Abstract
The demand for Palm oil has increasing over the several decades and it has led to criticisms and question about sustainability on biodiversity loss, water pollution and deforestation. This study aims to explore the sustainability of oil palm smallholders in Malaysia based on environmental, social and economic perspectives. The aim of the study is to examine the sustainability of smallholding scheme in Malaysia. A questionnaire survey was conducted with 50 smallholders in Terengganu state under the Federal Land Development Authority of Malaysia (FELDA). It’s revealed that most of the smallholders have sufficient knowledge of sustainability consistent with Roundtable on Sustainable Palm Oil (RSPO) and other local agricultural laws practices. The study also indicates that on social aspect, the smallholders have better quality of life through the provision of basic facilities. The study concludes that there is a high degree of sustainability amongst oil palm smallholders under the management of FELDA. DOI: 10.5901/mjss.2015.v6n6s4p482
Highlights
Oil palm is the leading oil crops in the world
4.1 Demographic Profile of the Federal Land Development Authority of Malaysia (FELDA) smallholders’ Scheme: Table 1 shows the demographic distribution of the respondents
Arif Simeh and Tengku (2001) on the impacts of smallholders’ scheme on rural livelihood; found that poverty amongst the rural livelihoods was significantly reduced from 68.3 % in 1970 -to- mere 11.8 % in 1997
Summary
Oil palm is the leading oil crops in the world. It provides more than a quarter of global oil consumption. Oil palm accounts for approximately 60 percent of the global oil trade (World Bank 2010). The oils extracted from the palms are both used in food manufacturing as well as in non-food industries. These include; soap making, detergents, and biodiesel production and others. It is projected that the demands for vegetable oils will increase to about 184.3 million tons in 2019/2020 – with palm oil in the lead. In 2011/2012, palm oil accounted for 57.7 percent market shares of fats and oils and it is projected to remain the same in the coming years
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