Carbon farming refers to sequestering and storing carbon and/or reducing greenhouse gas emissions at farm level. It offers significant but uncertain mitigation potential in the EU, can deliver co-benefits to farmers and society, but also carries risks that need to be managed. The report identifies opportunities and constraints for carbon farming, options for financing, and open questions that need to be resolved to scale up carbon farming in a way that delivers robust climate mitigation and European Union Green Deal objectives. This document was provided by the Policy Department for Economic, Scientific and Quality of Life Policies at the request of the committee on Committee on Environment, Public Health and Food Safety (ENVI).