The carbon sequestration market could generate some real money for Dakota farmers in the future.
The price for carbon credits has ranged from less than $2 to more than $7 per metric ton in the U.S. voluntary market, but has been substantially higher in Europe's compliance market.
The U.S. is expected to adopt a compliance market, too, in the future.
If carbon credits sold for $20 per metric ton in the U.S., a 160-acre no-till field located in eastern South Dakota could return $1,920 annually. That's according to SDSU faculty members Francisco Mamani Pati, David Clay, and Gregg Carlson, who have written a new guide to carbon credit market.
For their report, go to agbiopubs.sdstate.edu/articles/FS951.pdf.