Journal Press India®

PRAGATI: Journal of Indian Economy
Vol 13 , Issue 1 , January - June 2026 | Pages: 161-174 | Review paper

Carbon Credits and Indian Agriculture: A Review

 
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Author Details ( * ) denotes Corresponding author

1. * Malathi K, Assistant Professor, Economics, University of Madras, Chennai, Tamil Nadu, India (malathisharan10@gmail.com)

Carbon credit refers to the removal of one metric ton of carbon dioxide (CO2) or other equivalent Greenhouse Gas (GHG) emissions from the atmosphere by adopting sustainable agricultural practices. In the Indian agricultural sector, traditional farming practices increases the emissions and also does not seem to improve the income of the farmers. On the other hand, carbon farming can be an alternative practice where the farmers can earn carbon credit by reducing the carbon footprint by adopting sustainable agricultural practices while earning additional income through these carbon credits. This method not only improves the farmer’s livelihood but also contributes to the sustainable development growth of the nation. Given the rising global attention to the sustainable development, it is crucial that India adopts such practices to its primary sector. This study aims to explore the potential of carbon credits in increasing the farmer's income and promoting sustainable development in India.

Keywords

Carbon farming; Greenhouse gas emissions; Sustainable development; Carbon credit; Indian agriculture

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