Green carbon market entry into Thailand: feasibility analysis for nature-based carbon credit development

This study examines the potential market entry of Green Carbon, a Japanese carbon credit company, into Thailand’s agricultural carbon credit market, with a particular focus on methane reduction projects utilizing the Alternate Wetting and Drying (AWD) method in rice cultivation. The research analyzes Thailand’s institutional environment, agricultural structure, and competitive landscape relevant to such projects.Some aspects of the analysis and business model evaluation in this study are based on publicly available information and reasonable assumptions.The study applies PESTLE analysis, industry structure analysis, and financial indicators such as Net Present Value (NPV) and Internal Rate of Return (IRR) to assess the overall feasibility of the proposed business model. The findings suggest that while there are institutional and operational challenges in the Thai market, collaboration with local agricultural platform companies may enable the development of a scalable and viable business model.This research provides insights into the practical conditions and challenges of agricultural carbon credit projects in Thailand and offers implications for Japanese companies seeking to expand into overseas environmental markets.