August 12, 2025

Transformation of rural society

Transformation of rural society, regeneration and valorization of services provided by nature.

The State Carbon Offset Mechanism in the state of Querétaro incorporates subnational financing via small carbon taxes, a local and contextualized protocol that is adapted to landowners, and the use of regenerative tools in soil and forest management. The result is the recovery of forest health and landcover.

Three years ago, we began to the process of transferring this initiative to other subnational governments by organizing workshops, training technicians and producers in regenerative management, defining areas of operation, and analyzing innovative financing options.

As a result, we are triggering transformational change in the agricultural and forestry sectors and helping to recover forest health and landcover. This, in turn, ensures the protection of biodiversity, increases ecosystem services, and enables natural regeneration.

This public policy is undergoing development of the five guidelines as early adopters of the Initiative for Climate Transparency (ICAT).

Challenges addressed

Environmental: In Mexico, practices that cause forest and soil degradation, such as unmanaged cattle grazing, significantly decrease carbon stocks and biodiversity. Yet these traditional agricultural practices are perpetuated and incentives for transitioning to regenerative planned grazing are nonexistent. Many states in Mexico are developing climate-change mitigation and adaptation plans and strategies. These plans do not include grazing land management because of a lack of awareness of its potential carbon benefits.

Economic: There is a need for additional investment for water management infrastructure, equipment such as electric fencing, and labor.

Social: Because biodiversity and natural capital has no economic value to landowners, it is at serious risk of degradation from uncontrolled grazing, clandestine logging, forest fires, etc. Moreover, obsolete public policies subsidize unprofitable and damaging livestock grazing in forests.