The Tamil Nadu Government has announced a series of climate-focused initiatives in its Agriculture Budget 2026-27, including a carbon trading scheme for farmers and a 5-year Soil Fertility Mission, as per news reports.
The measures have been introduced to address growing climate uncertainties, particularly the anticipated Super El Nino phenomenon.
The government has allocated ₹60 lakh to launch demonstration projects covering 2,000 acres and develop monitoring and verification protocols for carbon trading.
The scheme will enable farmers to earn additional income through carbon credits by adopting sustainable cultivation practices such as Direct Seeded Rice (DSR) and Alternate Wetting and Drying (AWD) irrigation.
According to the budget, DSR and AWD techniques can reduce greenhouse gas emissions by around 50% while increasing carbon sequestration in agricultural soils.
The government also stated that 12 districts are expected to face severe impacts during the Kuruvai season because of the anticipated Super El Nino.
Mitigation measures will be implemented through the existing District Agricultural Contingency Plan prepared by the Tamil Nadu Agricultural University (TNAU) and shared with District Collectors.
The government has launched the Tamil Nadu Soil Fertility Mission, a five-year programme with an estimated outlay of ₹600 crore.
For 2026-27, ₹122.51 crore has been allocated across 10 components to restore soil organic carbon, reclaim alkaline and saline soils, and reduce dependence on chemical fertilisers.
An allocation of ₹8 crore will provide ₹4,000 per acre as an incentive for organic farming across 20,000 acres, while ₹10 crore has been earmarked to establish permanent vermicompost production units.
The government will also waive registration and renewal fees under the National Programme for Organic Production (NPOP) during the conversion period and provide free scope certificates to eligible farmers.
Separately, an Agroforestry Scheme with an outlay of ₹17.70 crore will restore 12,500 acres of cultivable fallow land by planting 200 saplings per acre, including Teak, Mahogany, Sandalwood, Malai Vembu and Red Sanders.
Read More: Tamil Nadu Government to Launch Gold Ring Scheme for Newborns on September 15, 2026!
The Agriculture Budget 2026-27 combines short-term climate preparedness with long-term soil restoration and sustainable farming initiatives. The announced measures cover carbon trading, organic farming, agroforestry and soil conservation as part of the state's broader climate-resilient agriculture strategy.
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Published on: Aug 6, 2026, 4:19 PM IST
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