The emerging global agricultural soil carbon market: the case for reconciling farmers’ expectations with the demands of the market

Abstract

In the absence of a global environmental policy framework to standardise the monitoring, reporting and verification of soil carbon stock changes and/or reductions in soil-derived greenhouse gas emissions, private sector and civil society organisations have played a key role in governing the production and trade, and/or direct sale of carbon credits. This paper takes the United Kingdom as a case study region where carbon codes, rather than environmental policies, have served to shape the agricultural soil carbon market. It explores innovative farmers' willingness to adopt soil health practices; interest in participating in soil carbon sequestration schemes; and expectations regarding their scope to derive benefits from the market. Data was collected through online questionnaires administered to 100 farmers and six private sector and civil society organisations. Results indicate farmers' adoption of practices does not necessarily translate into a willingness to adopt additional practices and/or an ability to engage with the carbon market. Moreover, there is, currently, a gap between farmers' expectations and market demands, as articulated by carbon standards. The paper adds to global literature on the agricultural soil carbon market by illustrating how descriptive case study research can enhance understanding of the opportunities and challenges associated with incentivising farmers' market participation. Furthermore, it generates insights of relevance for policymakers and practitioners globally by outlining how a temporary relaxation of carbon code rules could facilitate early and subsequent entrants’ engagement with the market; thereby kick-starting and supporting the growth and development of the market, and enhancing its transparency, robustness and integrity.