ICAC Introduces Carbon Credits Initiative to Support Cotton Farmers’ Income

The International Cotton Advisory Committee (ICAC) has announced the launch of a carbon credits initiative designed to create new income streams for cotton farmers by linking sustainable production practices with participation in carbon markets.

Under the program, participating producers may generate up to $200 per hectare in additional revenue. The initiative also focuses on improving soil health, strengthening resilience, and contributing to climate change mitigation.

The framework incorporates regenerative agriculture practices, biochar application, and a monitoring, reporting, and verification (MRV) system to produce certified carbon credits aligned with international standards. The approach combines technical processes with on-ground implementation to address both environmental and economic aspects.

A pilot project is currently being conducted in Uzbekistan. Early findings from the pilot indicate potential for expansion across other cotton-producing regions.

To facilitate implementation and market integration, ICAC has partnered with Merago Inc. The company will manage MRV processes, certification, and trading of carbon credits generated under ICAC-led programs focused on regenerative agriculture and carbon sequestration.

The ICAC Secretariat has invited governments, private sector stakeholders, certification bodies, and industry experts to participate in scaling the initiative and extending its reach within the global cotton sector.

For further information, Ms Parkhi Vats, Upstream Lead for the project, is the contact point.