India issues first soil carbon payments to 2,550 farmers in Punjab and Haryana under Aadi program

India has started paying farmers for soil carbon. In September 2026, more than 2,500 smallholder farmers in Punjab and Haryana received digital payments totaling over ₹2.9 crore for adopting regenerative practices like Direct Seeded Rice and reduced tillage. The payments come from the Aadi program, run by Grow Indigo with ICAR's technical support, and are based on independently verified carbon credits issued under Verra's VM0042 methodology. The program covers over two million acres and 100,000 farmers across seven states. For the first issuance, around 30,000 acres generated more than 50,000 carbon credits, with individual farmers earning between ₹3,000 and ₹15,000. Grow Indigo paid farmers upfront from its own funds before selling the credits, avoiding delays. The program estimates savings of 45 billion liters of water and over 200,000 tonnes of crop residue kept out of fires, cutting PM2.5 emissions. This is a notable step for agricultural carbon markets in India, moving from policy design to actual farmer payouts. The verification process and upfront payment structure are worth watching as models for other regions.