CarbonFarm raises €7 million to cut methane emissions from rice farming

CarbonFarm, a Paris-based ClimateTech startup specialising in rice decarbonisation, has closed an oversubscribed €7 million Series A funding round. The company plans to use the capital to expand its technology and support projects worldwide. This investment will help partners implement, finance and measure rice decarbonisation projects at a larger scale.

The investment round was led by Colam Impact, the impact investment arm of Sonepar. Participation included Proparco, Suma Capital, elea, Working Capital Fund, Albo, and Bpifrance. Existing investors Serena and makesense also renewed their support through Racine².

Rice cultivation accounts for around 12 per cent of human-caused methane emissions globally. The crop uses up to 28 per cent of the world's freshwater resources while emitting greenhouse gases comparable to aviation. Improved water management practices can reduce emissions by up to 50 per cent and water use by 30 per cent without affecting yields.

CarbonFarm combines AI-powered satellite imagery analysis with field-data collection tools to monitor farming practices. Greenhouse gas modelling allows the technology to quantify emissions at the field level for accurate reporting. The company also emphasises the importance of reliable emissions data as carbon accounting requirements become more rigorous.

Co-founder and CEO Vassily Carantino says scale will come from equipping local value-chain players rather than replacing them. The company focuses on turning local knowledge into programmes that can attract finance and stand up to scrutiny. Projects that can show clearly how their results were scientifically measured build greater confidence.

Founded in 2021, the startup now operates in 19 countries across Asia, Africa, Europe, and the Americas. Partners include major food companies such as Mars Food and Diageo, alongside academic institutions like Cornell University. The company also lists carbon-finance players and tech giants among its partners.

The fresh capital will support expansion into Latin America while strengthening presence in Asia, Africa, and Europe. CarbonFarm intends to invest further in technology development to help partners implement decarbonisation projects at scale. The funding aims to make high-integrity rice decarbonisation viable at global scale.

Reliable data allows projects to attract carbon credit buyers willing to pay a premium for high-quality credits. Access to climate finance is a key goal for the company as it works with cooperatives and governments. Partners include Livelihoods Funds, myclimate, the World Bank, and Asian Development Bank.