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Audit-Ready Carbon Reporting for Agricultural Products

Track farm-level crop emissions, synthetic fertilizer carbon, grain processing energy, and transportation for commodity processing operations.

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The Industry Hotspot: Synthetic Fertilizer Application on Farms

Farm inputs dominate footprint

Agricultural products companies source crops from thousands of farms with fertilizer application as dominant emission source. Synthetic nitrogen fertilizers generate direct emissions from soil microbial activity and indirect emissions from nitrate runoff and volatilization. Fertilizer production itself is energy-intensive requiring natural gas feedstock. Farming operations also include diesel for tractors, irrigation pumps, and grain drying. Land use change from converting grassland or forest to cropland creates one-time carbon release. Processing facilities consume electricity for crushing, drying, and storage. NetNada tracks fertilizer application rates by crop and region, calculates field-level emissions, monitors processing energy, and aggregates across thousands of supplier farms for comprehensive Scope 3 Category 1 reporting.

SASB Industry Definition

The Agricultural Products industry processes and distributes agricultural commodities including grains (wheat, corn, rice), oilseeds (soybeans, canola), sugar, cotton, nuts, and animal feed. Companies operate grain elevators, crushing facilities, and distribution networks connecting farms to food manufacturers. Most emissions occur upstream at the farm level (fertilizers, machinery, irrigation) with additional processing and transportation emissions. Business models include commodity trading, processing into ingredients, and branded consumer products.

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Industry-Specific Carbon Accounting

No generic solutions. Metrics, data sources, and reporting aligned to Agricultural Products operations.

Farm-Level Fertilizer Emissions

Synthetic nitrogen fertilizers applied to crops generate direct soil emissions and indirect emissions from runoff and volatilization. Track fertilizer application rates (kg N per hectare) by crop type, region, and farming system. Calculate field-level emissions using crop-specific factors. Survey or model supplier farm practices to estimate total fertilizer consumption across sourcing regions. Benchmark conventional versus organic farming systems.

Fertilizer emissions per tonne crop

On-Farm Diesel and Energy Use

Tractors, harvesters, irrigation pumps, and grain dryers consume diesel or electricity. Diesel usage varies by crop and farming intensity. Irrigated crops require additional pumping energy. Post-harvest grain drying in humid regions adds fuel consumption. Collect primary data from representative farms or use regional averages. Calculate emissions per tonne yield.

Farm energy per hectare

Land Use Change Carbon Accounting

Converting native vegetation to cropland releases soil carbon and biomass carbon as one-time emission allocated over years. Track sourcing regions historically associated with agricultural expansion. Map supplier farm locations against deforestation datasets. Apply land conversion emission factors for forest-to-cropland or grassland-to-cropland transitions. Amortize land use change emissions over standard period.

Land conversion tracked by region

Processing Facility Energy Intensity

Grain elevators, crushing mills, and drying facilities consume electricity and natural gas. Oilseed crushing extracts oil from soybeans or canola. Sugar refining requires steam and electricity. Grain storage and handling uses conveyors and ventilation. Track facility energy per tonne throughput. Identify high-consuming operations for efficiency improvements or renewable energy procurement.

Processing kWh per tonne

Transportation and Logistics Emissions

Agricultural commodities move by truck, rail, and barge from farms to processing facilities to customers. Bulk commodities have lower transport intensity than packaged products. Track transportation mode mix, average distances, and payload weights. Calculate emissions per tonne-kilometer. Optimize logistics networks and shift to lower-emission modes where feasible.

Transport emissions per tonne-km

SASB FB-AG Metrics Automation

Auto-generate disclosure including gross Scope 1 and 2 emissions, Scope 3 Category 1 from agriculture, water consumption in water-stressed regions, percentage of suppliers in high-risk deforestation regions, and sustainable sourcing certifications. Footnotes cite commodity volumes and sourcing geographies.

SASB FB-AG compliant

Product Features for Agricultural Products

Use Carbon Data Uploader to import supplier farm data, fertilizer application records, facility energy bills, and commodity volumes for automated agricultural supply chain emissions. Learn more →

The Activity Calculator applies crop-specific emission factors for fertilizers, farm operations, and processing energy—calculating comprehensive agricultural product carbon footprints. Learn more →

Related Solutions

See our Carbon Accounting solution for end-to-end agricultural products emissions tracking from farm inputs through processing and distribution.

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Agricultural Products Case Studies

How entities in this industry use NetNada to solve carbon accounting challenges.

Oilseed Processor (Processing soybeans and canola, Multiple crushing facilities, Global sourcing)

Challenge

Major food manufacturers demanded supplier-specific carbon footprints for purchased ingredients. Existing lifecycle data used generic regional averages without farm-level granularity. Needed methodology to collect fertilizer and yield data from thousands of farms across multiple sourcing countries.

Solution

Implemented farm data collection program through agronomist network and buying stations. Gathered fertilizer application rates, yields, and farming practices from representative sample farms by region. Calculated weighted-average emissions by sourcing region. Integrated crushing facility energy monitoring. Generated product-specific carbon intensity for soybean oil and meal.

Result

Established baseline showing significant variation in farm-level emissions by region and practice. Identified regions with lower-emission farming systems for preferential sourcing. Launched sustainability incentive program rewarding farmers for reduced fertilizer use and cover cropping. Provided customers with product carbon footprints including regional sourcing detail.

Grain Merchant (Wheat, corn, barley trading and storage, Regional grain elevator network)

Challenge

Export customers in carbon-conscious markets requested grain carbon footprints. Emissions data limited to grain elevator electricity with no visibility to upstream farm emissions. Grain sourced from thousands of independent farms with variable practices.

Solution

Deployed farm survey methodology collecting data on fertilizer use, tillage practices, and yields. Partnered with extension services and farmer cooperatives to gather representative farm data by growing region. Calculated regional emission averages per tonne grain. Tracked grain elevator energy and logistics emissions.

Result

Generated regional grain carbon intensity values differentiated by conventional versus conservation tillage. Marketed low-carbon grain premium to export customers. Grain from conservation agriculture systems showed lower emissions enabling premium pricing. Expanded conservation tillage adoption incentives in sourcing regions.

SASB Disclosure Topics for Agricultural Products

Material sustainability topics beyond emissions that investors and stakeholders expect disclosed per SASB standards.

Greenhouse Gas Emissions

environment

Track Scope 1 from processing facility fuel and company-owned farm equipment. Report Scope 2 from facility electricity. Calculate Scope 3 Category 1 from supplier farm emissions (fertilizers, diesel, land use). Report emissions intensity per tonne commodity processed.

Land Use and Biodiversity

environment

Monitor sourcing regions for deforestation risk and conversion of high-conservation-value land. Track supplier farms in biodiversity-sensitive areas. Report policies on sourcing from recently converted land.

Water Management

environment

Track water consumption in processing facilities and irrigation water use on supplier farms. Monitor sourcing from water-stressed regions. Report water intensity per tonne processed.

Supply Chain Management

social

Disclose supplier engagement programs for sustainable farming practices. Report percentage of supply from certified sustainable sources (organic, regenerative). Track supplier audits and smallholder farmer support programs.

Food Safety and Quality

social

Report product recalls, quality control testing protocols, and contamination incidents. Disclose traceability systems tracking products from farm to customer.

Sustainable Agriculture Practices

business model

Disclose investments in low-carbon farming methods including precision agriculture, nitrogen optimization, cover cropping, and reduced tillage. Report percentage of suppliers implementing climate-smart practices.

NetNada tracks all SASB material topics, not just emissions. Our platform supports disclosure across environmental, social, governance, and business model topics relevant to your industry.

Agricultural Products FAQs

Common questions about carbon accounting for this industry

How do agricultural products companies calculate Scope 3 Category 1 emissions from farms?
Scope 3 Category 1 includes purchased goods - for agricultural processors this means farm-level emissions from crop production. Calculate by: (1) Track commodity volumes purchased by crop and region. (2) Collect farm data on fertilizer rates, fuel use, and yields either through supplier surveys or use regional averages. (3) Apply emission factors for fertilizer production and field emissions, diesel, and land use change. (4) Calculate emissions per tonne crop. (5) Multiply by procurement volumes. Most companies use hybrid approach: Primary data from key suppliers, regional averages for remainder. Report data quality and percentage based on primary data versus estimates.
Why do synthetic fertilizers dominate agricultural emissions?
Nitrogen fertilizers create emissions at three stages: (1) Production: Manufacturing nitrogen fertilizer requires natural gas as feedstock and energy source. (2) Direct field emissions: Soil microbes convert applied nitrogen to nitrous oxide, potent greenhouse gas with high warming potential. (3) Indirect emissions: Nitrogen losses through volatilization and runoff lead to downstream nitrous oxide formation. Direct and indirect field emissions together typically dominate total farm emissions. Application rates vary widely: High-input conventional farming uses substantial nitrogen per hectare, Organic systems use lower amounts from natural sources, Precision agriculture optimizes application reducing excess nitrogen.
Should agricultural companies report land use change emissions separately?
Yes, land use change emissions should be reported separately from ongoing agricultural emissions. Land conversion (forest or grassland to cropland) creates one-time carbon release from clearing vegetation and disturbing soil carbon. These emissions are allocated over time through amortization period. Report land use change separately because: (1) One-time versus annual emissions have different reduction strategies. (2) Sourcing decisions can avoid conversion risk going forward. (3) Transparency helps stakeholders distinguish legacy emissions from current operations. Use geospatial analysis to identify supply chain exposure to deforestation risk by commodity and region.
How do organic farming systems compare to conventional systems for carbon intensity?
Organic versus conventional carbon intensity depends on multiple factors: Organic systems typically have: Lower fertilizer emissions (using natural nitrogen sources instead of synthetic), Higher soil carbon sequestration (from organic matter additions and reduced tillage), Comparable or higher diesel use per tonne yield (lower yields may require more land area). Net carbon intensity per tonne often similar or slightly lower for organic, but varies by crop and farming practices. Both systems have reduction opportunities: Conventional through nitrogen optimization and efficiency, Organic through improved yields and renewable energy. Report carbon intensity by farming system when material percentage of sourcing is organic or regenerative.
Can agricultural products companies influence upstream farm emissions?
Yes, agricultural companies can drive farm-level emission reductions through: (1) Supplier engagement programs: Technical assistance on nitrogen management, precision agriculture, and conservation practices. (2) Financial incentives: Premium pricing for low-carbon crops or sustainable certifications. (3) Supply chain transparency: Collecting farm-level data creates benchmarking and improvement visibility. (4) Contracted production: Direct influence over farming practices through production contracts. (5) Technology deployment: Providing access to precision agriculture tools and soil testing. Document supplier engagement activities and report percentage of supply from low-carbon farming programs. Track emission intensity trends in sourcing regions over time.

Track Farm-to-Facility Emissions for Agricultural Products

See how agricultural processors collect farm data, calculate fertilizer emissions, and generate SASB-aligned disclosures—automated from supplier surveys and facility data.

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