India’s Journey Towards Sustainable, Low-Carbon Farming

Agriculture in India has always been more than just a sector—it is the soul of the nation’s economy. Feeding more than a billion people, providing livelihood for almost 46% of the workforce and contributing 16% (FY24) to the Gross Domestic Product (GDP), this industry has long been the backbone of India’s rural economy and national resilience. Today, this sector is rapidly emerging as a significant climate force, whether for better or worse.

The voluntary carbon market in India was estimated to be worth over Rs. 10,201 crores (US$ 1.2 billion), as of May 2023, with 1,451 projects either registered or undergoing various stages of consideration through two leading global registries, Verra and Gold Standard. India roughly comprises about 20% of the carbon credits in the world based on a 2023 report from the Delhi-based think tank, Centre for Science and Environment (CSE). More than Rs. 5,525.65 crore (US$ 650 million) has been earned in revenues by the carbon credits. Thus, one can see that the country stands pivotal in the global carbon offset ecosystem and has a growing thrust on climate-conscious development.

What does ‘low-carbon agriculture’ mean?

Low-carbon agriculture actively minimises its contribution to global warming by reducing emissions. A low-carbon footprint for agriculture means low emissions of carbon dioxide (CO2) and other greenhouse gases due to all types of agricultural activities, such as fuel and other farm inputs, emissions from the field, livestock processes, etc. In broad terms, it means smart farming: implementing methods that minimise energy consumption and waste and improve the efficiency of every production stage.

Why it matters for India’s future?

India's agricultural sector, which is currently struggling with climate change and food security issues, will be the forerunner of the country's future. With agriculture playing an active part with approximately 13–14% of total greenhouse gas (GHG) emissions of the country, it has become inevitable to adopt low-carbon pathways. These carbon emission reductions would not only help India achieve its national climate targets and a sustainable economy but secure the livelihoods of millions of farmers.

How farming activities contribute to carbon emissions?

Farming is essential for our food supply, but it simultaneously releases GHG emissions from several commonly adopted agricultural practices, contributing to global warming. Here are a few examples of how agriculture causes these emissions:

Global greenhouse gas emissions – An overview

Global trends (1970–2023)

The combined GHG emissions of the EU27 and the world’s top five emitting countries—China, the United States, India, Russia, and Brazil—have seen notable shifts over the past five decades.

Source: Joint Research Centre (JRC), the European Commission’s science and knowledge service

Since 1990, global fossil CO₂ emissions have risen by over 72.1%, while CH₄ and N₂O emissions have increased by 28.2% and 32.4%, respectively. Fluorinated gases (F-gases) have seen the most dramatic rise, increasing nearly four-fold (+294%).

India’s emissions profile

India’s GHG emissions grew by 6.1% from 2022 to 2023, adding an extra 0.24 gigatons of CO₂ equivalent (GtCO₂e) to total emissions. Over the past 30 years, emissions in India have nearly tripled, largely due to fast growth in:

• Power generation
• Industrial processes
• Transport sector

In 2023, India’s emissions breakdown was:

• CO₂: 71.5%
• CH₄: 20.3%
• N₂O: 6.5%
• F-gases: 1.7%

India contributed about 7.8% of total global emissions in 2023, making it the third-largest emitter after China and the US.

Source: Joint Research Centre (JRC), the European Commission’s science and knowledge service

However, on a per capita basis, India’s emissions were significantly lower:

• 2.9 tCO₂e/person, which is:
  • 6x lower than the US and Russia
  • 4x lower than China
  • 3x lower than the EU27
  • 2x lower than Brazil

Where do agricultural emissions come from? A state-wise snapshot

Here’s a look at which states lead the pack when it comes to emissions—and why that matters.

Rice cultivation: A key methane contributor

Methane emissions from rice farming, particularly under conventional practices where fields are flooded, is among the biggest sources of methane emissions. India alone emitted around 144 MtCO₂e through rice cultivation over 2022–23.

• Top Three Emitting States in Volume: Uttar Pradesh, Punjab and West Bengal (each with over 15,000 Gg of emissions).
• Maximum Emissions (Per Hectare): Emissions in Punjab and Haryana top the per hectare list, mainly due to high fertiliser consumption and residue burning.
• In states such as West Bengal and Assam, the type of rice that is cultivated (namely deepwater or rainfed varieties) makes methane emissions per hectare even more pronounced.

Electricity use in agriculture

Electric energy used for irrigation and farm activities contributes significant amounts of carbon emissions, particularly when it is sourced from fossil fuels.

• Over 2022-23, the agricultural sector contributed about 179 MtCO2e emissions via the use of electricity.
• Maharashtra and Rajasthan had the highest emissions overall.
• Telangana, Andhra Pradesh and Tamil Nadu had higher per hectare emissions than other states as they depend heavily on irrigation, which consumes significant electricity.

Fertiliser and soil emissions

Excessive fertiliser not just damages the soil, it emits nitrous oxide (N₂O)—a gas almost 300 times more potent in global warming than carbon dioxide.

• The largest total N₂O emissions came from Uttar Pradesh, Madhya Pradesh and Maharashtra.
• However, Punjab, Andhra Pradesh and Bihar used the highest amounts of fertilisers in aggregate per hectare.

Why these differences matter?

These ‘emission snapshots’ are crucial. They show us where the environmental impact is the highest—

and help design state-specific solutions. For example:

How are farmers leading the shift to climate-friendly agriculture?

Let’s look at some of the most impactful changes on the ground.

India’s push toward low-carbon agriculture: Key initiatives

India is actively transitioning towards climate-smart agriculture through ambitious policies, carbon markets and incentive-based frameworks:

• Under its updated Nationally Determined Contributions (NDCs), India will commit itself to reducing GHG emissions intensity by 45% from the 2005 level by 2030.
• An Indian Carbon Market (ICM) is being formally established, which is inclusive of digital platforms for carbon credit tracking and trading, allowing farmers and businesses to capitalise on emission reduction.
• A national carbon credit framework (Carbon Credit Trading Scheme (CCTS)) is being set up to promote emission-reducing activities for the larger goal of climate reduction. This could facilitate the monetisation of about US$ 480 billion worth of carbon credits between 2030 and 2070.
• India is probing opportunities for carbon credit generation in agriculture (Voluntary Carbon Market (VCM)), by increasing Soil Organic Carbon (SOC) through sustainable practices such as agroforestry and plantation forestry. These practices help improve soil health while storing carbon.
• Livestock emissions (especially Methane (CH₄) from enteric fermentation) will be dealt with through diet-related preventive measures and technical innovations to restrict methane production.
• As a major source of CH₄ and N₂O, rice fields are targeted through eco-friendly techniques like alternate wetting and drying (AWD) and direct seeding, which reduce emissions and generate carbon credits.
• The Green Credit Programme (GCP) was launched at the COP28 under India’s Lifestyle for Environment (LIFE) movement. This initiative rewards positive environmental actions (like tree plantation, sustainable farming, water and waste management) through Green Credits.
  • GCP is separate from the carbon market and is managed by the Indian Council of Forestry Research and Education (ICFRE) with a digital GC registry ensuring transparency.

Conclusion

India is at the intersection of tradition and transformation. India—today the world’s most populous nation with a rich agricultural tradition—is reimagining its growth narrative, one that places sustainability, innovation and climate action at its core. Low-carbon agriculture is not a concept for the distant future, it is a national imperative. From wiser rice farming to cleaner livestock management, Indian farmers are showing how environmental stewardship and economic growth are possible simultaneously.

With bold policy frameworks, a burgeoning carbon market and grassroot innovation, India is doing more than just adjusting to the climate challenge. It is making this challenge a pathway to future opportunities. Grounding its message on its farmers' shoulders and a green future, India is now poised to rally the world to climate-smart agriculture. What we plant in our fields today will help us build a resilient, self-reliant and climate-ready Bharat of tomorrow.