Agroforestry: Realities of Indian agriculture

Agroforestry: Realities of Indian agriculture

Context:

Currently, 28.4 million hectares of land in India are under agroforestry, contributing to about 19.3% of the country’s carbon stocks.

• It is a great opportunity to India to reach 53 million hectares by 2050.
• Agroforestry, can help reach the target to absorb over 2.5 billion tons of CO2 equivalent by 2030.

 

Relevance:
GS – 2 (Government Policies & Interventions) GS – 3 (Conservation)

Dimensions of the Article:

• About Agroforestry
• Current Status of Agroforestry in India
• Carbon Finance and the Concept of ‘Common Practice’
• Challenges in India’s Agroforestry and Carbon Credit Access
• Need for India-Centric Carbon Standards
• Success Stories: TERI’s Agroforestry Projects in India

About Agroforestry:

• Agroforestry plays a crucial role in achieving environmental sustainability by also supporting economic growth.
• It is an integrated land use system that integrates trees and shrubs on farmlands and rural landscapes to enhance productivity, profitability, diversity and ecosystem sustainability.

Current Status of Agroforestry in India

• Currently, about 8.65% of India’s total land area is under Agrogrestry.
• As it involves integration of trees and shrubs into agricultural landscapes it also provides additional income to farmers through sale of wood, fruits, and other tree products.
• Agroforestry systems improves soil health, water retention, and crop yields.
• Although, the sector faces challenges and is not able to fully scale its potential, few farmers who constitute the majority of India’s agricultural community, are able to practicing agroforestry.

Carbon Finance and the Concept of ‘Common Practice’

• Carbon finance is a financial incentive given to those projects that help reduce GHG( Greenhouse Gas) emissions.
• “Common practice,” is a key concept in carbon finance. It helps determine whether a project is additional—meaning it goes beyond what is typically done in a specific region.
• In global carbon finance standards, like Verra’s Verified Carbon Standard (VCS) or the Gold Standard, if an activity is classified as “common practice,” it may not be eligible for carbon credits because it is not considered to provide additional environmental benefits.

Challenges in India’s Agroforestry and Carbon Credit Access

• Since major portion of Indian agriculture is fragmented and of small-scale nature, it is difficult for farmers to access carbon finance.
• Current global standards like Verra’s Verified Carbon Standard (VCS) or the Gold Standard, do not consider the unique agricultural landscape of India, where smallholder farmers dominate.
• And since this results in the exclusion of a large portion of Indian farmers from ARR projects, which are critical for earning carbon credits and additional income.
• Moreover, the educational gap and the lack of clear guidelines on how to systematically practice agroforestry on small farms adds to the challenge.

Need for India-Centric Carbon Standards

• The current global standards and the definition of “common practice”, fails to consider the specific uniqueness of the Indian farmers.
• India’s agricultural landscape would open up opportunities for many more farmers to participate in carbon finance projects which could provide much-needed income for rural households while also supporting India’s climate goals.
• The incentives from the carbon credit platforms will encourage systematic agroforestry practices in the country that would enhance both environmental sustainability and rural livelihoods in the country.

Success Stories: TERI’s Agroforestry Projects in India

• The Energy and Resources Institute (TERI) has implemented 19 agroforestry projects across seven states, benefiting over 56,600 farmers.
• This is a great example on how agroforestry has helped farmers increase their income and also contributed to environmental sustainability.

Way forward:

• To ensure that India can reach its full potential in agroforestry, the definition of “common practice” guidelines must be revised to accommodate realities of Indian agriculture.
• The government should design policies to provide targeted financial support and incentives for activities such as planting trees and also provide technical training for farmers so that they can adopt agroforestry practices.
• Finally, there is a need for better coordination between government agencies, research institutions, and private sector players to promote agroforestry on a larger scale.