28 Nov 2023 --- FoodChain ID has joined forces with ReSeed to enhance transparency in the measurement and verification of sustainable practices within the agri-food supply chain, focusing on incentivizing and verifying carbon sequestration through regenerative agriculture under a new carbon credit verification standard.

Dr. Heather Secrist, senior VP, technical services Americas at FoodChain ID, tells Food Ingredients First: “The partnership establishes a new paradigm in sustainable food supply chain management.”

FoodChain ID will serve as the verifier for the carbon credit partnership. The company’s independent technical experts will perform yearly audits of farm practices under international sustainability standards, adding third-party credibility to the measurement of carbon sequestration in soil.

Meanwhile, ReSeed, with its AI-powered digital ledger transparency platform, will collect and process data for carbon credit measurement protocols to allow monetization and incentivization for farmers deploying sustainable practices in the field.

ReSeed’s team will also leverage their legal and technical knowledge to validate carbon estimates under international standards and provide field technical assistance to sort eligible farmers based on sustainability standards for farming activities.

“First, the investment is needed at the farm level to transition to regenerative agriculture. Secondly, the ability to measure and verify carbon sequestration in soil. And finally, the key principle of maintaining consumer trust through independent verification of carbon emission contribution claims,” Secrist explains.

Transforming agri-food sustainability
The food and agriculture industry currently contributes over one-third of the total global greenhouse gas emissions, nclick="updateothersitehits('Articlepage','External','OtherSitelink','FoodChain ID and ReSeed unite on AI-enhanced regenerative agriculture initiative','FoodChain ID and ReSeed unite on AI-enhanced regenerative agriculture initiative','337982','https://www.fao.org/news/story/en/item/1379373/icode/', 'article','FoodChain ID and ReSeed unite on AI-enhanced regenerative agriculture initiative');return no_reload();">according to the UN. Many companies in nclick="updateothersitehits('Articlepage','External','OtherSitelink','FoodChain ID and ReSeed unite on AI-enhanced regenerative agriculture initiative','FoodChain ID and ReSeed unite on AI-enhanced regenerative agriculture initiative','337982','https://www.foodingredientsfirst.com/news/industry-innovations-lean-toward-decarbonization-and-sustainability-to-mark-earth-day.html', 'article','FoodChain ID and ReSeed unite on AI-enhanced regenerative agriculture initiative');return no_reload();">F&B industries have claimed to work on decarbonization goals, more sustainable ingredients and general commitments to the planet’s welfare.

In a bid to enhance environmental impact, the carbon credit verification partnership aims to amplify transparency and accountability for sustainability progress and carbon credit offsets in the agri-food supply chain.

The partnership will utilize a class of conservation and avoided emissions credits, which will incentivize and provide a financial benefit for the farmers to manage their existing carbon stock (forestry, vegetation) on the land, which will be paid out over a period of years so that they will continue to be stewards of their land.

This collaboration serves as an incentive for farmers, encouraging increased investments in regenerative agriculture practices while complying with incoming nclick="updateothersitehits('Articlepage','External','OtherSitelink','FoodChain ID and ReSeed unite on AI-enhanced regenerative agriculture initiative','FoodChain ID and ReSeed unite on AI-enhanced regenerative agriculture initiative','337982','https://www.foodingredientsfirst.com/news/reforestation-for-all-nations-eus-new-law-could-lack-scope-to-incentivize-regenerative-agriculture.html', 'article','FoodChain ID and ReSeed unite on AI-enhanced regenerative agriculture initiative');return no_reload();">EU deforestation-free regulatory requirements.

Zak Zaidman, co-founder and president of partnerships at ReSeed, tells Food Ingredients First: “The new landmark EU deforestation regulation is requiring companies to prove that products imported into the EU are not linked to deforestation and forest degradation. While great news for deforestation efforts, this can potentially negatively impact the globe’s 2 billion smallholder farmers.”

“The new EU regulation requires mapping farms starting with their GPS coordinates — at great effort and cost for both the farmers and companies involved, raising concern that traders will stop sourcing from smallholder farmers because of the burden.”

What’s needed to comply with the EU’s deforestation regulation is third-party-verified, auditable, transparent data that is cost-effective and works for smallholder farmers and for companies alike, he says.

“By mapping and monitoring the health of smallholders’ farms in real-time, both companies and smallholder farmers can not only meet these new requirements but also finance increased resiliency, yields and improve livelihoods. ReSeed’s technology — verified by FoodChain ID — illustrates satellite imagery and crop insights in close-to real-time.” 

Meanwhile, as more carbon credits are traded in the region, there will no longer be a need for additional deforestation to generate extra income for small farmers and traditional communities.

“The direct incentives from the carbon market to smallholder producers could be the push needed to catalyze reforestation and preservation efforts around the world, including in the Amazon rainforest and Atlantic Forest, helping reduce deforestation rates while also initiating an explosion of reforestation,” adds Zaidman.

Overcoming challenges
Implementing and scaling regenerative agriculture practices in the global agri-food supply chain involves several challenges, according to the companies.

“The financial need can be partially covered by carbon credit insetting and offsetting strategies, but the voluntary carbon market needs further strengthening to ensure that these systems are robust and can withstand scrutiny through independent verification of progress,” the companies state.

“There is a need for all supply chain participants to grasp the time frame involved, as the benefits of regenerative agriculture manifest in the mid-to-long term. Both industry and consumer stakeholders need to understand this transition timeline. While progress is ongoing, continuous measurement and verification are important.”

“This can be bridged and financed by recognizing the existing ecosystem services provided by farmers, including avoided emissions from vegetation and soil conservation activities,” say the companies.

Other obstacles, such as the lack of standardized definitions for regenerative agriculture, with various interpretations in the market and the absence of transparency and independent verification in processes, pose risks, potentially leading to skepticism among consumers, market participants and stakeholders regarding the credibility of regenerative agriculture practices.

Dr. Ruud A. Overbeek, senior VP, corporate development and strategic relationships at FoodChain ID, tells us: “The partnership has a ‘farmer first’ focus, which enables farmers to invest in practices supporting further carbon sequestration.”

“It answers a specific market need with independent verification of carbon credits. Each company brings specialized expertise to measure and verify carbon sequestration under international sustainability standards.”