Farmers have been urged to "look before they leap" when it comes to participating in carbon farming schemes.

The warning was issued by the National Soils Advocate Penny Wensley during her visit to the South East late last week on the invitation of the Member for Barker Tony Pasin.

"There are a lot of people out there promoting different schemes so you do need to tread carefully and be cautious when making decisions," she said.

Ms Wensley said soil had been "moving up the agenda" of governments in Australia and overseas because of wider recognition of the importance of soil organic carbon, as well as increasing interest in carbon sequestration and using soil to adapt to a changing climate.

"[But] I think that farmers need to be cautious of carbon farming," she said.

"Farmers plan a long way ahead, so if you're getting into the business of carbon credits, you've got to ask yourself: When am I going to realise this benefit or this dividend? What am I committing myself to? Who's going to help make the decisions? Who's going to be regulating it? [And] who's going to be maintaining that integrity?

"Ask yourself: Are you wanting to get more carbon into your soil to get carbon credits? Or are you wanting to get more carbon into your soil to deliver productivity benefits?

"I think it's the latter that's ultimately more important, because I want to see everyone improving their soil health," she said.

Industry deadline looming

The issue of carbon trading caution was also highlighted by Meat and Livestock Australia's Dr Margaret Jewell during the MeatUp forum in Naracoorte last Tuesday.

"What we've found is there's a lot of confusion about how producers are supposed to participate in the overall industry target of becoming carbon neutral by 2030," she said.

"One of the biggest myths is that we're aiming to reduce emissions by reducing livestock numbers; that absolutely isn't the case."

MLA has invested about $140 million in emissions reduction, she told attendees at the forum.

Dr Jewell said carbon trading and carbon schemes were "an evolving space".

"We're just wanting to educate producers that there are risks associated with that practice.

She noted some arrangements could have consequences, including impacting the ability to change land use and linking schemes to land titles.

"We want to see producers focusing on their business and what goals they've got for their business … and trying to understand when they adopt new practices or changes, how that's reflected in their carbon balance.

"We also really want to caution producers before they sign contracts to trade carbon; just make sure that they've done their homework and they've got a lawyer or trusted adviser to look over the risks and benefits."

Carbon scheme under review

The warnings from industry experts come as the federal government announces a review into Australia's carbon credit scheme.

The program, which allows businesses to generate credits for reducing carbon dioxide emissions, has been referred to as "a rort" by industry whistleblowers.

Farmers for Climate Action Chair Charlie Prell welcomed the appointment of former chief scientist Ian Chubb to head up the six-month inquiry.

He said members of the organisation, which represents more than 7,000 farmers, wanted the review to be independent and thorough. 

"Australia's carbon market is worth about $2.5 billion," Mr Prell said.