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Amazon in pact with Bayer’s TGRA for carbon credit offtak...
2026-04-22 · via Business News Today: Latest Business News, Finance News

The Good Rice Alliance (TGRA) announced Wednesday that it has entered into a long term off-take agreement with Amazon for sale of carbon credits generated from its sustainable rice farming initiative in India, which is focussed on reducing methane emissions.

TGRA, which is focussed on advancing sustainable rice farming in India, is implementing a major project for reducing methane emissions from rice cultivation among more than 13000 small farmers across 35,000 hectares in multiple states.

Amazon is collaborating with TGRA as the primary buyer for the project, with its commitment covering more than 685,000 metric tons of carbon dioxide (Co2) equivalent carbon credits during the initial crediting phase, according to a TGRA statement. This role highlights Amazon’s dedication to advancing scalable solutions for climate impact and illustrates the substantial reach of TGRA’s initiative.

TGRA, a company owned by Bayer, builds on a multi-year feasibility study and pilot program undertaken by Bayer, GenZero, and Shell Nature-Based Solutions, which established the technical, scientific, and operational foundations for large-scale rice methane mitigation. GenZero’s and Shell’s participation in the long-term program remain subject to applicable regulatory approvals.

The agreement with Amazon supports TGRA’s large-scale program working with smallholder rice farmers to reduce methane emissions through the adoption of improved water-management practices, including Alternate Wetting and Drying (AWD) and Direct Seeded Rice (DSR). Methane is a super pollutant with a global warming potential over 27 times that of carbon dioxide, making near-term reductions critical for slowing climate change this decade.

TGRA, which provides agronomic training, field-level support, and financial incentives to enable durable practice change has designed the program to deliver measurable climate impact while strengthening farmer livelihoods through improved yields, reduced input costs, and increased resilience to climate stress.

“This agreement with Amazon reflects growing demand for rigorously measured, high-integrity methane mitigation credits,” said Suhas Joshi, Carbon Initiative Lead for TGRA and Bayer in India. “Our focus is on delivering real, verifiable climate outcomes while ensuring that smallholder farmers are at the center of the value created.”

Conventional rice cultivation, which involves the continuous flooding of paddy fields, accounts for 8-10% of global methane emissions, making it the second largest source of agricultural methane emissions globally, behind livestock. Geographically, India is the third largest global methane emitter with the largest area of rice cultivation in the world, which supports over 100 million livelihoods, the statement said.

“Methane is a super pollutant that demands our attention now, and agriculture represents a critical opportunity to reduce emissions,” said Michelle Jolly, Director of Sustainability Solutions and Services at Amazon. “This agreement demonstrates our commitment to high-quality carbon credits -- supported by auditable field measurements and documentation of practice change, independent validation by remote sensing, and biogeochemical modeling—demonstrating real climate impact. We’re supporting a program that delivers measurable emissions reductions at scale while helping thousands of farmers build more water-efficient operations. It’s the kind of practical solution that moves us from ambition to real impact.”

TGRA places a strong emphasis on science-led measurement, reporting, and verification (MRV) framework, enabling third-party verified, high-integrity carbon credits and material methane reductions at scale. Emission reductions are quantified using direct, field-based methane measurements, conducted in collaboration with the International Rice Research Institute (IRRI), and complemented by digital monitoring tools and third-party verification under Verra’s Verified Carbon Standard (VCS) using the VM0051 methodology for improved rice management. Building on this measurement-first foundation, TGRA is also working toward the future use of a biogeochemical model for emissions quantification, subject to ongoing calibration and validation work, which is expected to further strengthen the scientific rigor and scalability of the program over time.

“Methane reductions in rice cultivation represent one of the most immediate opportunities to slow near-term global warming and partnerships with companies like Amazon enable us to scale proven and science-based solutions, while delivering positive climate impact along with tangible benefits to farmers” Joshi added.

Published on April 22, 2026