February 8, 2022

USDA plans to invest US$1 billion on climate-friendly agriculture

The US Department of Agriculture (USDA) will spend US$1 billion in pilot agriculture projects that slash greenhouse gas emissions or capture and store climate-warming carbon, Reuters reported.

The Partnerships for Climate-Smart Commodities programme will tap on funds from the USDA's Commodity Credit Corporation. The corporation provides up to US$30 billion yearly from the US Treasury to stabilise agricultural product prices and support farm income.

The investment is part of new climate change initiatives by US President Joe Biden's administration. The administration aims to slash the domestic agriculture greenhouse gas emissions in half by 2030 and put the country towards net-zero emissions by 2050.

Approved, qualified projects for the programme include initiatives that slash emissions on dairy farms or programmes that expand the use of farming measures which soak up climate-warming carbon from the atmosphere and store it in the soil.

USDA Secretary Tom Vilsack said these practices could raise the value of US agriculture products as food firms and exporters seek to decarbonize their supply chains.

He said the programme essentially reduces the risk to farmers so they can learn how to do it and see positive results.

The funding will be awarded to qualified public and private entities. These include state and local governments, non-profits, small businesses, tribal governments and organizations, and colleges and universities.

Applications for grants between US$5 million to US$100 million need to be submitted by April 27, 2022, while those applying for smaller grants have until May 27, 2022.

-      Reuters