Understanding Land Based Emissions in Agriculture: How to Tackle Scope 3 Challenges 

Land based emissions are a significant yet often overlooked part of agriculture’s carbon footprint. These emissions come from activities like deforestation, soil degradation, and land-use changes, which release large amounts of carbon dioxide, methane, and nitrous oxide into the atmosphere. In today’s push for sustainable agriculture, tackling these emissions is no longer optional—it’s essential. 

According to IPCC, Agriculture, forestry and other types of land use account for 23% of human greenhouse gas emissions. At the same time natural land processes absorb carbon dioxide equivalent to almost a third of carbon dioxide emissions from fossil fuels and industry 

Let’s take a closer look at land-based emissions, a critical component of Scope 3 emissions in agriculture. These are the indirect emissions tied to everything from converting forests to farmland to poor soil management. Addressing these emissions is key for agrifood companies striving to shrink their carbon footprint, align with sustainability goals, and meet growing demands for eco-friendly food production. In this blog, we’ll discuss the role of land-based emissions in agriculture, their impact on the environment, and practical ways companies can mitigate them through smarter land-use practices. 

Key takeaways 

• What Are Land-Based Emissions? 

• Why Do Land-Based Emissions Matter in the Agrifood Sector? 

• Challenges in Managing Land-Based Emissions 

• Practical Solutions for Reducing Land-Based Emissions 

• Technology for Land-Based Emission Reduction 

What Are Land-Based Emissions? 

When we talk about the carbon footprint of agriculture, we often think about fuel for tractors or energy use in food processing. But did you know that a significant chunk of emissions comes from the way we use and manage the land? These are called land-based emissions, and they play a huge role in agriculture’s environmental impact. 

Land-based emissions are part of Scope 3 emissions—the indirect emissions that occur across an entire supply chain. In agriculture, these emissions primarily come from: 

• Deforestation and land-use changes: When forests are cleared to make way for farmland, the carbon stored in trees is released into the atmosphere. 

• Soil management: Poor farming practices like excessive tilling or overusing chemical fertilizers release carbon dioxide, methane, and nitrous oxide. 

• Livestock and rice paddies: Cows produce methane during digestion, and rice paddies emit methane due to the anaerobic conditions in flooded fields. 

Why Do Land-Based Emissions Matter in the Agrifood Sector? 

The agrifood sector has one of the largest carbon footprints globally, and land-based emissions make up a significant portion of this. Every step of the food journey—growing crops, raising livestock, and even converting forests to fields—can contribute to emissions. 

Here’s why it’s important: 

1. Environmental impact: Land-based emissions contribute heavily to climate change, making agriculture a key area for mitigation efforts. 

2. Supply chain sustainability: From farm to fork, land use affects how sustainable the entire supply chain is, impacting everything from biodiversity to soil health. 

3. Regulatory and consumer pressure: Governments and eco-conscious consumers are increasingly demanding sustainable practices, making it crucial for agrifood companies to manage their land-based emissions. 

By addressing land-based emissions, agrifood businesses can take a big step toward creating a more sustainable future for both the planet and their bottom line. 

Scope 3 emissions are generated both upstream and downstream within the value chain and lie outside the direct control of the reporting organization. In the agri-food sector, a substantial proportion of corporate greenhouse gas (GHG) emissions fall under scope 3, primarily due to land-based emissions stemming from agricultural practices. For agri-input companies, these emissions can represent 67% of their corporate GHG inventory (scope 3 downstream), while for food companies, they may account for as much as 88% (scope 3 upstream). Consequently, tackling scope 3 emissions presents a significant opportunity to lower corporate GHG inventories. Since upstream and downstream entities contribute to on-farm emissions, this highlights the importance of collaboration throughout the value chain, involving both agri-input suppliers and food producers. 

Definitions of Scopes 1, 2, and 3   

• Scope 1: Emissions that are directly generated from a company’s owned or controlled operations.   

• Scope 2: Emissions that are indirectly linked to energy production.   

• Scope 3: Indirect emissions resulting from the company’s value chain.   

Tackling scope 3 emissions can be particularly challenging (in contrast to scopes 1 and 2) since these emissions occur outside the direct influence of the reporting company.   

The majority of emissions arise from agricultural practices and related land-use changes. This forms the scope 3 upstream for traders, manufacturers, processors, and retailers (scope 3, category 1) and scope 3 downstream for agricultural input suppliers (scope 3, category 11).  

For companies downstream of the farm, scope 3 typically accounts for an average of 88% of emissions associated with sourcing agricultural raw materials. Conversely, an upstream firm like a nitrogen producer sees around 52% of its emissions in scope 3 from the usage of nitrate-based products in agricultural fields.   

In this regard, scope 3 presents a considerable opportunity for reducing corporate greenhouse gas (GHG) emissions. However, agri-food businesses view it as one of the greatest challenges in establishing and achieving climate objectives. 

Agri-input suppliers and the food value chain contribute to on-farm emissions, allowing companies to report a decrease in farm emissions as a reduction in their corporate GHG inventories. This creates a collective opportunity and supports the rationale for collaboration throughout the value chain in tackling land-based emissions, aiming to decarbonize the industry in alignment with the goals of the Paris Agreement. For farmers, land-based emissions fall under scope 1. Farmers lack incentives to adopt the same GHG accounting and target-setting strategies as corporations. Therefore, it is essential for companies to spearhead efforts in minimizing land-based emissions. 

Challenges in Managing Land-Based Emissions 

Reducing land-based emissions sounds great on paper, but when it comes to actually managing them, things can get tricky.  

1. Complexity of Tracking Land-Based Emissions 

Imagine trying to measure emissions from hundreds, or even thousands, of farms across different regions, each with its own unique land type, farming methods, and environmental conditions. That’s the reality for most agrifood companies. 

For example, emissions from a rice paddy in Asia look very different from those of a wheat farm in Europe. Add in variations in climate, soil types, and farming practices, and you can see why tracking land-based emissions across a global supply chain is a huge challenge. 

2. Data Gaps and Inconsistent Reporting 

Another hurdle is the lack of reliable data. Smallholder farmers, who make up a significant part of the global agricultural workforce, often don’t have the resources or technology to measure and report their emissions accurately. 

Even when data is available, it’s not always consistent. Some farmers might use advanced tools to track their emissions, while others rely on manual estimates. This patchwork of reporting makes it hard for companies to get a clear picture of their overall emissions. 

3. Supply Chain Coordination 

Addressing land-based emissions isn’t something a single company can do alone. It requires collaboration across the entire supply chain—farmers, landowners, suppliers, retailers, and even regulators. 

But getting everyone on the same page can be tough. Farmers may resist adopting sustainable practices if they see them as costly or time-consuming. Meanwhile, retailers and regulators might push for changes without fully understanding the challenges on the ground.

Practical Solutions for Reducing Land-Based Emissions 

Sustainable Land Management Practices 

The way we manage land plays a massive role in reducing emissions. By adopting sustainable practices, farmers can improve productivity while cutting down their carbon footprint. 

• Agroforestry and Regenerative Agriculture: 
  Imagine farmlands where trees and crops grow side by side, creating a balanced ecosystem. That’s agroforestry in action. Similarly, regenerative agriculture focuses on techniques that restore soil health, like crop rotation and minimizing chemical use. These practices trap more carbon in the soil and reduce emissions. 

• Improved Soil Management: 
  Small changes in soil care can have a big impact. Techniques like no-till farming (where soil isn’t plowed) and planting cover crops can prevent soil degradation and reduce the release of greenhouse gases. These methods also improve soil fertility, making them a win-win for farmers and the environment. 

A prominent agribusiness partnered with TraceX’s sustainability platform to transform its land restoration efforts through regenerative agriculture. By adopting innovative practices such as no-till farming, crop rotation, and soil health monitoring, the company significantly reduced land degradation and improved carbon sequestration. TraceX’s platform enabled real-time tracking of sustainability metrics, offering transparency and actionable insights across the supply chain. This initiative not only rejuvenated degraded lands but also demonstrated a scalable model for sustainable farming, aligning the agribusiness with global sustainability goals and setting a benchmark for the industry. 

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Reducing Deforestation and Land-Use Change 

Land-use change, like clearing forests for agriculture, is one of the biggest contributors to land-based emissions. But this doesn’t have to be the case. 

• Commitment to Zero-Deforestation Supply Chains: 
  Companies can pledge to source ingredients only from suppliers who commit to zero deforestation. For example, a food company could ensure its soybeans or palm oil are grown on land that wasn’t recently cleared of forests. 

• Supporting Conservation Efforts: 
  Businesses can partner with organizations working to protect and restore forests. Investing in reforestation projects or helping local communities adopt sustainable farming practices can create long-term benefits for both the environment and local livelihoods. 

Technology for Land-Based Emission Reduction 

Technology is a game-changer when it comes to tackling emissions. With advanced tools, companies can measure, monitor, and verify sustainability efforts more effectively. 

• Satellite and Remote Sensing: 
  Ever wondered how we can monitor vast areas of farmland without being physically present? Satellite technology provides real-time insights into land use, crop health, and even deforestation hotspots. These tools help companies identify problem areas and act quickly. 

• Blockchain and Digital MRV Systems: 
  Blockchain technology ensures transparency in the supply chain. For example, companies can track every step of a product’s journey, from the farm to the store, verifying that sustainable practices were followed. Digital MRV (Monitoring, Reporting, and Verification) systems add another layer of credibility by offering accurate data on land-based emissions. 

TraceX Solutions 

The TraceX dMRV (Digital Monitoring, Reporting, and Verification) platform is an advanced, blockchain-powered solution designed to track, measure, and report greenhouse gas (GHG) emissions across agricultural supply chains with accuracy and transparency.  

Key Features and Capabilities of TraceX dMRV 

1. Real-Time Emissions Tracking: 
   The platform uses digital tools to collect real-time data on farm emissions, including methane, nitrous oxide, and carbon dioxide, from activities like livestock management, fertilizer application, and energy usage. 

2. Blockchain-Based Transparency: 
   Blockchain technology ensures tamper-proof records of emissions data, fostering trust and compliance with sustainability standards and regulations. 

3. Data Integration: 
   TraceX dMRV seamlessly integrates with satellite monitoring, IoT devices, and farm-level sensors to gather precise information on soil health, land-use changes, and crop yields. 

4. Granular Reporting: 
   The platform provides detailed emission reports categorized by source, enabling businesses to identify high-impact areas and prioritize emission reduction efforts. 

5. Compliance Support: 
   TraceX supports compliance with global sustainability regulations such as EUDR (EU Deforestation Regulation) and carbon certification programs by providing auditable data trails. 

The Farm Management Platform complements the dMRV system by enabling farmers and agribusinesses to adopt sustainable practices that directly reduce on-farm emissions. 

Core Features of the Farm Management Platform 

1. Sustainable Practice Implementation: 
   The platform guides farmers in adopting low-emission practices like: 

• No-till farming: Reduces soil disturbance, retaining more carbon in the soil. 

• Agroforestry: Promotes tree planting on farmland, enhancing carbon sequestration. 

• Precision Agriculture: Uses data-driven insights for optimal fertilizer and water application, minimizing emissions from overuse. 

2. Resource Optimization: 
   Farmers can track inputs like fertilizers, energy, and water to reduce wastage and emissions while improving productivity. 

3. Emissions Dashboard: 
   Provides a clear view of emissions from farming activities, broken down into specific categories like livestock, soil management, and machinery usage. 

4. Training and Support: 
   The platform includes modules for farmer education, helping them understand and implement emission-reducing techniques effectively. 

5. Integration with dMRV: 
   Data collected through the Farm Management Platform feeds directly into the dMRV system, ensuring end-to-end traceability and verification of sustainability initiatives.

Paving the Way for Sustainable Agriculture 

Addressing land-based emissions in agriculture is crucial for tackling Scope 3 challenges and achieving sustainability goals. By adopting regenerative practices, leveraging technology for traceability, and fostering collaboration across supply chains, the agrifood sector can significantly reduce its carbon footprint. These efforts not only comply with evolving regulations like EUDR but also create resilient and sustainable supply chains that benefit businesses, farmers, and the environment. The time to act is now—embracing these strategies will help secure a greener future for the planet and ensure long-term profitability for businesses.

Frequently Asked Questions ( FAQ’s )

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