More than 2,500 farmers in Punjab and Haryana have received digital payments linked to soil-carbon credits after adopting regenerative farming. The first payment was transferred to 2,550 farmers at an event held at Punjab Agricultural University (PAU) in Ludhiana , as part of Grow Indigo’s Aadi carbon-farming programme. The farmers received amounts ranging from approximately ₹3,000 to ₹15,000 based on the carbon credits generated from their fields.
These payments are part of the ‘Aadi’ program. ‘Aadi’ is a carbon-linked program for farmers that was launched in 2019 with technical support from ICAR. Between 2019 and 2022, participating farmers adopted practices such as direct-seeded rice cultivation, reduced tillage, and improved crop residue management.
The initial issuance of carbon credits covered approximately 30,000 acres of land and involved more than 50,000 credits. These credits were issued following the measurement and independent verification of greenhouse gas reductions and changes in soil carbon.
Grow Indigo stated that it made payments from its own funds before the carbon credits were fully sold, allowing farmers to receive payment without having to wait for the proceeds from the carbon market.
This program currently covers over 2 million acres of land and more than 100,000 farmers across seven states. Farmers who joined after 2022 are being monitored, and they will receive payments upon the issuance of carbon credits.
According to programme estimates, the participating fields saved about 45 billion litres of water and kept more than two lakh tonnes of crop residue from being burned, with associated reductions in PM2.5 emissions. The development comes alongside a broader decline in farm fires: Punjab recorded 5,114 incidents during the 2025 paddy harvesting season, down 93% from 2021, according to government data.
This initiative links farming practices (regenerative farming) to a potential additional source of income for farmers, while also supporting efforts in water conservation, soil management, and the reduction of crop residue burning incidents.
