Carbon Markets — How Do You Measure Success?

There’s a lot of talk these days about soil carbon markets and conservation practices. Companies that have made commitments to investors and Wall Street are ready to pay farmers for carbon credits to reduce greenhouse gases and mitigate climate change.

But do you understand how this all works and how to take advantage of these new programs? Farmers in a Farm Journal survey say they just don’t have enough information, and they are having trouble finding details in their area on how to apply for these programs. In fact, only 3% of farmers are taking advantage of the opportunity, and 55% say they plan to participate in the soil carbon market within three years. That leaves 45% of farmers saying no to the opportunity.

“The scariest part for farmers is we have big, lofty goals about carbon without having a reliable way to repeatedly measure the same sample and get the same answer each time,” says Meagan Kaiser, soy checkoff farmer-leader and soil scientist in Missouri.

Jack Cornell, the soy checkoff’s director of sustainable supply, sees this uncertainty as an opportunity: farmers can set themselves up for success in the years to come in areas that extend beyond carbon markets.

“Farmers are always improving their farms,” says Cornell. “They want to increase profitability, productivity and sustainability. They are stewards of the land, always working to care for what they have for the next generation.”

That’s why he believes this is the perfect time for farmers to renew their focus on improving their land by using conservation practices such as no-till and cover crops.

“While we are figuring out what the carbon market looks like, this is a great opportunity for farmers to start doing some investigations on their own ground on how to put carbon-smart practices to work,” he says. “We want farmers to be in a position to be flexible enough to adapt to the next round of changes or the next opportunity to make on-farm profit.”

Nevertheless, there is always cost and risk associated with starting anything new. Farmers are the ones putting it on the line while companies may reap the benefits without taking the same risks.