Robert Pore's Ag Blog

A new program that pays farmers for environmental stewardship has been launched by the National Farmers Union.

The Carbon Credit Program will provide financial incentives for farmers who adopt farming practices that promote environmental stewardship.

According to Tom Buis, president of the National Farmers Union, this voluntary, private-sector carbon trading program at the Chicago Climate Exchange allows agriculture producers and landowners to earn money for cropping practices such as no-till, long-term grasslands, forestry and other practices.

He said these practices help store or "sequester" carbon and reduce carbon dioxide in the atmosphere.

Carbon dioxide is one of six greenhouse gases that trap heat in the atmosphere, producing an increase in the temperature and global warming.

"Farmers can play a key role in helping address one of the biggest environmental challenges confronting our nation, and the world," Buis said. "We are thrilled to be a part of this voluntary, private sector initiative that will improve increased environmental stewardship on our nation's farms. "

“Carbon sequestration is the process of taking carbon out of the air and putting it in the soil,” said Martin Kleinschmit of Hartington’s Center for Rural Affairs and sustainable ag specialist. “And the only place that can happen is through photosynthesis in plants.”

According to Kleinschmit, soil carbon — also referred to simply as carbon or organic matter — is the most crucial element in the U.S. food production system that is not only greatly influenced by farming practices, but widely misunderstood and understated.

Buis said Farmers Union has been approved by the Chicago Climate Exchange (CCX) to enroll producer acreages of carbon into blocks of credits that will be traded on the CCX, much like other agricultural commodities.

He said large companies and other entities purchase credits on the CCX to offset their own carbon emissions into the atmosphere.

“Once the credits are sold, producers earn income based on the acres they have enrolled,” Buis said.

Dr. Richard Sandor, founder of the Chicago Climate Exchange, said he welcomes National Farmers Union to the group of aggregators providing soil offsets from our country's agricultural producers.

"National Farmers Union joins with North Dakota Farmers Union in working with producers to reward them for management practices that are economically viable and environmentally sound. We look forward to adding additional producers in the coming months,” Sandor said.

Kleinschmit said the way to increase the amount of carbon in the soil is by having plants grow longer, and keep more plants growing.

Carbon, in the form of soil organic matter, is a major source of plant nutrients and the major food source for most soil organisms.

As the most valuable resource to a farm’s long-term sustainability, carbon increases crop yield potentials, not just for the year at hand but for years to come, Kleinschmit said

“Carbon sequestration is the most critical thing, the most beneficial thing, that farmers can do,” he said.

Because of global warming, temperatures are on the rise. With hotter temperatures, more carbon is used, Kleinschmit said, along with the need for practices that replace used carbon.

“If the earth continues to warm, as is predicted, we’re going to need more carbon just to maintain the levels,” he said. And this is happening at the same time we’re looking for other uses for our carbon — like (bio-fuel).”

Kleinschmit said as inputs get increasingly expensive and as poor soil quality takes its toll, more farmers need to know how to remedy the problem before it gets worse.

He said low carbon results in erosion, inability of soil to absorb or retain water, lack of nutrients to growing plants, and inability for plants to utilize nitrogen.

“Most farmers are taught to think (nitrogen, phosphorus and potassium),” Kleinschmit said. “These are the main inputs being sold, and that alone doesn’t do a thing. It just lays there.”

He said many of the synthetic additives destroy the natural environment in which carbon is produced.

“That kills the whole process, Kleinschmit said.

A farm bill supporting conservation and sustainable agricultural practice is being supported by the Nebraska Wildlife Federation.

This week, the Sustainable Agriculture Coalition released its outline for the 2007 Farm Bill.

“This is a proposal for a farm bill that would put family farmers, strong rural communities, and our natural resources at the top of the list in our agricultural policy, where they belong,” said Duane Hovorka, Nebraska Wildlife Federation executive director.

The proposal was developed by a nationwide coalition representing grassroots family farm, conservation and rural interests.

“Congress and the Bush administration have failed family farmers, failed rural communities, and fallen far short of the promises made in the 2002 Farm Bill to protect our natural resources,” Hovorka said.

Hovorka pointed to programs like the Conservation Security Program and Wetlands Reserve Program as examples where Congress and the administration are falling far short of the promises made in 2002.

“The Conservation Security Program should be helping farmers throughout the Republican River and Platte River basins today, to meet the need to reduce water use while maintaining on-farm profits,” Hovorka said. “Instead, Congress cut funding for the program, and USDA responded by cutting back on the farmers who could benefit from the program.”

He said the 2002 farm bill said the Wetlands Reserve Program would protect 250,000 acres of wetlands per year.

“Instead, Congress cut the program’s funding by 40 percent,” he said.

Hovorka said the coalition also released its report card on how Congress and the administration have done in implementing 10 key parts of the 2002 Farm Bill, giving Congress a D+ and the Bush Administration a C- for their work.

He said the coalition gave failing or low grades to both the Congress and the Bush administration for repeated actions to cut and divert the funding promised in the 2002 farm bill to farmers and rural America for conservation, research and rural development.

Hovorka said core recommendations of the new farm bill platform include:
‰ Enact a comprehensive, cross-cutting new farmer and rancher initiative to provide beginning farmers and ranchers with tools they need to successfully enter farming or ranching.

‰ Transform the Conservation Security Program to support comprehensive conservation at high levels of natural resource protection on all types of farms and ranches on a nationwide basis.

‰Expand the scope and funding of the Value-Added Producers Grant program, including the addition of a new grant component to develop value chains that increase the profitability of mid-sized farms using clear and transparent social, environmental, fair labor and fair trade standards.

The Center for Rural Affairs recently released a report that found USDA research and grant programs lacking in either benefit or relevance to small- and mid-sized farmers and ranchers as well as beginning farmers and ranchers.

The report analyzes the benefits to small- and mid-sized farms and ranches of four mainstay USDA research and rural development grant programs — the Value-Added Producer Grant program (VAPG); Rural Business and Enterprise Grant program (RBEG); National Research Initiative (NRI); and Initiative for Future Agriculture and Food Systems (IFAFS).

“Our analysis revealed that, in total, of nearly $500 million dedicated to these four programs, only five percent went to projects determined to be beneficial to small and mid sized farmers and ranchers or beginning farmers and ranchers,” reported Kim Leval of the Center for Rural Affairs.

The American Farmland Trust also is supporting the Sustainable Agriculture Coalition's call for new farm policies that strengthen agriculture, the environment and rural development.

AFT President Ralph Grossi said momentum continues to build for change in U.S. farm policy.

"With new marker bills being introduced in Congress, proposals and recommendations being put forth, we're beginning to see what that change could look like—improved safety net programs, expanded conservation, support for farmers and ranchers left out of past farm bills, increased access to healthier diets, and a greater emphasis on entrepreneurship, new markets and renewable fuels,” Grossi said.