Carbon for Landowners | Carbon by Indigo

Building land value with carbon farming

As landowners, you can improve your land’s productivity while maintaining stewardship values when your growers implement carbon farming practices.

Hear from farmers improving soil health with Carbon by Indigo

We got started with some cover crops maybe four or five of five years ago. We thought it was the best move for our farm to try to raise our soil health, our soil fertility, and try to get it to where we're gonna be able to grow better yields and be more productive as a farmer.

Lance Unger | Indiana Farmer

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The problem that we needed to address was soil conservation and keeping our top soil in the fields. We turned to no-till to do that. A lot of it is just taking care of the land, making sure there's something here for the next generation and just improving upon what we've got because we've got really great resources in this country and we need to conserve them or improve them.

Quinn Johnson | Nebraska Farmer

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We've tried to always be an operation that looks out into the future. We saw that consumers were starting to not only demand that their food was grown in a healthy way, but that we were challenging ourselves as growers to help combat our carbon footprint that we were leaving behind.

Kasey Bryant Bamberger, | Ohio Farmer

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I like the idea of conservation and stewardship. We now see some value and some other incentives that are helping us to progress even faster with that. If we can make improvements this year that'll last five years, that's great. If we can make improvements next year that'll last a lifetime, that's even better.

Greg Baltz | Arkansas Rice Farmer

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Frequently asked questions

Who signs up and generates the carbon credits?

The farmer conducting the majority of management decisions and has primary responsibility for operating the land enrolls in the program and receives payment for the carbon credits generated and sold to buyers. The landlord will not receive payments under the program unless they are the primary operator of the land.

What about crop-share lease agreements that are 50-50?

In a crop-share lease, the farmer conducting the majority of field activities (planting, harvesting, etc.) enrolls in Carbon by Indigo.

What does my tenant-grower need to do to qualify?

All farmers need to create a Carbon by Indigo account and verify eligibility; enrollment is open to farmers in 28 states growing any of the following crops: corn, soybean, wheat, sorghum, oats, barley, rye, canola, dry edible beans, sunflower, dry field pea, flax, peanuts, cotton, or sugar beets.

carbon_by_indigo_landowners_eligibility_chart_faq

Farmers need to implement new farming practices that increase soil carbon and reduce carbon emissions on the farm. There are many eligible practices that farmers can adopt, even for those who have already been using some form of these practices for years.

Farmers then provide historical and current farm records to Carbon by Indigo in order to validate the carbon impact and produce registry-issued carbon credits.

What do I need to do to have my land qualify?

Land must have been in agricultural production for at least 10 years prior to enrolling in Carbon by Indigo. Fields recently converted from native habitat do not qualify. Fields coming out of the Conservation Reserve Program qualify for Carbon by Indigo by having a prior cropping history. Individual fields cannot be enrolled in multiple carbon farming programs simultaneously or in multiple programs that claim ownership of the carbon sequestration. Other eligibility criteria apply.

Are there any easements or tax implications involved that impact me as the landowner?

Enrollment in Carbon by Indigo does not create an easement on any land, nor should it create a taxable event. Participants should consult with their tax advisors as to any tax implications that result from revenue received by participating in the program.

If my tenant earns the carbon credits, what is in it for me?

As the farmland owner, you may receive benefits such as improved land productivity and/or yield stability from the use of carbon farming practices over a number of years. You also continue to have your land provide a financial return while having it fulfill your values.

What happens if my tenant enrolls this year, then next year decides to not renew the lease?

As the landowner in that situation, you have a few options: You can find a new tenant willing to maintain the contract and continue using the carbon farming practices adopted by the previous tenant to qualify. The new tenant would then continue to generate carbon credits. If the new tenant is unable to maintain the qualifying practices there is no penalty to either the new or old tenant or to the landowner. We will never ask for payments to be repaid to Indigo, except for cases of fraud or bad faith acts.

Looking for more information?

See how Carbon by Indigo could benefit your tenants and the value of your land long-term. Get details on the program to bring the opportunity to your farmers.

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Building land value with carbon farming

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Frequently asked questions

Who signs up and generates the carbon credits?

What about crop-share lease agreements that are 50-50?

What does my tenant-grower need to do to qualify?

What do I need to do to have my land qualify?

Are there any easements or tax implications involved that impact me as the landowner?

If my tenant earns the carbon credits, what is in it for me?

What happens if my tenant enrolls this year, then next year decides to not renew the lease?

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