President Trump signed an executive order advancing regenerative agriculture, and USDA Secretary Rollins announced a final Regenerative Feedstock Rule. The rule creates a framework for farmers to earn premium prices for corn, soybeans, sorghum, and spring canola grown with regenerative practices like cover crops and reduced tillage, by connecting those feedstocks to biofuel markets. USDA released an updated Feedstock Carbon Intensity Calculator to help producers quantify the carbon impact of their practices. The rule includes field-level carbon intensity tracking, mass balance chain-of-custody standards, and auditing requirements. This builds on a $700 million regenerative pilot program that has already covered over 49 million acres. The policy is market-driven rather than mandate-based, aiming to lower input costs and improve soil health while expanding domestic biofuel production. It ties directly to the 45Z Clean Fuel Production Credit and year-round E15 sales, creating a practical pathway for farmers to benefit from low-carbon fuel markets.
