Google has agreed to acquire 1 million carbon credits from Indian startup Mitti Labs through 2030, in what is reported as the largest publicly announced deal focused on reducing methane emissions from rice cultivation. The agreement spans rice farms in Karnataka, Andhra Pradesh, and Telangana, covering approximately 100,000 hectares at peak delivery.
Mitti Labs incentivizes farmers to adopt water management practices that shorten the flooding period of rice fields. This approach reduces methane emissions by about 50% and cuts irrigation water use by roughly 40%, without impacting crop yields. The project aligns with Google's broader sustainability efforts as it aims to reach net-zero emissions by 2030, despite rising greenhouse gas emissions linked to its expanding AI infrastructure.
The startup uses a GeoAI platform that integrates satellite radar imagery with on-the-ground data to monitor crop growth, soil moisture, and flooding remotely. This technology enables accurate tracking and verification of emission reductions across smallholder farms. Carbon credits generated through the project are certified by recognized bodies such as Gold Standard and Isometric, with independent third-party verification.
Mitti Labs currently partners with over 100,000 farmers and plans to scale to millions by 2030. The deal with Google will support this expansion and help the startup reach additional corporate buyers. The majority of revenue from these projects benefits farming communities directly.
Beyond India, Mitti Labs intends to expand into Southeast Asia, starting with the Philippines later this year and Indonesia in 2027. The deal reflects growing corporate interest in agricultural methane reduction as a climate strategy, given the vast number of rice farmers across Asia.
This is not Google's first carbon credit investment in India. Earlier, the company partnered with Varaha to purchase biomass-based carbon removal credits and has also invested in clean energy projects such as solar power in Rajasthan to address supply-chain emissions.
The Mitti Labs agreement highlights the increasing role of technology-driven agricultural projects in corporate climate initiatives and the potential for scalable methane mitigation in rice farming.