This paper assesses trade-offs between carbon sequestration and farmers’ incomes from land-use systems implemented in a community-based project, in Mozambique. Systems either focus on carbon sequestration or combine sequestration with cash crop cultivation. The latter provide carbon payments with potential income from cash crop sales. Compared with sequestration-only systems those that combine sequestration and cash crop production have higher net benefits, although they are less cost-effective and have less carbon-sequestration potential. Interplanting with faidherbia albidia provides the most attractive balance among competing policy goals. Carbon payments contribute to cash income and may enable smallholders to overcome initial project investment costs
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