Dairy Farmers Get $7 Million to Go Green with Climate-Smart Practices

Dairy Farmers Invited to Apply for $7 Million Incentive Pool



In a significant move to promote sustainability, dairy farmers across 15 states can now apply for support from a new program designed to foster climate-smart manure management practices. This initiative, backed by the U.S. Department of Agriculture (USDA), offers a total of $7 million in funding, which aims to enhance soil health, increase herd productivity, and reduce environmental impacts in dairy farming.

The program, known as the Dairy Manure Management Incentive Program, is part of a broader $70 million project called Transforming the Farmer to Consumer Supply Chain (Transform F2C). This project aims to create sustainable supply chains for climate-smart commodities. Eligible farmers can receive up to $1 million per farm entity.

Implementing Climate-Smart Practices



The funds are intended to help farmers integrate various sustainable manure and nutrient management practices tailored to their unique operational needs. These practices include waste storage, separation, composting, and nutrient management systems, which are critical for minimizing the carbon footprint of dairy production. According to Nick Goeser, co-founder of Carbon A List, the entity managing the grant, "Many manure management practices require substantial capital investments, but the returns on investment, both environmentally and economically, can be significant. This initiative is set to yield an impressive reduction in greenhouse gas emissions, with expectations to lower emissions by over 50,000 tons of CO2 over five years."

This program prioritizes small-scale and historically underserved farmers, ensuring that a broader range of producers benefits from these climate-resilient farming practices. Applications for funding began on December 2, 2024, and will remain open until January 30, 2025.

Application Process



Farmers from states including California, Idaho, Indiana, Kansas, Maryland, Michigan, Minnesota, Nebraska, New Mexico, New York, Ohio, Pennsylvania, Texas, Utah, and Wisconsin are eligible to apply, provided they meet the Farm Service Agency (FSA) requirements. The incentive payments will be awarded based on the estimated environmental impact in terms of CO2 equivalent reductions from the practices adopted. Selected applicants may obtain funding that covers up to 100% of their proposed project budget.

The enrollment process has been streamlined into a straightforward six-step guide, helping farmers easily navigate from verifying their eligibility to submitting an online application. This effort is aimed at reducing barriers to accessing funding critical for implementing sustainable practices on dairy farms. For more information about the program, farmers can visit TransformF2C.com/dairy-manure-management.

About the Transforming the Farmer to Consumer Supply Chain Initiative



The Transform F2C initiative is funded through the USDA Partnerships for Climate-Smart Commodities and aims to work with industry leaders to build partnerships along the supply chain of climate-smart goods. The goal is not only to empower farmers but also to boost climate resilience and ensure consumers have access to sustainable dairy products. By transforming the current system from farm to table, the initiative sets a roadmap for a greener, more climate-friendly future in agriculture.

This program is a testament to the ongoing efforts to make the agricultural sector more responsive to climate change challenges and underscores the vital role that sustainable practices play in the future of food production.

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