Low Carbon Agriculture (ABC Credit)

The aim of this program is to stimulate more sustainable practices in Brazilian agriculture that reduce GHG emissions and increase carbon sequestration through specific activities such as: no-till agriculture; recuperation of degraded areas; integration of crops, livestock, and forest; planting of commercial forests; biological nitrogen fixation; and treatment of animal residues. Each producer has a credit limit of USD 500,000, with an annual interest rate of 5.5% and a repayment period of 5–15 years. The Program was created during the 2010–11 harvest with a fund of USD 1 billion.