ÀϾÅÆ·²è

MoreÌýand more, both firms and individuals are looking for ways to offset their carbon emissions – and agroforestry will go a long way towards meeting the globe’s shared climate goals. Rabobank has developed a platform which could see smaller landowners engaged in the climate fight for the first time.ÌýÌý

By Nicole Junkermann, founder ofÌý

Increasing numbers of corporates and individuals are keen on offsetting their carbon emissions – but it is not always easy to do so.ÌýÌý

One solution isÌýagroforestryÌý– the intentional combination of agriculture and foresting – which sees bushes and trees planted on farms and pastures. ThoseÌý‘forests on farms’Ìýdo a great job as carbon catchers, andÌýÌýseem to have found a way toÌýcommercialiseÌýthe process whilst also tackling the global COâ‚‚Ìýchallenge.

Recently I listened to the bank’s Innovation LeadÌýJelmerÌývan deÌýMortelÌýtell theÌýÌýabout theirÌýnew bigÌýidea, and whyÌýthe firm wants to remain a leader inÌýagriculture financingÌýand sustainability-oriented banking.ÌýÌý

Smallholders across the globe are becoming more engaged in agroforestry, which can diversify their incomes with the revenues from fruits or nuts from new trees. This can help to combat inefficiencies, high losses, lowÌýyieldsÌýand sensitivities to climate change in farms.ÌýÌý

Rabobank’s platform will connect large corporates looking to offset their emissions with smallholder farmers, who through their tree plantingÌýare sequestering carbon. The project leverages Rabobank’s roots inÌýagriculture, Microsoft’s technology, and integrates remote sensing, artificialÌýintelligenceÌýand machine learning. The ultimate objective is to create a global,ÌýtransparentÌýand transformative platform which will ensure smallholder farms remain both sustainableÌýandÌýprofitable.ÌýÌý

Getting smallholders engaged in the practicality, as well as the principle, of carbon capture is a vital piece in the climate puzzle. Data differs from country toÌýcountry, but one oft-cited study from the journal WorldÌýDevelopment reckons some 75 per cent of the world’s agricultural land is operated by families – and the smallest farms, smaller than two hectares, account for about 12 per cent of the total.ÌýÌýÌý

Too often, those smallholders have been reluctant to get into the carbon capture world.Ìý

The costs associated with the carbon market have made it difficult forÌýsmallholdersÌýfirms to get involved. Monitoring how much carbon has been captured, and certifying it, are prohibitively expensive. Rabobank’s support enables to the introduction of agroforestry at scale and usesÌýcarbon sequestrationÌýcredits to make it more profitable. Satellites monitor and measure the carbon captured by the trees, which is then certified andÌý‘tokenised’Ìýto be sold to those wanting to offset their emissions. Remote sensing and artificial intelligence will be applied to calculate theÌýcarbon sequestrationÌýgenerated, ensuringÌýscalabilityÌýand increasing the number of farmers that can participateÌýwhilst scaling up innovative uses of agroforestry.ÌýÌý

With the pilot phase currently underway in sub-Saharan Africa, hundreds of smallholder farmers have planted over 50,000 trees in cooperation with Rabobank over the past year. The bank has ambitious plans, hoping to sign up 15 million farmers in the next four years.ÌýÌý

It’sÌýa hugely exciting project, and I’m excited to see how it grows. Using natural solutions in the form of agroforestry in combination with technology is truly innovative.ÌýÌý

Nicole Junkermann is an international entrepreneur and investor, and the founder ofÌý, an international investment company with interests in venture capital, private equity, and real estate. Through NJF’s venture capital arm (), Nicole oversees a portfolio similar in size to a small venture fund across Europe and the US, including in healthcare, fintech, and deep tech.

Partner content