Recently, FCS partnered with the Truterra,TM LLC, which is the leading farmer-driven food and ag sustainability program in the U.S., launched by Land O’Lakes Inc. By partnering with TruterraTM, FCS will be able to help optimize sustainability and profitability for our customers. This includes helping customers to qualify for programs, helping evaluate and implement conservation practices, and identifying cost- share opportunities to implement these practices.
By working with TruterraTM, FCS will be able to utilize the TruterraTM sustainability tool. This tool allows FCS and their customers to generate a sustainability baseline for every field and predict and measure the impact of implementing specific conservation practices on the environment and profitability.
On December 6, TruterraTM released their most recent carbon program. Farmers have the opportunity qualify for a payment of $20 per ton of carbon. This is for farmers who previously (within the past five years) adopted certain management practices demonstrated to increase soil organic carbon. These practices may include complete no-till, strip-till, reduced till, and continuous soil cover (cover crops, double cropping, use of perennials). To see if you’re a good candidate, complete the concise survey at www.truterraag.com/carbonsurvey.
Also available this year is a $2 per acre payment for practice changes for crop year 2022. This may include planting cover crops, reducing tillage, or other practice changes made for the upcoming crop year 2022. With these changes, the farmer may also qualify for next year’s carbon credit offering (potential $20/ton).
Q: How will TruterraTM, LLC determine how much carbon is in my field?
A: Soil organic carbon levels will be measured using crop modeling, as well as in-field sampling. TruterraTM, LLC will pay for farmers to get soil sampling on the fields they seek to enroll in the program to evaluate soil carbon levels. Soil sampling data will then be evaluated along with up to eight years of historic data on soil management practices (three years baseline data, plus each year of practice change data up to five years), then entered into the TruterraTM sustainability tool to determine how much of the sampled carbon is the result of the conservation practices.
Q: How much carbon might be in my soil? Can I estimate my carbon amount before I commit to participating?
A: Data from the Soil Health Institute indicates one acre of regeneratively managed soil could sequester between .2 to .75 tons of carbon annually, depending on region, practices, and soil types. Through the TruterraTM sustainability tools and FCS, you can estimate the potential change in soil carbon levels of specific practices on your own fields. In addition, farmers who express an interest in this program can receive an indication of the range of carbon they can anticipate monetizing as part of the program qualification process.
Q: What happens if I have to change my practices for some reason? Will I have to repay for carbon that might have been released if I had an unanticipated practice change?
A: TruterraTM, LLC understands some changes are beyond farmers’ control and is employing a risk management strategy to account for the
limited number of such instances. Specific terms and conditions relating to practice changes will be provided in relevant program agreements which are required for program enrollment.
Q: What if I have been practicing conservation for more than five years? Can I participate?
A: No. At this time, TruterraTM, LLC is only able to compensate farmers for carbon removal
that is considered “additional” within the past five
years. Farmers who have been engaging in these
practices for more than five years are not eligible
for this offer but are encouraged to register for
information on future opportunities at truterraag.
Q: I have been doing these practices, but I rent the land I operate. Who is entitled to these payments if I enroll these acres?
A: Ownership of carbon assets can vary based on leasing agreements. TruterraTM, LLC encourages owners and operators to discuss this issue before fields are enrolled in the program. Farmers who operate rented land will be required to provide an attestation of their right to market carbon on the property as part of the required program agreements.
Q: Why is TruterraTM, LLC getting involved in carbon markets?
A: We believe farmers should be recognized – and rewarded – for their stewardship. As the only farmer-owned and farmer-driven sustainability platform, TruterraTM, LLC is working to connect ag retailers and farmers with emerging environmental market opportunities, such as the voluntary carbon market. These new markets will create new revenue opportunities for stewardship- minded farmers. In the end, we want to help farmers both adopt and be rewarded for their stewardship practices, and we strive to provide the best experience possible for farmers while also maximizing their financial returns.
If you have any questions regarding the carbon offering, or what TruterraTM has to offer for you, please feel free to contact Jeff Koops at (712) 441-1352.