The USDA finalized the Regenerative Feedstock Rule to establish a voluntary, market-driven framework connecting field-level farming practices to domestic biofuel supply chains. It allows farmers producing corn, soybeans, sorghum, and spring canola to quantify, report, and earn premium market values based on the carbon intensity of their crops.
In a news release, Secretary of Agriculture Brooke Rollins stated, “Instead of mandates, we’re creating market opportunities. Farmers who choose to implement regenerative practices will have new opportunities to earn premium prices, lower their input costs, improve soil health, and strengthen the long-term profitability of the operation.”
The rule has a mass-balance chain- of- custody standards, requiring transparent traceability and verification so biofuel producers can document these supply-chain emissions. Rather than setting a strict mandate, it allows growers to directly tap into growing low-carbon fuel markets. Industry estimates suggest reducing a carbon score can translate to sizable shareable value, potentially adding $40 to $100+ per acre depending on local biofuel plant payouts.
Approved practices will allow farmers to lower their crop’s carbon intensity by implementing authorized techniques such as reduced/ no-till farming, cover cropping, and improved nutrient management (e.g., using nitrification inhibitors).
According to the finalized rule, the production of corn accounts for more than 50% of the direct greenhouse gas emissions associated with producing corn ethanol, and nearly 50% of soybean biodiesel emissions are attributable to the feedstock crop production.
The greenhouse gas emissions associated with growing corn and soybeans can be reduced with the “low-carbon practices” outlined in the final rule. Regenerative practices include reduced tillage, cover crops, and nitrification inhibitors.
In addition to regenerative agriculture practices, the order also urged the U.S. Environmental Protection Agency (EPA) to prioritize the registration of substances that can be used as alternatives to “older active ingredients.” It also encouraged EPA to support research into the impacts of chemical exposures on human health.
The USDA provides an updated Feedstock Carbon Intensity Calculator to growers to assist in qualifying their specific conservative practices and establish a measurable greenhouse gas reduction score. The calculator quantifies carbon intensities (CI) for four domestic feedstock crops: field corn, soybeans, sorghum, and spring canola.
The Tillage Disturbance Index for Soil Carbon (TDISC) tool generates a metric of soil disturbance that allows consistent determination of the intensity of tillage operations as an input for USDA FD-CIC.