Alt Carbon Raises $12M to Revolutionize Carbon Removal in India
What is Alt Carbon and how is it addressing India’s carbon crisis? The climate tech startup Alt Carbon has secured $12 million in seed funding to scale carbon dioxide removal (CDR) across India using a powerful technique called enhanced rock weathering (ERW). For those searching how startups are fighting climate change in India, or how carbon removal technology works in agriculture, this breakthrough answers both. With its innovative approach and high-potential impact, Alt Carbon is positioning itself as a major player in the global carbon credit market — a high-growth sector attracting attention from climate-conscious investors.
Founded by siblings Shrey and Sparsh Agarwal, Alt Carbon’s mission began on their family tea estate in Darjeeling, a region increasingly vulnerable to the effects of climate change. After returning home in 2020 to manage a near-bankrupt tea plantation, they pivoted from traditional agriculture to cutting-edge climate technology. That pivotal moment marked the birth of Alt Carbon, officially launched in 2023, with a vision to regenerate farmlands while contributing to long-term carbon sequestration.
Enhanced rock weathering — Alt Carbon’s core solution — accelerates a natural geological process by spreading finely ground rock on soil, allowing it to absorb and lock away atmospheric CO₂ for thousands of years. This scientifically validated method offers permanent carbon removal, aligning with India’s climate targets and the global demand for high-quality carbon credits. The team first piloted this technique across 500 acres in their home state of West Bengal and has since expanded operations to include rice and bamboo farms in North Bengal.
Unlike many carbon projects in India that focus on temporary avoidance methods, Alt Carbon is delivering high-integrity carbon credits — a significant differentiator in today’s saturated voluntary carbon market. “We realized most local projects create junk credits with little long-term impact,” said co-founder Sparsh Agarwal. “We’re here to change that narrative with measurable, verifiable carbon removal.”
With backing from Lachy Groom — co-founder of robotics AI firm Physical Intelligence — and other prominent investors, the startup plans to scale its operations to cover 500,000 hectares of farmland. The goal? Remove 5 million tons of CO₂ from the atmosphere by 2030, a figure that positions Alt Carbon as one of the most ambitious carbon removal companies in Asia.
This funding round will be used to ramp up mineral supply chains, partner with farmers across India, and invest in advanced monitoring, reporting, and verification (MRV) systems — critical to building trust and transparency in the carbon credit ecosystem. By empowering local farmers with financial incentives and climate resilience, Alt Carbon is not just decarbonizing land — it's regenerating it.
From salvaging a family business to launching one of India’s most promising CDR ventures, Alt Carbon exemplifies the new wave of climate tech entrepreneurship in the Global South. The company’s model delivers a rare win-win: permanent carbon storage and rural economic upliftment.
With carbon offset demand expected to soar as ESG regulations tighten, Alt Carbon’s solution is a compelling opportunity for institutional investors, green finance stakeholders, and sustainability-focused advertisers.
Whether you're an investor exploring carbon removal startups, a farmer looking into carbon credit income, or a sustainability advocate tracking climate innovation in India, Alt Carbon’s rise is one to watch.
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