Carbon accounting and labeling are new instruments of supply chain management and, in some cases, of regulation that may affect trade from developing counties. These instruments are used to analyze and present information on greenhouse gas (GHG) emissions from supply chains with the hope that they will help bring about reductions of GHGs.
Many experts believe that low-cost mitigation opportunities in agriculture are abundant and comparable in scale to those found in the energy sector. They are mostly located in developing countries and have to do with how land is used. By investing in projects under the Clean Development Mechanism (CDM), countries can tap these opportunities to meet their own Kyoto Protocol obligations. The CDM has been successful in financing some types of agricultural projects, including projects that capture methane or use agricultural by-products as an energy source.