Oil Farmers Research Articles

Promoting sustainable performance of smallholder oil palm farmers: an analysis of key determinants and strategic priorities

PurposeThis study investigates the factors affecting the performance of smallholder oil palm farmers in Indonesia, with an emphasis on sustainable productivity.Design/methodology/approachThe study involved interviews with regulators, practitioners and experienced farmers in Riau, West Kalimantan, Central Kalimantan and the Bangka Belitung Islands, Indonesia. A confirmatory and explanatory approach was used to explore the relationships among farmer competency, social capital, institutional support, sustainable productivity and overall performance. Data from 757 farmers were analyzed using partial least squares structural equation modeling (PLS-SEM), while the analytical network process (ANP) method identified strategic priorities.FindingsThe results indicate that the sustainability of oil palm farming was low. Social capital, institutional support and sustainable productivity are the key performance factors. Sustainable productivity mediates these relationships. Farmers’ competence indirectly affects performance through sustainable productivity, social capital and institutions. Institutional support needs to be improved.Research limitations/implicationsThis study suggests expanding sustainability indicators by following the latest standards of RSPO principles and criteria, simplifying language for better farmer understanding and assessing sustainability before and after policy implementation.Practical implicationsThe proposed policy framework emphasizes social capital, institutional support and sustainable productivity to improve sustainability and effectiveness.Social implicationsThis study highlights the critical role of social capital, institutional support and sustainable productivity in enhancing Indonesian palm oil farmers’ sustainability and performance.Originality/valueThis unique integrated approach combining PLS-SEM and ANP methodologies provides a comprehensive understanding of the factors affecting smallholder performance and data-driven strategic priorities for policy interventions.

Sistem Informasi Jual Beli Kelapa Sawit Berbasis Web pada Peron Reskianto

In Surau Gading village, the majority of the population is employed as oil palm farmers. Every two weeks, farmers harvest oil palm fruit. After harvesting the oil palm fruit, the farmers sell it to Peron Resdianto, who is a young entrepreneur in the village of Surau Gading. Almost every day, the platform owner purchases agricultural products made from palm oil. Because a large number of customers sell their agricultural products, palm oil platform owners have to make sales to the factory once every two days. Once the palm oil mill receives the sales proceeds, the platform owner disburses payments to the palm oil farmers who sell their agricultural products. As information technology advances, it has now spread to almost all fields and is developing at a rapid pace. Information technology's application is evolving, as evidenced by the constant advancements in the field. The author wants to design a web-based information system for selling and buying palm oil on the Resdianto platform using the PHP and My SQL programming languages. We designed this system using system modeling tools, personal home page (PHP), MYSQL, HTML, data flow diagrams (DFD), Xampp, flowcharts, and entity relationship diagrams (ERD). Peron Reskianto can improve performance by creating a web-based information system for buying and selling palm oil, which will assist platform owners in collecting data on palm oil purchases and sales. This information system guarantees security and reduces errors.

Sawit Kita WebApp Development: Artificial - Based E-Learning Intelligence and Community to Drive Actual Information Collaboration and Innovation of Palm Oil Farmers In Indonesia

Web App development within the scope of the company is very in necessary in today's technological era. Development increasingly advanced technology is proof that the level of technology is high in the field of computer science. Data management is very important for a company companies, especially palm oil companies. A company needs a tool or system for managing and monitoring data company to be more efficient, simple, fast and precise. There fore the author designing a system to make it easier for companies to manage data palm oil plantations using a very easy Web App used. This research aims to develop the Sawit Kita Web App, an Artificial Intelligence based e-learning platform and community forpalm oil farmers in Indonesia. The Sawit Kita Web App consists of three main features, namely GPT 4 chat, e-learning modules and community platform. Chat GPT 4 is an Artificial Intelligence-based virtual assistant that can answer questions, provide suggestions, and produce creative content about oil palm cultivation with customization of data input by developer. The e-learning module is a feature that provides interactive and easy-to-understand learning materials about cultivation sustainable palm oil. The community platform is a feature that facilitate communication and collaboration between oil palm farmers and researchers, extension workers, and other related parties in a discussion forum. Target This research is to improve access and quality of information, literacy and skills, participation and collaboration, as well as productivity and well-being palm oil farmers in Indonesia. The research method used is method research and development with stages of analysis, design, development, implementation, and evaluation. This research is expected to provide contribution to the development of the oil palm plantation sector in Indonesia.

The Phenomenon of Changes in Social Relationship Patterns and Eating Habits That Occurred in the Eucalyptus Oil Farmer Community During the COVID-19 Pandemic

The Phenomenon of Changes in Social Relationship Patterns and Eating Habits That Occurred in the Eucalyptus Oil Farmer Community During the COVID-19 Pandemic

Assessment of musculoskeletal disorders among palm oil farmers with SNI 9011:2021 in Muara Wahau

Indonesia is the world's largest producer of palm oil, with millions of hectares of plantations. However, along with the growth of the palm oil industry, various challenges and issues related to the worker welfare have emerged. One important issue is musculoskeletal disorders or health problems associated with work in palm oil plantations. Workers in palm oil plantations are often exposed to heavy and repetitive work conditions, such as carrying heavy loads, performing monotonous movements, and working in non-ergonomic positions. These factors can increase the risk of musculoskeletal disorders, such as back pain, shoulder pain, neck pain, and other health issues. Therefore, this research aims to evaluate existing musculoskeletal disorders and provide recommendations for improvement and management of ergonomic risks in PT. DSN in Muara Wahau. The research methods include direct observation of palm oil farmers during their work, structured interviews to gather information on complaints and ergonomic risks, and the use of ergonomic analysis methods in accordance with the SNI 9011:2021 standard. The data obtained will be analyzed to identify ergonomic risk factors contributing to musculoskeletal disorders. The results of this study showed that all of palm oil harvesting workers experienced high risk level on their neck, while all of palm oil transportation workers encountered high risk on their elbow. Stretching or warm-up exercises before and after work were recommended to reduce the risk of injuries caused by non-ergonomic work positions among harvesting workers. Furthermore, redesigning Hook-T was recommended in order to minimize the MSD among palm oil transportation workers.

SERTIFIKASI KELAPA SAWIT DAN PENGEMBANGAN EKONOMI BERKELANJUTAN: STUDY LITERATUR REVIEW

The palm oil industry has experienced significant growth in recent decades. Disparities in ownership and profit sharing are one of the main problems in the palm oil industry today. Even though the industry employs millions of people, especially in Indonesia and Malaysia, many palm oil farmers who comply with Voluntary Sustainability Standards (VSS) still struggle to earn decent money. This is due to low demand for VSS compliant palm oil and minimum prices or premiums. The method used in this research is descriptive bibliometric analysis using Vosviewer 1.6.19 software. Data collection was carried out through searching publications indexed by Scopus. The results of this research can illustrate future palm oil certification studies by paying attention to the economic development aspects of the implementation and application of palm oil certification

New Challenges and Opportunities of Indonesian Crude Palm Oil in International Trade

Indonesia is one of the largest palm oil producers in the world. The palm oil industry must look at the market competition map, starting from competing countries and other export opportunities to absorb palm oil products to increase state revenues. This paper analyzes the new challenges and opportunities for Crude Palm Oil (CPO) in Indonesia in international trade. Analytical tools were Revealed Comparative Advantage (RCA), Revealed Symmetric Comparative Advantage (RSCA), Dynamic Product Export and X-model Potential Export. The results showed that Indonesian and Malaysian palm oil commodities obtained an RCA value of more than 1 and an RSCA value of close to 1. Indonesia is more competitive than Malaysia. The X-model showed that Indonesian CPO market share optimism is only in India and the rest is less potent. Malaysian CPO market share also has less potential. Therefore, Indonesia’s new challenges are export tariffs, obstructed access, insufficient downstream production and a black campaign. The opportunity for participation in the CPO export market is only in India compared to Malaysia, which has less potential. The two countries have less potential in destinations such as the Netherlands, USA, China and Kenya. Indonesia can take external policies by establishing cooperation with export destination countries, such as trade agreements, so that information about Indonesian palm oil is well received. Meanwhile, internal policies strengthen domestic downstream industry policies, such as the food, health, and renewable energy industries, to strengthen the domestic economy and improve the welfare of Indonesian palm oil farmers.

Overcoming Barriers to ISPO Certification: Analyzing the Drivers of Sustainable Agricultural Adoption among Farmers

The palm oil industry, integral to Indonesia’s economy and the United Nations Sustainable Development Goals (SDGs), faces emerging economic, environmental, and social challenges. These compel the adoption of sustainable agricultural practices, particularly in light of the Indonesian Sustainable Palm Oil (ISPO) certification system’s implementation by 2025. This study develops a model integrating Ajzen’s Theory of Planned Behavior and Rogers’ Diffusion of Innovation theory to elucidate factors influencing farmers’ adoption of sustainable palm oil farming. Data from 300 palm oil farmers in West Kalimantan, Indonesia, were analyzed using structural equation modeling. The results indicated significant positive effects in terms of attitudes, subjective norms, perceived behavioral control, relative advantage, compatibility, and trialability on sustainable practice adoption, while the complexity negatively influenced adoption. These findings underscore the need to address farmers’ motivations, social norms, perceived control, and practice advantages for successful implementation. The study offers critical insights for policymakers and practitioners to formulate strategies that encourage the voluntary adoption of sustainable practices, balancing farmers’ needs and environmental sustainability.

A system dynamic perspective in efforts to improve the income of independent palm oil farmers in Regency X through changing roles in the palm oil supply chain

At present, independent palm oil (PO) farmers are expected to change their roles in the palm oil supply chain, not only being producers and sellers of Fresh Fruit Bunches (FFB) but also able to generate added value by processing FFB into CPO for renewable energy resources. This research aims to improve the income of farmers based on changing roles through strategies using system dynamic modeling. The impacts observed are the number of labors based on a proxy of government revenue and GDP, labor income, and benefits obtained. Scenarios to improve the income of farmers projected over the next 10 years are selling FFB to Farmer’s Cooperatives that own palm oil mill(s) and other palm oil mill(s). Each scenario has 3 sub-scenarios: Business as Usual, Optimist and Environment. With the addition of new plantations of 5.7-7% per year, CPO yields of 20%, and using the palm oil mill of 30 tons/hour owned by Farmers Cooperative, the income of farmers can be improved. Recommendations to attract more farmers to become members of Farmer’s Cooperatives include funding for implementing Good Agricultural Practices, buying FFB from Cooperative members at transparent prices based on mutual agreements, and providing assistant workers for farmers.

Another palm is possible: small-scale palm oil farmers exercising autonomy in northeast Colombia

ABSTRACT This paper investigates how some small-scale palm oil growers in northeast Colombia have managed to exercise partial autonomy from global markets while still participating in them. By comparing the varied experiences of these farmers, I find that, state-led land access and multiscale organizational support for small-scale farming have enabled these farmers to selectively engage with global markets and carve-out space for autonomous decision-making on their farms. By examining the risks and possibilities associated with farmers’ engagement in global value chains, this study illuminates the potential for agricultural transitions and small-scale farming within the context of global agricultural markets.

Upaya Petani Sawit Dalam Meningkatkan Perekonomian Berdasarkan Perspektif Ekonomi Islam Di Desa Sungai Sayang

The development of the agricultural sector is still an important sector in encouraging the acceleration of regional development For Jambi province,. This can be seen from the still large contribution of the agricultural sector to GRDP and labor absorption for the economy of the Jambi province region. The agricultural sector has contributed around 27.5% to the GRDP of Jambi province and has also been able to absorb a relatively large number of workers, namely 46.88% of the existing workforce.. The aim of this research is to find out how palm oil farmers are making efforts to improve the economy in Sungai Sayang Village and to find out how palm oil farmers are making efforts to improve the economy based on an Islamic economic perspective in Sungai Sayang Village. In this study the authors used a qualitative approach with descriptive analysis method. The results of this research are that people get permanent jobs and income and people get additional income. The community is able to send their children to a higher level. The community is able to help others by hiring workers. The community at work has 3 things that must be implied, namely hard work, smart work and sincere work.

Factors That Influence Palm Oil Farmers' Income

This research aims to determine the factors that influence the income of palm oil farmers. The sample used in this research was 87 oil palm farmers. The analysis used in this research is multiple regression analysis. The research results show that land area, capital and labor simultaneously have a significant effect on income with a significance value of 0.000<0.05. Partially, land area has a significant effect on income with a significance value of 0.000<0.05. Partially, capital has a significant effect on income with a significance value of 0.000<0.05. Partially, labor has a significant effect on income with a significance value of 0.003<0.05.

PRAKTIK PERJANJIAN UTANG ANTARA PETANI DAN AGEN SAWIT DALAM PERSPEKLTIF QARDH DAN URF’ (STUDI KASUS DI KEC. LONGKIP)

Background. This research is motivated by the practice of debt agreements for consumptive and productive needs in the people of Lae Saga Village, Longkip District, Subulussalam City. Aim. This study aims to find out the mechanism of the debt agreement and to examine the views of the qardh and urf contracts on the debt and credit agreements that occurred in Longkip District. Methods. This study uses a type of qualitative research with an empirical approach. The object of this research is the debt agreement. The subjects are palm oil farmers and agents. The data source for this research uses primary data from interviews and secondary data obtained through library research. Results. The results of the study show that the debt agreement is carried out by the people of the sub-district. Longkip occurs because of a sense of trust and awareness to help each other. The implementation of the loan agreement is in accordance with the provisions of the qardh contract. because the pillars and terms of the contract have been fulfilled, so that the practice may be carried out. if it is reviewed based on the customs and habits of local residents, it is included in urf 'sahih because it is a good habit to do.

Adoption of sustainable certification in West Borneo palm oil farmers: The role of environmental concern

Adoption of sustainable certification in West Borneo palm oil farmers: The role of environmental concern

Analysis of Organic Fertilizer Marketing Strategy at the Indmira Company to Meet the Needs of Palm Oil Farmers in Kuantan Singingi Regency Using the SWOT Method

Analysis of Organic Fertilizer Marketing Strategy at the Indmira Company to Meet the Needs of Palm Oil Farmers in Kuantan Singingi Regency Using the SWOT Method

Palm Oil Downstream Strategy: Enhancing Indonesia's Bargaining Position in International Palm Oil Trade

Although Indonesia currently dominates 60% of global palm oil production, Malaysia holds a competitive advantage in certain downstream industries. Indonesia must focus on developing its palm oil industries to process crude palm oil (CPO) into higher-value products, serving both as exports and substitutes for imported goods. This research aimed to highlight the importance of Indonesia's development of downstream palm oil industries. This research employed quantitative methods such as Pearson correlation and Granger causality, as well as qualitative methods. 
 The result showed that the fluctuation of CPO prices in the international market is closely tied to the volume of CPO exports conducted by Indonesia. Achieving higher domestic CPO production by improving the productivity of independent palm oil farmers is crucial. By enhancing their productivity from 2-3 tons per hectare to 5-6 tons per hectare, CPO supply can increase by 8 million tons annually, equivalent to approximately 16% of the total production. Reducing export should be accompanied by increased domestic CPO utilization through downstream programs. 
 By capturing half of Malaysia's current market share of HS code 1516 (animal or vegetable fats and oil, hydrogenated, inter-esterified, re-esterified, or elaidinized, whether or not refined but not further prepared), Indonesia has the potential to earn approximately 1 billion USD per year in foreign exchange. The development of biodiesel, transitioning from B30 to B40, holds the potential to save approximately IDR 200 trillion in foreign exchange. This strategic focus on downstream industries would strengthen Indonesia's position in the international palm oil market.

THE EFFECT OF ISPO IMPLEMENTATION ON PALM OIL FARMERS' INCOME IN BANDAR PASIR MANDOGE, ASAHAN DISTRICT

Indonesian Sustainable Palm Oil (ISPO) as an Indonesian-style sustainable palm oil certification system already has the principle of responsibility to workers or laborers, but in the field many companies have not implemented it. This study aims to find out and analyze how big the difference is in the level of production, price, income and use of production factors such as fertilization, use of pesticides and the labor of oil palm farmers who have ISPO and not ISPO in Bandar Pasir Mandoge District, Asahan Regency. This research method uses a quantitative approach. The research sample used in the study was 92 respondents, with the provisions of 46 ISPO farmers and 46 Non ISPO farmers. The analysis of this study was carried out using a different test (paired sample t-test). The results showed that there was a significant difference in the level of palm oil production that had ISPO and did not have ISPO in Bandar Pasir Mandoge District, Asahan Regency. There is a significant difference in the TBS price level of palm oil smallholders who have ISPO and not ISPO in Bandar Pasir Mandoge District, Asahan Regency. There is a significant difference in the level of income of palm oil farmers who have ISPO and not ISPO in Bandar Pasir Mandoge District, Asahan Regency. There are significant differences in the level of use of production factors such as fertilization, use of pesticides and workers who have ISPO and do not have ISPO in Bandar Pasir Mandoge District, Asahan Regency. There is a significant difference in the TBS price level of palm oil smallholders who have ISPO and not ISPO in Bandar Pasir Mandoge District, Asahan Regency. There is a significant difference in the level of income of palm oil farmers who have ISPO and not ISPO in Bandar Pasir Mandoge District, Asahan Regency. There are significant differences in the level of use of production factors such as fertilization, use of pesticides and workers who have ISPO and do not have ISPO in Bandar Pasir Mandoge District, Asahan Regency. There is a significant difference in the TBS price level of palm oil smallholders who have ISPO and not ISPO in Bandar Pasir Mandoge District, Asahan Regency. There is a significant difference in the level of income of palm oil farmers who have ISPO and not ISPO in Bandar Pasir Mandoge District, Asahan Regency. There are significant differences in the level of use of production factors such as fertilization, use of pesticides and workers who have ISPO and do not have ISPO in Bandar Pasir Mandoge District, Asahan Regency.

Strategi Adaptasi Petani Minyak Kayu Putih Sebagai Dampak Pandemi Covid-19

Eucalyptus oil is a superior regional commodity in Buru Regency. In addition to the relatively high selling price, oil derived from the eucalyptus plant is needed by various industrial sectors to be used as an essential ingredient for medicine. However, when we examine the daily lives of eucalyptus oil farmers, we will find that the economic situation is quite worrying, and the socio-economic environment lags behind the workers in other sectors. If natural resources are abundant, eucalyptus oil workers should be able to have a decent life, especially amid the Covid-19 pandemic, which severely limits the social and economic space of workers. This study uses a phenomenological approach, the determination of informants using a purposive sampling technique based on predetermined criteria and determined based on the research objectives. Field findings show that farmers use physical adaptation strategies to meet production targets, negatively impacting labor and land sustainability. Excessive time and work patterns result in the emergence of physical insecurity among farmers, as well as land degradation, which endangers the survival of farmers. We propose that intensive and constant rehabilitation of production can reduce the detrimental impact of the physical approach of eucalyptus oil farmers during the pandemic, ensuring the sustainability of farmers and land.Keywords: Adaptation; Land, Farmers; Strategy

Struktur, Perilaku dan Kinerja Pasar Tandan Buah Segar (TBS) Kelapa Sawit

This study aimed to identify marketing channels and analyze the behavioral structure and market performance of palm oil FFB in Ngabang District. The research location determined by using purposive sampling, namely three villages in Ngabang District. The respondents of this study were palm oil farmers and all institutions involved in marketing palm oil FFB. The results showed that there are three marketing channels for oil palm FFB, namely marketing channel 1, farmers selling to collectors, and then selling to large agents who distribute FFB to factories. In marketing channel 2, farmers sell to large agents and then sell them directly back to factories. In marketing channel 3, farmers sell to collectors and then sell directly to factories. The market structure of the FFB market for palm oil leads to an oligopoly market which seen from the market share value, concentration ratio, Herfindahl index, and market entry barriers from each marketing agency, showed values ​​that are not too different. Market performance in each marketing channel showed that the largest margin, farmers' share, and profit are in marketing channel 2.

HAS THE IMPLEMENTATION OF CSR IN INCREASING THE INCOME OF PALM OIL FARMERS COMMUNITYBEEN OPTIMAL?

Research aims to analyze the implementation of CSR to increase the income of palm oil farmers. This is qualitative research. The subjects are parties involved in CPO companies, communities, and stakeholders. Data collection was carried out by means of interviews, FGD, and observation. The results of the analysis show that the implementation of CSR is still not optimal in improving the community's economy. Findings are 1) the pattern of CSR is still charity in nature which causes dependence on the company, 2) the empowerment program by the government has not run well, constrained by the available resources, 3) the failure variable occurs because there is no mental/attitude readiness to manage changes in the funds. Suggestions made are means of expert assistance, training and periodic evaluations that can be used as a solution to improve the CSR program. This research howeveronlycovers Merauke Regency where CPO companies exists.