The government said the farm levy would be a world first, and that farmers should be able to recoup the cost by charging more for climate-friendly products.
There are just 5 million people in New Zealand but some 10 million beef and dairy cattle and 26 million sheep.
Under the government's proposed plan, farmers would start to pay for emissions in 2025, with the pricing yet to be finalized. Agriculture Minister Damien O'Connor said it was an exciting opportunity for New Zealand and its farmers.
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