Farmers paid $4 million for Carbon Credits

Nearly 1,800 farm operators nationwide will soon receive checks for the sale of carbon credits.
AgraGate, a subsidiary of Iowa Farm Bureau, collects credits from individual farmers and ranchers and combines the credits into sizable pools. AgraGate has paid out more than $4.2 million to customers across the country who have already enrolled their no-till, strip-tilled or grass-planted agricultural land in the voluntary carbon credit market. The checks average $2,375 and cover the first half of 2008.
Dave Krog, CEO of AgraGate, said, “Our 2008 mid-year payments more than tripled from last year, when we wrote checks totaling just under $1.2 million to 1,141 participants, an average of $1,050 an operation.” He attributes the rise to an increased number of customers and credits enrolled in the CCX (Chicago Climate Exchange) by companies such as Florida Farm Bureau Federation.
Florida Farm Bureau Federation is providing Florida landowners the opportunity to participate in this program. Seminars have been held across the state and more are upcoming in Washington and Columbia counties. The sessions are aimed at educating landowners about the benefits and risks of the new program.
Landowners with no-till, strip-till, or grass planted land, managed or new timber and those with a methane digester are eligible for participation in the program. Payment is based on the amount of carbon being sequestered (stored) through agricultural practices and forest management.
“We’re pleased that the Florida Farm Bureau Federation has agreed to work with us as we aggregate carbon credits from farmers and ranchers in the state,” said Krog. “The market for carbon credits offers farmers, ranchers and private forest owners a brand new revenue opportunity. It’s important to partner with people who have significant experience in the state so they can help explain both the opportunities and the risks involved in the program.”

Upcoming meeting dates, locations and times include:
• July 22-Washington County Ag Center, East Wing at 6 p.m.
• July 23-Columbia County Extension Office at 10 a.m.

For more information on the educational seminars, call Florida Farm Bureau at (352) 384-2661.

The Florida Farm Bureau Federation is the state's largest general agricultural association with approximately 135,000 member-families statewide. Headquartered in Gainesville, the Federation is an independent, non-profit agricultural organization and is not associated with any arm of the government. For more information, visit http://www.floridafarmbureau.org/carbontrading.