A recent deal between Amazon and Bayer-backed The Good Rice Alliance (TGRA) signals a shift in how companies approach climate goals and highlights India’s growing role as a testing ground for agriculture-based carbon markets.
In a statement, the company said Amazon will act as the primary buyer of more than 685,000 tonnes of carbon dioxide-equivalent credits generated by 13,000 Indian rice farmers across 35,000 hectares. These credits come from farming techniques that reduce methane emissions, especially from flooded paddy fields, a major source of greenhouse gases.
But the real story lies beyond the numbers. Traditionally, companies bought carbon credits from the market, but now they are investing directly in projects to create their own supply. Also, the voluntary carbon markets have faced criticism for low-quality or unverifiable offsets. The companies are now moving towards ‘high-integrity’ credits that are measurable, science-backed, and auditable. Amazon said its focus is on “real, verifiable climate outcomes” supported by field measurements and satellite validation.
And it is this shift that is increasingly playing out in India, placing the country at the centre of the agriculture-based carbon markets. This is also how industry players are reading the move.
