Mirova, a sustainable investment firm affiliated with Natixis Investment Managers, has announced a significant investment of $30 million in Varaha’s Kheti soil carbon project in India. This marks Mirova’s first carbon investment in the country and represents its largest single commitment to date under its nature-based carbon strategies. The investment aims to bolster regenerative agriculture practices among smallholder farmers across the Indian states of Haryana and Punjab.

The Kheti project is set to support over 337,000 smallholder farmers across 675,000 hectares. It focuses on implementing regenerative practices such as direct seeding of rice, crop residue management, and reduced tillage. These methods are expected to generate high-quality carbon credits, with a revenue-sharing model that ensures farmers benefit directly from the sale of these credits, adhering to the Verra VM0042 methodology. Additionally, the project is in the process of obtaining Climate, Community & Biodiversity (CCB) certification, which recognizes land management projects that provide simultaneous benefits for climate, local communities, and biodiversity.

Founded in 2022, Varaha has quickly established itself as Asia’s largest carbon project developer, focusing on empowering smallholder farmers through innovative climate solutions. The company’s approach combines local expertise with a robust implementation model, utilizing a network of local partners for effective project execution. Varaha’s digital platform facilitates real-time monitoring, reporting, and verification, ensuring transparency in both climate and social outcomes.

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The Kheti project is not only aimed at climate mitigation but also promises significant co-benefits. It is expected to enhance soil health, improve biodiversity, reduce water consumption, and minimize the use of chemical inputs. Furthermore, the project is anticipated to increase agricultural yields, lower input costs, and create jobs, while also focusing on gender inclusion by supporting women farmers and female entrepreneurship in rural areas.

Madhur Jain, Managing Director and CEO of Varaha, emphasized the importance of this partnership, stating that it validates Varaha’s vision of making regenerative agriculture a key component of India’s climate strategy. He noted that the project demonstrates how large-scale carbon initiatives can provide substantial livelihood benefits while addressing climate change.

Charlotte Lehmann, Senior Investment Director at Mirova, described the investment as a pivotal milestone in their strategy, opening new avenues for scaling high-integrity nature-based investments across the Asia-Pacific region. She highlighted that the Kheti project exemplifies how carbon finance can drive systemic transformation in agriculture and enhance the resilience of vulnerable rural communities.

Since 2020, Mirova has mobilized over $350 million from corporate partners to support nature-based carbon projects, aiming to guide the sector towards greater maturity and accelerate the scaling of this asset class. Through initiatives like the Kheti project, Mirova is reinforcing its commitment to high-integrity climate finance and transformative impact in the region.