The U.S. Department of Agriculture (USDA) has announced that its final Regenerative Feedstock Rule is ready for release, creating a voluntary framework designed to help farmers benefit from regenerative agricultural practices through the 45Z Clean Fuel Production Credit, Biodiesel Magazine reported.
The agency said on June 25 that while the full rule has not yet been published, both the final regulation and the new USDA Feedstock Carbon Intensity Calculator will become available on the USDA website after publication in the Federal Register.
According to the USDA, the new framework is intended to connect regenerative farming practices with emerging market opportunities across the biofuel supply chain for crops including corn, soybeans, sorghum and spring canola.
The final rule establishes standards covering eligible biofuel feedstock crops and participating entities throughout the supply chain. It also introduces field-level measurement of crop-specific carbon intensity, traceability and recordkeeping requirements through mass balance systems, auditing and verification procedures, and standards for regenerative agricultural practices.
Alongside the rule, the USDA will launch an updated Feedstock Carbon Intensity Calculator to help producers measure the impact of practices such as cover cropping, improved nutrient management and conservation tillage, including no-till and reduced-till systems.
Farmers will be able to use these reports to support the marketing of qualifying feedstocks to participating biofuel producers.
The USDA said the initiative could create new market opportunities for U.S. growers supplying the biofuel industry.
According to the agency, American farmers currently produce around 6 billion bushels of corn annually for ethanol production, with approximately 68 per cent of corn growers already adopting at least one regenerative farming practice.
Soybean producers supply about 1.8 billion bushels for biofuel production each year, and nearly 70 per cent of soybean farmers are already using at least one regenerative practice.
The USDA expects participation to increase over time and expand premium market opportunities for producers nationwide.
Coinciding with the announcement, President Donald Trump signed an executive order aimed at advancing regenerative agriculture. The order directs the USDA to expand its Regenerative Agriculture Pilot Program, share programme outcomes with stakeholders and strengthen public-private partnerships to increase adoption of regenerative farming practices.
Launched in December 2025, the USDA’s Regenerative Pilot Program allocated USD 700 million to support practices focused on improving soil health, enhancing water quality and strengthening long-term agricultural productivity.Under the programme, USDA has already completed more than 67,000 whole-farm conservation plans covering over 49 million acres and established more than 1,500 conservation contracts valued at over USD 200 million.
