Potential purchases of U.S. ecosystem credits from agriculture could be as high as $13.9 billion according to an IHS Markit economic assessment released today by the Ecosystem Services Market Consortium (ESMC). The study sought to determine the extent of market demand for credits that American farmers and ranchers can generate through establishing and maintaining conservation practices that provide quantified ecosystem benefits. The Economic Assessment was released at the September 24 Farm Foundation Forum on “Incentivizing Conservation Agriculture.”
“The Informa assessment confirms ESMC’s conviction that there is substantial demand for ecosystem services from farmers and ranchers. ESMC is building a voluntary market to monetize those outcomes for producers, using science-based approaches to increase and measure soil organic carbon, reduce greenhouse gas (GHG) emissions and improve water quality and water use efficiency,” said ESMC Executive Director Debbie Reed. “This study demonstrates conclusively the demand for the ecosystems services marketplace ESMC will launch in 2022. Through the ESMC marketplace, farmers and ranchers will receive payments for the environmental benefits they provide, and corporate and public entities will be able purchase credits to meet their sustainability goals.” Read the full press release here.