Japanese investor eyes $10 mln for Indian biochar plants

Published 10:00 on July 28, 2026 | Last updated at 12:31 on July 23, 2026 | Arshreet Singh / Asia Pacific (Asia), CO2 Management (Engineered Removals), Voluntary (VCM Developments)

A Japan-based investment manager is exploring an initial $10 million investment across seven biochar plants in India to tap the country's growing carbon removal sector, it announced on Tuesday.

Japan's Cadira Capital Management and Chennai-based developer ProClime signed a memorandum of understanding to explore creating a dedicated investment platform aimed at channelling Japanese finance into biochar across India.

The proposed first phase would deploy $10 million across seven plants under development by ProClime, with scope to scale the platform if the model proves successful, the companies said.

Each facility would have capacity to process 30 tonnes of biomass per day, with the seven-plant network expected to use about 63,000 tonnes of biomass feedstock across ProClime's operations, which will also be responsible for securing feedstock and generating carbon credits.

The credits are expected to seek certification under Puro.earth and Isometric.

Cadira, meanwhile, will explore establishing an investment vehicle targeting Japanese investors seeking exposure to CDR.

The companies did not disclose expected annual biochar production or carbon credit generation from the seven plants.

ProClime has previously signed agreements with Indian state governments aimed at securing biomass feedstock.

The company inaugurated a new plant in the Himalayan state of Himachal Pradesh last week, where the government has projected the generation of 28,800 carbon credits over 10 years from two biochar plants developed under an agreement involving ProClime, a university, and the state Forest Department.

Those facilities will use pine needles, lantana, bamboo and other biomass, sourced at INR 2.50 ($0.03) per kg with additional quality incentives.

The wider initiative covers 50,000 hectares and is expected to manage 13.5 MtCO₂ while supporting soil health, biodiversity, and agricultural resilience, according to the state government.

READ MORE: https://carbon-pulse.com/534426/