Agroforestry carbon-farming for transition to a circular economy

Policy Briefing #67 v1 guides operators of agroforestry carbon farming projects in aligning with the EU’s Carbon Removals Certification Framework (CRCF) condition that they should “support the transition to a circular economy¨. While no specifi conditions are set for this criteria in the “Do No Significant Harm” section of the Carbon Farming Delegated Act, specific requirements are mentioned for the project to generate circulat economy co-benefits.  Meeting these can increase the market value of an operator’s carbon credits.  The document highlights several ways to do this –  such as using fewer resources through precision agriculture or certified bio-based materials like biochar. The document also describes the use of fertilizing products made from recovered materials: including biochar, sheep wool pellets, and grape pomace – which enhance nutrient cycling and reduce reliance on synthetic inputs.  Finally, agroforestry practices are described which represent the apex of circular integration due to natural resource efficiency and deep nutrient cycling. However, operators face significant operational challenges, including high monitoring, reporting, and verification (MRV) costs, overlapping regulatory requirements, and strict liability rules for carbon reversals.