The project is currently being implemented in the Sambalpur, Bargarh, and Subarnapur districts of Odisha and aligns with India’s broader Voluntary Carbon Market initiative launched in 2023. By adopting these regenerative practices, farmers can reduce their carbon footprint, earn income through carbon credits sold in emerging carbon markets, gain new revenue streams while contributing to climate resilience, and transform their image from greenhouse gas emitters to "climate warriors."
ICRISAT is also working on a digital Measurement, Reporting, and Verification (MRV) system to streamline certification and make carbon credit processes accessible to smallholder farmers. This system is crucial for the success of the CSIFRA project, as it aims to develop a standardized MRV process.
The CSIFRA project has already led to progress in millet processing, and farmer participation has been strong, underlining the need for the right policy tools to accelerate the adoption of green farming. In addition to enhancing farmers' incomes, the project also supports rural livelihoods and environmental sustainability.
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. The project could help lay the groundwork for a scalable carbon market in Indian agriculture.
First published on 04 Aug 2025, 05:13 IST.
[1] ICRISAT Press Release: Carbon Standards for Incentivizing Farmers for Regenerative Agricultural Practices (CSIFRA) Launched
[2] Odisha Government Press Release: CSIFRA Project Launched
[1] This collaborative initiative between the Government of Odisha and ICRISAT, named CSIFRA, is the first step towards a carbon market in Indian agriculture, aiming to incentivize farmers for adopting regenerative agricultural practices. [2] It involves environmental-science-backed practices like direct-seeded rice, alternate wetting and drying, integrated nutrient management, and more, ultimately reducing farmers' carbon footprint while absorbting carbon dioxide and enhancing their income through selling carbon credits in the finance sector.
