USDA ANNOUNCES REGENERATIVE FEEDSTOCK RULE TO EXPAND BIOFUEL MARKET OPPORTUNITIES

The U.S. Department of Agriculture (USDA) announced a new Regenerative Feedstock Rule following President Trump’s Executive Order advancing regenerative agriculture. The rule is designed to create a voluntary framework for farmers to capture additional market value from regenerative practices through the biofuel supply chain.

The rule applies to covered biofuel feedstock crops, including corn, soybeans, sorghum, and spring canola. It establishes standards for field-level carbon intensity calculations, chain-of-custody requirements, recordkeeping, auditing, verification, and regenerative agriculture practices.

USDA also released an updated Feedstock Carbon Intensity Calculator to help eligible producers quantify practices such as cover crops, improved nutrient management, no-till, and reduced tillage. Producers may use the reports generated by the calculator when marketing eligible feedstocks to participating biofuel producers.

According to USDA, the rule is intended to reward voluntary conservation practices while expanding domestic biofuel markets. USDA noted that many corn and soybean producers are already using at least one regenerative practice, and the new framework is expected to create additional premium market opportunities as participation grows.

The announcement builds on USDA’s broader regenerative agriculture efforts, including a pilot program supporting whole-farm conservation planning and conservation contracts. USDA said the goal is to strengthen farm profitability, improve soil health, support rural communities, and expand market-based opportunities for producers.

To read more, view USDA's press release here.