Carbon Credit for Agriculture, Forestry, and Land Use Market Report 2026

The carbon credit for agriculture, forestry, and land use market size has grown exponentially in recent years. It will grow from $7.51 billion in 2025 to $9.67 billion in 2026 at a compound annual growth rate (CAGR) of 28.8%. The growth in the historic period can be attributed to early promotion of reforestation initiatives, rising awareness of climate change impacts, initial adoption of voluntary carbon markets, government-led afforestation and conservation programs, growth of sustainable agriculture practices.

The carbon credit for agriculture, forestry, and land use market size is expected to see exponential growth in the next few years. It will grow to $26.35 billion in 2030 at a compound annual growth rate (CAGR) of 28.5%. The growth in the forecast period can be attributed to increasing corporate net-zero commitments, rising demand for high-quality removal credits, expansion of digital mrv (measurement, reporting, verification) tools, growing investments in regenerative farming, global policy support for carbon market transparency. Major trends in the forecast period include growing adoption of nature-based carbon removal projects, expansion of regenerative agriculture for soil carbon sequestration, rising participation of farmers and landowners in carbon credit programs, increasing development of standardized measurement and verification protocols, growing integration of carbon credits into corporate sustainability strategies.

The increasing focus on reducing carbon emissions is expected to drive the growth of the carbon credit market for agriculture, forestry, and land use in the coming years. Carbon emissions refer to the release of carbon dioxide (CO₂) and other greenhouse gases into the atmosphere. The push to lower carbon emissions is fostering innovation and research in areas such as renewable energy, battery storage, carbon capture and storage (CCS), and sustainable agricultural practices to achieve long term environmental benefits. Carbon credits help mitigate emissions by incentivizing activities that either remove CO₂ from the atmosphere or prevent its release, thereby balancing the carbon footprint in agriculture, forestry, and land use sectors. For example, in November 2023, according to the United Nations Environment Programme, a Kenya based environmental authority, as of 25 September 2023, 97 Parties representing approximately 81 percent of global GHG emissions had committed to net zero targets: 27 through legislation, 54 via policy documents, and 16 announced by officials. This marked an increase from 88 Parties in the previous year. Targets set for 2050 or earlier account for 37 percent of emissions, while pledges extending beyond 2050 cover 44 percent. Therefore, the rising demand to reduce carbon emissions is driving growth in the carbon credit market for agriculture, forestry, and land use.

Leading companies operating in the carbon credit for agriculture forestry and land use market are focusing on developing innovative technological solutions, such as multi-activity carbon credit SaaS platforms, to help achieve decarbonization targets. These platforms generate high-quality carbon offsets from various mitigation activities by utilizing diverse data sources and technologies. For instance, in September 2023, CERO Technologies, an India-based software company, launched a carbon credit generation SaaS platform known as the digital measurement, reporting, and verification (dMRV) platform. This technology addresses current market supply constraints, inefficiencies, and credibility issues by accelerating carbon credit calculation and verification using high-quality data, producing high-quality carbon credits in real-time.

In March 2024, TÜV SÜD, a Germany based technical services company, acquired Forest Resource Solutions and Technologies (FRST Corp) for an undisclosed amount. Through this acquisition, TÜV SÜD aims to enhance its expertise and capabilities in validating and verifying climate protection and forestry related sustainability projects, strengthen its presence in the expanding market for carbon offset and wildfire mitigation solutions, and offer clients comprehensive support in achieving their sustainability and climate objectives. Forest Resource Solutions and Technologies (FRST Corp) is a US based company specializing in providing carbon credits for agriculture, forestry, and land use.

Major companies operating in the carbon credit for agriculture, forestry, and land use market are Cargill Incorporated, Bayer AG, WGL Holdings Inc., Conservation International, Indigo AG Inc., Green Mountain Energy, The Carbon Trust, 3Degrees Group Inc., Terra Global Capital LLC, EcoAct, Verra, American Carbon Registry, Carbon Credit Capital LLC, Land Life Company, Allcot Group, Enking International, natureOffice GmbH, South Pole, Ecosystem Services Market Consortium, Sterling Planet Inc., Finite Carbon Corporation, GreenTrees LLC, Gold Standard, Nori Inc.

Note that the outlook for this market is being affected by rapid changes in trade relations and tariffs globally. The report will be updated prior to delivery to reflect the latest status, including revised forecasts and quantified impact analysis. The report’s Recommendations and Conclusions sections will be updated to give strategies for entities dealing with the fast-moving international environment.

Tariffs are influencing the carbon credits market by increasing costs associated with imported monitoring equipment, satellite imaging technologies, and verification tools used for carbon project validation. Regions with developing digital infrastructure and strong reliance on foreign technology, particularly parts of Asia-Pacific and Latin America, are most affected. These tariffs may slow the rollout of large-scale forestry, land-use, and agricultural carbon projects. However, they also stimulate domestic innovation in environmental monitoring systems and encourage local capacity building for carbon credit certification.

The carbon credit for agriculture, forestry, and land use market research report is one of a series of new reports that provides carbon credit for agriculture, forestry, and land use market statistics, including the carbon credit for agriculture, forestry, and land use industry global market size, regional shares, competitors with carbon credit for agriculture, forestry, and land use market share, detailed carbon credit for agriculture, forestry, and land use market segments, market trends, and opportunities, and any further data you may need to thrive in the carbon credit for agriculture, forestry, and land use industry. These carbon credit for agriculture, forestry, and land use market research reports deliver a complete perspective of everything you need, with an in-depth analysis of the current and future scenarios of the industry.

Carbon credits in agriculture, forestry, and land use represent units of greenhouse gas reduction or removal from the atmosphere achieved through activities such as reforestation, sustainable farming, or wetland restoration. These credits incentivize the reduction of carbon emissions and are traded to offset emissions elsewhere, contributing to global climate change mitigation efforts and promoting sustainable land management practices.

The carbon credit market for agriculture, forestry, and land use primarily consists of two types voluntary and compliance. Voluntary carbon credits are units of greenhouse gas emissions reductions or removals generated outside of mandatory regulatory frameworks. The market encompasses various types of projects, including forestry and land use, and agriculture, with several applications such as avoidance projects, removal projects, and combination projects.Asia-Pacific was the largest region in the carbon credit for agriculture, forestry, and land use market in 2025. The regions covered in the carbon credit for agriculture, forestry, and land use market report are Asia-Pacific, South East Asia, Western Europe, Eastern Europe, North America, South America, Middle East, Africa. The countries covered in the carbon credit for agriculture, forestry, and land use market report are Australia, Brazil, China, France, Germany, India, Indonesia, Japan, Taiwan, Russia, South Korea, UK, USA, Canada, Italy, Spain.

The carbon credit for agriculture, forestry, and land use includes revenues earned by entities by providing services such as carbon accounting and measurement, verification and validation project development and management. The market value includes the value of related goods sold by the service provider or included within the service offering. Only goods and services traded between entities or sold to end consumers are included.

The market value is defined as the revenues that enterprises gain from the sale of goods and/or services within the specified market and geography through sales, grants, or donations in terms of the currency (in USD unless otherwise specified).

The revenues for a specified geography are consumption values that are revenues generated by organizations in the specified geography within the market, irrespective of where they are produced. It does not include revenues from resales along the supply chain, either further along the supply chain or as part of other products.

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