Why Agoro Carbon Was Founded
It’s been five years since we launched Agoro Carbon. It may seem like a small anniversary on the global agriculture stage, but long enough to put $30+ million in U.S. farmers’ and ranchers’ pockets and transition 2.5+ million acres to regenerative practices. I’m extremely proud of the accomplishments of Agoro Carbon Alliance and focused on what comes next.
Our company was founded by Yara International , a global fertilizer company. As a corporation with a large emissions footprint, Yara has made significant efforts to decarbonize its own operations as well as initiatives like Agoro to address emissions where its products are used, namely on farms and ranches.
The role that carbon credits can play in corporate sustainability commitments has led to a carbon market that empowers growers’ transition into these practices. While carbon funding is an important lever to support this regenerative agriculture transition, we have always viewed the longer-term operational themes as the foundation of what we do and for keeping our growers engaged for the long-term. Climate-resilient crops, supported with more efficient water usage to improve forage quality, are part of how we ensure food security for the next generation and beyond.
Our Grower Relationships
We applaud the farmers and ranchers enrolling in Agoro Carbon’s program and taking the steps to transition their operational practices. Signing a 10-year contract is no small -commitment. While these sustainable practices are beneficial for grower operations over the long-term, they often require substantial upfront costs with inputs that have seen volatile markets in recent years.
To reduce that risk for producers, we offer incentives and pre-payments to support implementation costs and offer fixed prices for carbon credits that will be issued by the registry, regardless of market conditions or our ability to sell those credits. This provides an alternative to other carbon programs offering revenue sharing mechanisms only after the credits are sold. The Agoro Carbon program offers financial stability that our producers can use as a foundation for their regenerative ag journey.
The Carbon Market Today and Agoro Carbon
The carbon market has seen some challenges in recent years. Fortunately, Agoro Carbon has not only had strong backing from its owner, Yara, but has always aimed to operate with the highest quality and integrity in its program.
Last year, we signed a landmark 12-year offtake agreement to deliver 2.6 million carbon removal credits to Microsoft, the largest buyer for credits which meet only the highest quality thresholds. This represented one of the largest soil-based carbon removals commitments and marked a significant milestone in the advancement of agriculture-driven climate solutions. It unlocks significant investment to scale sustainable agriculture, reflecting corporate demand for durable, science-backed soil carbon removals.
This high quality is made possible thanks to the strong expertise and dedication of Agoro’s team. Besides continually improving our systems and processes, we have ~40% of our team members connecting with our growers daily. And of course, the highest integrity of our credits is made possible from our enrolled farmers and ranchers – we thank and applaud you for your efforts.
The Next Five Years
Our first five years have been foundational and have prepared us for the critical years ahead. The window to the 2030 climate goals is narrowing rapidly. Our next chapter is focused on elevating the standard: issuing more durable, scientifically verified carbon credits that reward our enrolled growers for their stewardship.
Financial incentives get people to the table, but operational excellence keeps them there."
We are excited to spend the next five years building upon our growers’ success, turning this momentum into a generational legacy.
