Commercial Opportunities for Indian Coffee Planters in Carbon Credit Market.
- 1 carbon credit current pricing for Agro-forestry is $ 9-11 www.8billiontrees.com
- 1 unit of carbon credit corresponds to 1 metric ton of carbon dioxide prevented from entering the atmosphere https://submer.com
- “Studies estimate 1 Hectare of shade-grown coffee farm with large forest trees can sequester 70-80 tonnes of carbon. Which is more or less equivalent to the carbon stored in an equal area of a forest.
- On the contrary a full sun-grown or openly cultivated coffee farm in one hectare can only store less than 10 tonnes of carbon” or 4 tonnes per acre. Open cultivation is the way coffee is cultivated across the world https://www.researchgate.net/publication
- Extrapolating further, 1 Acre of shade-grown coffee farm with large forest trees can sequester 28-32 Tonnes of Carbon annually.
- Considering studies & current carbon credit pricing. Commercial Potential per Acre for shade-grown Indian Coffee Plantations with large forest trees is $ 280-320, translates to INR 22,960-26,640 annually.
- There are websites that cite higher prices in USD for 1 Carbon Credit, we have taken a conservative approach in our commercial estimates.
