Promote the spread of AWD rice produced in the rice paddy project areas and aim to improve farmers’ income.
Green Carbon, Inc. (CEO: Jun Okita, hereinafter referred to as “Green Carbon”) has announced plans to expand business operations with INTAD Co., Ltd (Representative: Nguyen Bui Cong, hereinafter referred to as “INTAD”) to sell processed foods produced with “AWD rice” across Vietnamese markets through joint efforts with MOU. “AWD rice” is the latest addition to the environmentally sustainable agriculture business, which are rice crops farmed using the AWD (Alternate Wetting and Drying) farming method. INTAD has purchased the rights to “AWD rice” at a high unit price, while generating profit obtained from carbon credits which will flow towards Vietnamese farmers cultivating the rice.
◆Background information and roles of INTAD and the MOU
Green Carbon has actively participated in the trading of carbon credits primarily surrounding Southeast Asian markets. The traded carbon credits are derived from nature-based sources, including forest conservation schemes, water paddies, mangrove forests, methane emitted from cattle, and bio-charcoal projects. In Vietnam, Green Carbon has focused efforts on trading carbon credits obtained through the maintenance of water paddies. Its primary locations are based in the Nam Dinh, Nghe An, Vinch Phuc, and An Giang municipalities, along with the focus of reducing methane emissions in Nghe An. We actively participate in implementing AWD strategies for Vietnamese farmers. As of this year’s Spring Season, we have achieved to implement the AWD farming strategy to 5,000ha worth of farmland. These successes have contributed to reducing methane gas emissions while raising the productivity yield of rice crops. INTAD is a company situated under the TH Corporation Group, which specialized in the purchasing and processing of rice products. For this project, Green Carbon is aiming to create a supply chain where Vietnamese farmers can receive profits generated from the process of INTAD buying, processing, and selling “AWD rice” for general consumers. INTAD has successfully managed to process around 25,000 tons of rice annually. We are planning on switching 70% of the processing operations undergone by INTAD to “AWD rice”.
※”AWD” rice is a designation used by Green Carbon to refer to rice that contributes to environmental sustainability; it is not the official name.
*¹：AWD (Alternate Wetting and Drying)
AWD is a technique that involves periodically flooding and naturally drying paddy fields based on the water level. Compared to continuous flooding, AWD can reduce water usage and contribute to the conservation of water resources.
◆Introduction of Green Carbon
Green Carbon operates with the vision of “Saving the Earth with the Power of Life,” providing comprehensive support from carbon credit creation, and registration, to sales. Additionally, we are involved in agriculture-related businesses, research and development, and ESG consulting, among others. Our main focus is on the creation of carbon credits through methane gas reduction in rice paddies, where we have obtained certification for J-Credits, the first and largest in Japan (approximately 6,220 tons), and plan to expand to around 50,000 hectares in the fiscal year 2024. We also offer a service called “Agreen” that integrates credit registration, application, and sales into one platform, simplifying procedures such as application registration and document preparation, thus reducing the workload for credit creators.
◆Introduction of TH Group / INTAD Co.,Ltd.
TH Group was established in 2009 and has rapidly grown to become one of the largest and most influential companies in the agricultural sector in Vietnam. The group operates numerous projects in the food and beverage sector, including the production and processing of fresh milk, nut milk, rice, vegetables, and fruits, as well as the cultivation of medicinal herbs and the production of purified water.
INTAD is a subsidiary of TH Group and is engaged in the wholesale rice business. It operates businesses in areas such as Nghe An Province and distributes rice through supermarkets and online shopping platforms in Vietnam.