Extreme weather is causing significant problems for smallholder farmers and others who depend on agricultural value chains in developing countries. To help people adapt to changing conditions, governments, the private sector and development partners have become interested in the uptake and scaling of climate smart and regenerative agriculture. By adopting sustainable agricultural practices, farmers can get direct economic benefits that help promote the well-being of their families and communities.

Recurring drought is a major challenge in the Drought Prone Areas of states Maharashtra, Rajasthan and Madhya Pradesh. Worldwide, 500 million small-holder farms produce about 80% of the food consumed in Asia and sub-Saharan Africa and provide livelihoods for more than 2 billion people. developing countries want to address climate change through the development framework. Thus, there is an urgent need for strategies that provide a “triple win”.

Climate-Smart Agriculture (CSA) takes into consideration the diversity of social, economic and environmental contexts, including agro-ecological zones. Implementation requires the identification of climate-resilient technologies and practices for the management of water, energy, land, crops, livestock. And as the world moves to implement market-based measures to promote GHG mitigation, markets can offer an additional incentive for small-holder farmers to adopt climate-smart practices.

• Reduced interest rate for farmers (Loan to farmers aimed to be at subsidized rates) even possibly a lower amount to be borrowed due to the unique financial model combining the benefits of both Carbon Finance and concessional Climate Finance.
• Increased source of income and new employment opportunities – via monitoring, maintenance etc.
• Reduced gender inequalities – Involvement of both men and women.
• Capacity building and knowledge sharing.
• Awareness and education on carbon markets.
• Low-income farmers to access low-cost microfinance.