Small farms are the backbone of Europe’s food system, making up 76% of all agricultural holdings. Yet, despite their vital role, they remain largely excluded from the fast-growing carbon credit market. This means millions of farmers miss the opportunity to diversify income, finance sustainable practices, and contribute to climate neutrality. PATH2CC – Pathways to Carbon Credits for Small Farms – is set to change that. Starting in September 2025, this two-year EIT Food–co funded project will create practical, scalable solutions to help Europe’s small farms access high-quality, trustworthy, and traceable carbon credits.

Why PATH2CC is needed?

The EU’s recent frameworks for carbon removal failed to integrate small farms, leaving a critical gap. With 7 million farms under 10 hectares, empowering these farmers to join the carbon market is essential not only for climate action but also for rural resilience, biodiversity, and food security. At the same time, the carbon credit market is under growing scrutiny. High-profile cases have raised concerns about greenwashing, where offsets are generated thousands of kilometers away from the actual source of emissions. This disconnect erodes trust, as companies buy credits with little transparency or tangible impact in their own value chains. That’s why bringing polluters closer to the generators of carbon credits is so powerful. Through insetting, financing carbon reductions directly within a company’s own supply chain, businesses can ensure real, measurable impact while strengthening relationships with their partners. In the agri-food sector especially, regional insetting creates a win–win: farmers receive support for regenerative practices, while companies secure trusted, traceable credits that enhance both climate performance and value chain resilience.

What PATH2CC will deliver?

PATH2CC tackles this challenge head-on by combining:

• Simplified carbon & biodiversity assessment methodology
• Educational resources, peer-to-peer training, and advisory services
• Business and organizational models that de-risk the transition
• Matchmaking via the COVERE² platform to connect farmers, buyers, and partners

Over its two-year journey, PATH2CC will pilot its methods and models on three farms in Finland, Spain, and Ukraine. It will also develop a PATH2CC Handbook for small farms covering carbon farming, biodiversity, and soil health. In addition, it will build robust in-setting and local business models where companies support their farm suppliers’ transition. PATH2CC contributes directly to the EU Green Deal, the Farm to Fork Strategy, and EIT Food’s missions, such as Net Zero Food System by cutting emissions and scaling regenerative practices a Fair & Resilient Food System, by empowering rural communities and Healthier Lives Through Food with the improvement of soil, biodiversity, and nutrition potential.

What is the link between PATH2CC and COVERE²?

COVERE² and PATH2CC are deeply complementary. Through COVERE², agri-food producers, starting with the dairy sector, receive support not only in meeting CSRD reporting requirements but also in driving sustainability transformation. Such transformation, however, is only possible at a certain pace and to a certain extent, particularly in sectors like livestock. PATH2CC complements this** by enabling both offsetting and insetting of emissions**, offering farms additional financial incentives to accelerate their transition. Together, the two initiatives form a comprehensive pathway: Report – Transform – Offset/Inset, combining compliance, transformation, and revenue opportunities to scale real-world impact.

Who is behind PATH2CC?

PATH2CC is driven by a diverse and powerful European consortium combining business, research, and farming expertise: • ELEKS (Estonia/Ukraine) – project coordinator & commercialization partner • Juntos Farm (Spain) – pilot farm & testing lead • Queen’s University Belfast (UK) – academic expertise in biodiversity credits • University of Helsinki (Finland) – scientific lead on carbon assessment • University of Reading (UK) – education & training lead • Molokia (Ukraine) – agricultural innovation partner This collaboration ensures scientific excellence, on-the-ground practicality, and commercial viability.

Join the Path to a Resilient and Fair Agri-Food System

PATH2CC is more than a project, it is a shared journey toward resilience, regeneration, and fairness for millions of small farmers across Europe. By 2030, PATH2CC envisions a European farming sector where sustainable agriculture is economically rewarding, even for the smallest farms, through fair access to carbon markets, and where companies offsetting emissions gain from high-quality, locally produced credits. Let’s shape this future together: whether you are a European farm ready to transform or an industry building resilient value chains, PATH2CC is your pathway.