As climate-conscious agriculture gains urgency, one startup is turning rice fields into a new frontier for emissions reduction. CarbonFarm, a technology company focused on measuring and reducing greenhouse gas emissions from rice cultivation, has raised €7 million in an oversubscribed Series A funding round. The investment will help the company strengthen its digital monitoring platform, expand into new markets and support more farmers and agricultural organisations in adopting climate-friendly practices.
The funding round was led by Colam Impact, with participation from Proparco, Suma Capital, elea, Working Capital Fund, Albo and Bpifrance. Existing investors Serena, Makesense through Racine², and Techmind also joined the round, reflecting continued investor interest in technology that connects agricultural sustainability with measurable environmental outcomes.
Tackling Rice Farming’s Climate Challenge
Rice is a staple food for billions of people, but its cultivation presents significant environmental challenges. Flooded rice fields can generate methane, a potent greenhouse gas, while rice production also requires substantial quantities of freshwater. Rice cultivation is estimated to account for around 12 per cent of human-caused methane emissions and can use up to 28 per cent of global freshwater resources.
Changes in water management and farming practices offer a potential solution. Improved techniques can reduce emissions by up to 50 per cent and water consumption by approximately 30 per cent without affecting yields, according to the information provided by the company.
However, implementing these practices across the rice industry is difficult. Production often involves smallholder farmers operating across numerous locations, making it challenging to coordinate changes, monitor results and demonstrate environmental improvements consistently. CarbonFarm aims to address these obstacles by providing the technology and project support required to implement decarbonisation programmes at scale.
Using AI and Satellite Data
CarbonFarm combines artificial intelligence, satellite imagery analysis, field data collection and greenhouse gas modelling to measure farming practices and estimate emissions at the individual field level.
Its digital monitoring, reporting and verification technology is designed to help agricultural organisations understand whether changes in farming methods are delivering measurable environmental benefits. By combining remote sensing with information gathered on the ground, the platform can help partners track project performance across large and geographically dispersed farming areas.
Reliable measurement is particularly important for carbon markets. Projects seeking to generate carbon credits need credible evidence that their activities have reduced emissions. CarbonFarm’s technology aims to provide the data required for carbon credit certification, emissions reporting and corporate supply chain accounting.
Beyond Monitoring Technology
The company’s work extends beyond digital measurement. CarbonFarm also supports project development, financing, certification and connections with carbon credit buyers. This broader approach is intended to help partners move from sustainability goals to operational programmes that can attract investment and demonstrate results.
Co founder and chief executive Vassily Carantino said that scaling rice decarbonisation depends on empowering existing participants in agricultural supply chains rather than replacing them. Local organisations and project developers already understand farming systems and maintain relationships with producers. CarbonFarm seeks to equip these partners with the tools and financial pathways needed to implement climate solutions.
Co-founder and chief technology officer James Hastwell also highlighted the growing importance of scientific measurement. Projects that can demonstrate how their environmental results were measured are better positioned to build buyer confidence and potentially secure stronger demand for high-quality carbon credits.
Expansion Across Global Markets
Since its previous funding round, CarbonFarm has expanded its operations to 19 countries. Its network includes organisations across food and agriculture, carbon finance, international development and technology.
The new capital will support the company’s presence across Asia, Africa and Europe, while accelerating its expansion into Latin America. CarbonFarm also plans to improve its technology and strengthen its project development capabilities so partners can implement and measure rice decarbonisation programmes across more farming communities.
Building Accountability Into Agricultural Climate Action
CarbonFarm’s funding arrives as businesses and investors place greater emphasis on credible emissions data and measurable climate outcomes. For agricultural projects, demonstrating impact is essential to securing financing and maintaining confidence in carbon markets.
By combining digital monitoring with local partnerships and project support, CarbonFarm is seeking to make lower emission rice cultivation easier to implement and verify. Its next challenge will be translating its growing international footprint into large-scale environmental improvements while ensuring that farmers and local partners remain central to the transition.
