Mitti Labs Targets Transforming Rice Cultivation into a More Climate-Friendly Practice, Initiating in India

Over half the global population depends on rice as a fundamental food source, with its demand escalating alongside the rising populations in South and Southeast Asia. Still, much of rice production employs age-old farming techniques, significantly contributing to methane emissions — a key factor in climate change due to its nearly 30-fold greater impact on global warming compared to carbon dioxide, despite a shorter atmospheric lifespan. Additionally, rice cultivation is water-intensive, necessitating about 3,000 liters of water for every kilogram produced, translating to 20 million liters per hectare of crop.

Mitti Labs, founded by Harvard Business School alumni Xavier Laguarta and Devdut Dalal, is on a mission to curtail methane emissions and water use in rice cultivation through innovative technological interventions. The enterprise recently secured $3 million in equity funding to cut methane emissions by half and reduce water usage by 30%, employing advanced satellite imagery and in-field gas chambers.

Headquartered in New York City and with a subsidiary in Bengaluru, India, Mitti Labs was initiated in May of the previous year and has identified India as its key operational market. Given that India is the second-largest rice producer worldwide, the challenges posed by climate change, such as dwindling water resources and increasing methane levels, directly threaten the livelihoods of its rice farmers.

The concept for Mitti Labs was born when Laguarta and Dalal met during their MBA at Harvard. Laguarta had a background in sustainability consulting, while Dalal was experienced in the food and agricultural sectors. Nathan Torbick, who joined them as CTO, completes the founding team.

In an interview, Laguarta highlighted the limited attention given to rice in the broader context of regenerative agriculture globally, despite its crucial role in feeding a significant portion of the planet.

Emissions Reduction and Carbon Credit Sales

Rice agriculture is responsible for nearly half of all greenhouse gas emissions from crop lands, contributing 30% of the agricultural methane emissions. Innovations in water management, such as the practice of alternating wetting and drying, can significantly lower these emissions.

In collaboration with the Syngenta Foundation, Dr. Reddy’s Foundation, and the Spanish multinational Ebro Foods, Mitti Labs has initiated five projects spread over 30,000 hectares in India. These projects not only aim to promote sustainable farming techniques like avoiding stubble burning and economizing water use but are also projected to reduce 120,000 metric tonnes of CO₂e emissions, according to the startup.

Mitti Labs endeavors to include over 40,000 smallholder farmers in its sustainability program to bolster environmentally friendly agricultural practices. This initiative is expected to enhance farmers’ incomes by up to 30%. Furthermore, the startup plans to sell carbon credits on behalf of these farmers, creating an additional revenue stream for them.

Despite the challenges in persuading farmers to adopt new methods over traditional practices, Mitti Labs, as Dalal shared with TechCrunch, offers extensive support and consulting services through its partnership networks, ensuring tailored approaches to meet the diverse needs of local communities.

Mitti Labs employs a remote sensing platform for climate impact assessment, combining high-resolution imagery from SAR (synthetic aperture radar) satellites with publicly available satellite data to monitor agricultural practices. This system, complemented by greenhouse gas chambers for direct measurements on the field, enables precise emission calculations.

In pursuing carbon credit validity, Mitti Labs has teamed up with Cornell University, the International Rice Research Institute, and the U.S. Department of Agriculture. The goal is to enhance measurement methodologies, bolstering confidence among carbon credit buyers in Europe and the U.S.

With a primary focus on the Gold Standard for carbon credit issuance, Mitti Labs, as Laguarta hinted to TechCrunch, is considering expanding its verification standards to include Verra as the business grows.

The promising outcomes from its initial five projects pave the way for Mitti Labs to expand its operations. With plans to venture into Bangladesh, Thailand, and Vietnam, the startup has already identified potential local partners and is negotiating financing for new projects, aiming for a kick-off by the end of 2024 or into 2025. Nonetheless, India remains its primary focus and area of passion for making an impactful difference, Laguarta remarked.

While Mitti Labs isn’t the only entity promoting sustainable agriculture in India, its unique emphasis on rice sets it apart. According to Laguarta, focusing intensely on one crop allows for specialized expertise, differentiating Mitti Labs from others who might spread their efforts across various agricultural sectors.

The initial funding for Mitti Labs was co-led by Lightspeed and Voyager, with early backing from the Harvard Innovation Labs.