e-ISSN 2231-8526
ISSN 0128-7680
Zaifalaila Zakaria, Abdul Rahman Abdul Rahim and Zaki Aman
Pertanika Journal of Science & Technology, Volume 30, Issue 1, March 2022
DOI: https://doi.org/10.47836/pjssh.30.1.15
Keywords: Malaysia, oil palm smallholders, PRISMA, sustainability, systematic literature review
Published on: 16 March 2022
Oil palm (Elaeis guineensis) has been widely used in various products, namely, food, fuel, feed, and pharmaceuticals (4Fs), ultimately cementing the significant roles of the palm oil sector in Malaysia’s economic growth, extensive rural development, political stability, and now directly in sustainable development agenda. In the context of the palm oil sector, smallholders significantly contribute to almost 30% of the total oil palm planted areas in Malaysia. However, the participation of oil palm independent smallholders (OPISH) has remained limited and far behind compared to private business entities in achieving greater sustainability. Due to the unforeseeable global trends and rising public concern over this sector’s sustainability issues, smallholders are now urged to produce certified sustainable palm oil. These issues have motivated this systematic literature review to be undertaken by critically analysing existing studies on sustainability efforts implemented by the smallholders according to the PRISMA (Preferred Reporting Items Systematic Reviews and Meta-Analysis) guidelines. As per the findings of this systematic review, four main themes emerged: land settlement schemes, agricultural policy and strategies, heterogeneity of the smallholders, and sustainability certifications. The theoretical implication of this study is that these crucial themes are highly relevant in providing a foundation for a conceptual framework that portrays a complete picture of holistic sustainability practices amongst OPISH. Concerning practical implication, these identified themes provide significant insights in designing effective strategies and specific incentives as the palatable solutions for OPISH to implement sustainability practices that will transform the palm oil sector towards a sustainable future.
Abazue, C. M., Choy, E. A., Alam, A. S. A. F., & Begum, H. (2015). Oil palm smallholders and its sustainability practices in Malaysia. Mediterranean Journal of Social Sciences, 6(6), 482-488. https://doi.org/10.5901/mjss.2015.v6n6s4p482
Abazue, C. M., Choy, E. A., & Lydon, N. (2019). Oil palm smallholders and certification: Exploring the knowledge level of independent oil palm smallholders to certification. Journal of Bioscience and Agriculture Research, 19(1), 1589-1596. https://doi.org/10.18801/jbar.190119.193
Ador, S. F., Siwar, C., & Ghazali, R. (2016). A review of palm oil impact on sustainability dimension: SPOC initiative for independent smallholders. International Journal of Agriculture, Forestry and Plantation, 2, 104-110.
Alain, R., & Patrice, L. (2014). Palms of controversies: Oil palm and development challenges. In Palms of controversies: Oil palm and development challenges. Center for International Forestry Research (CIFOR). https://doi.org/10.17528/cifor/004860
Basiron, Y., & Chan, K. W. (2004). The palm oil and its sustainability. Journal of Oil Palm Research, 16(1), 1-10. http://palmoilis.mpob.gov.my/publications/joprv16n1-yusof.pdf
Begum, H., Siwar, C., Alam, L., Choy, E. A., Ishak, S., & Alam, A. S. A. F. (2018). Enhancing sustainability amongst oil palm smallholders in Malaysia. International Journal of Agricultural Resources, Governance and Ecology, 14(1), 62. https://doi.org/10.1504/IJARGE.2018.10011894
Brandi, C., Cabani, T., Hosang, C., Schirmbeck, S., Westermann, L., & Wiese, H. (2015). Sustainability standards for palm oil: Challenges for smallholder certification under the RSPO. Journal of Environment and Development, 24(3), 292-314. https://doi.org/10.1177/1070496515593775
Chalil, D. (2013). Assessment of smallholders’ barriers to adopt sustainable practices. In Cases on the diffusion and adoption of sustainable development practices (pp. 439-467). IGI Global. https://doi.org/10.4018/978-1-4666-2842-7.ch016
Choy, E. A., & Albanya, A. (2017). Economic sustainability of palm oil plantations among smallholders in Lahad Datu, Sabah. Journal of Fundamental and Applied Sciences, 4(1), 9-10. https://doi.org/10.4314/jfas.v9i7s.8
Cramb, R., & Curry, G. N. (2012). Oil palm and rural livelihoods in the Asia-Pacific region: An overview. Asia Pacific Viewpoint, 53(3), 223-239. https://doi.org/10.1111/j.1467-8373.2012.01495.x
Cramb, R., & McCarthy, J. F. (2017). The oil palm complex smallholders, agribusiness and the state in Indonesia and Malaysia. NUS Press Pte Ltd. http://www.jstor.org/stable/10.2307/j.ctv1xz0km.7
Elkington, J. (1998). Cannibals with forks. The triple bottom line of 21st century business. New Society Publishers. https://doi.org/0865713928
Ernah, Parvathi, P., & Waibel, H. (2020). Will teaching sustainability standards to oil palm smallholders in Indonesia pay off? International Journal of Agricultural Sustainability, 18(2), 196-211. https://doi.org/10.1080/14735903.2020.1744899
Glasbergen, P. (2018). Smallholders do not eat certificates. Ecological Economics, 147(January), 243-252. https://doi.org/10.1016/j.ecolecon.2018.01.023
Haider, L. J., Boonstra, W. J., Peterson, G. D., & Schlüter, M. (2018). Traps and sustainable development in rural areas: A review. World Development, 101, 311-321. https://doi.org/10.1016/j.worlddev.2017.05.038
Hidayat, N. K., Glasbergen, P., & Offermans, A. (2015). Sustainability certification and palm oil smallholders’ livelihood: A comparison between scheme smallholders and independent smallholders in Indonesia. International Food and Agribusiness Management Review, 18(3), 25-48. https://doi.org/10.22004/ag.econ.208400
Hidayat, N. K., Offermans, A., & Glasbergen, P. (2018). Sustainable palm oil as a public responsibility? On the governance capacity of Indonesian Standard for Sustainable Palm Oil (ISPO). Agriculture and Human Values, 35(1), 223-242. https://doi.org/10.1007/s10460-017-9816-6
Hutabarat, S., Slingerland, M., & Dries, L. (2019). Explaining the “Certification Gap” for different types of oil palm smallholders in Riau Province, Indonesia. The Journal of Environment & Development, 28(3), 253-281. https://doi.org/10.1177/1070496519854505
Hutabarat, S., Slingerland, M., Rietberg, P., & Dries, L. (2018). Costs and benefits of certification of independent oil palm smallholders in Indonesia. International Food and Agribusiness Management Review, 21(6), 681-700. https://doi.org/10.22434/IFAMR2016.0162
Jamaludin, N. F., Hashim, H., Muis, Z. A., Zakaria, Z. Y., Jusoh, M., Yunus, A., & Murad, S. M. A. (2018). A sustainability performance assessment framework for palm oil mills. Journal of Cleaner Production, 174, 1679-1693. https://doi.org/10.1016/j.jclepro.2017.11.028
Jelsma, I., Schoneveld, G. C., Zoomers, A., & van Westen, A. C. M. (2017). Unpacking Indonesia’s independent oil palm smallholders: An actor-disaggregated approach to identifying environmental and social performance challenges. Land Use Policy, 69, 281-297. https://doi.org/10.1016/j.landusepol.2017.08.012
Jelsma, I., Woittiez, L. S., Ollivier, J., & Dharmawan, A. H. (2019). Do wealthy farmers implement better agricultural practices? An assessment of implementation of good agricultural practices among different types of independent oil palm smallholders in Riau, Indonesia. Agricultural Systems, 170, 63-76. https://doi.org/10.1016/j.agsy.2018.11.004
Kumaran, S. (2019). The dynamics for mandatory MSPO certification scheme to be successfully implemented. Journal of Oil Palm, Environment and Health, 10(1), 1-7. https://doi.org/10.5366/jope.2019.01
Kushairi, A., Loh, S. K., Azman, I., Hishamuddin, E., Ong-Abdullah, M., Izuddin, Z. B. M. N., Razmah, G., Sundram, S., & Parveez, G. K. A. (2018). Oil palm economic performance in Malaysia and R&D progress in 2017. Journal of Oil Palm Research, 30(2), 163-195. https://doi.org/10.21894/jopr.2018.0030
Martens, K., Kunz, Y., Rosyani, I., & Faust, H. (2020). Environmental governance meets reality: A micro-scale perspective on sustainability certification schemes for oil palm smallholders in Jambi, Sumatra. Society and Natural Resources, 33(5), 634-650. https://doi.org/10.1080/08941920.2019.1674436
Moher, D., Liberati, A., Tetzlaff, J., & Altman, D. G. (2009). Preferred reporting items for systematic reviews and meta-analyses: The PRISMA statement. BMJ, 339, b2535-b2535. https://doi.org/10.1136/bmj.b2535
Moulin, M., Wohlfahrt, J., Caliman, J. P., & Bessou, C. (2017). Deciphering agricultural practices and environmental impacts in palm oil plantations in Riau and Jambi provinces, Indonesia. International Journal of Sustainable Development and World Ecology, 24(6), 512-523. https://doi.org/10.1080/13504509.2016.1239232
Ministry of Plantation Industries and Commodities. (2019). Data sets for agricommodities industry in Malaysia (sheet 2-1). https://www.mpic.gov.my/mpi/statistik/stats-data-set
Malaysian Palm Oil Board. (2020). Sustainable Oil Palm Growers Cooperatives (KPSM) and Extension Officer (TUNAS) data. Smallholder Development Research Division, Malaysian Palm Oil Board. https://mpob.gov.my/pejabat-tunas-mpob
Munodawafa, R. T., & Johl, S. K. (2019). A systematic review of eco-innovation and performance from the resource-based and stakeholder perspectives. Sustainability, 11(21), 1-23. https://doi.org/10.3390/su11216067
Nambiappan, B., Ismail, A., Hashim, N., Ismail, N., Shahari, D. N., Idris, N. A. N., Omar, N., Salleh, K. M., Hassan, N. A. M., & Kushairi, A. (2018). Malaysia: 100 years of resilient palm oil economic performance. Journal of Oil Palm Research, 30(1), 13-25. https://doi.org/10.21894/jopr.2018.0014
Nchanji, Y. K., Nkongho, R. N., Mala, W. A., & Levang, P. (2016). Efficacy of oil palm intercropping by smallholders. Case study in South-West Cameroon. Agroforestry Systems, 90(3), 509-519. https://doi.org/10.1007/s10457-015-9873-z
Ngan, S. L., How, B. S., Teng, S. Y., Promentilla, M. A. B., Yatim, P., Er, A. C., & Lam, H. L. (2019). Prioritization of sustainability indicators for promoting the circular economy: The case of developing countries. Renewable and Sustainable Energy Reviews, 111, 314-331. https://doi.org/10.1016/j.rser.2019.05.001
Nikkei Asia. (2021, January 1). US blocks palm oil imports from Malaysia’s Sime Darby - Nikkei Asia. Nikkei Asia. https://asia.nikkei.com/Economy/Trade/US-blocks-palm-oil-imports-from-Malaysia-s-Sime-Darby
Omar, W., Jaafar, N. C., & Mansor, N. H. (2012). Smallholder palm oil cluster: Sharing MPOB’s experience by definition of smallholder [PowerPoint slides]. https://www.rt10.rspo.org/ckfinder/userfiles/files/PCPM2_4 Tn Hj Wahid Omar Presentation .pdf
Parveez, G. K. A., Tarmizi, A. H. A., Sundram, S., Loh, S. K., & Ong-Abdullah, M. (2021). Oil palm economic performance and R&D progress in 2020. Journal of Oil Palm Research, 33(2), 181-214. https://doi.org/10.21894/jopr.2021.0026
Pye, O. (2019). Commodifying sustainability: Development, nature and politics in the palm oil industry. World Development, 121(1), 218-228. https://doi.org/10.1016/j.worlddev.2018.02.014
Santika, T., Wilson, K. A., Budiharta, S., Law, E. A., Poh, T. M., Ancrenaz, M., Struebig, M. J., & Meijaard, E. (2019). Does oil palm agriculture help alleviate poverty? A multidimensional counterfactual assessment of oil palm development in Indonesia. World Development, 120, 105-117. https://doi.org/10.1016/j.worlddev.2019.04.012
Sarwosri, A. W., Wegmann, J., & Mußhoff, O. (2020). Discouraging rainforest transformation: An ex‐ante policy impact analysis. Journal of Agricultural Economics, 71(1), 219-238. https://doi.org/10.1111/1477-9552.12336
Schoneveld, G. C., Ekowati, D., Andrianto, A., & van der Haar, S. (2019). Modeling peat- and forestland conversion by oil palm smallholders in Indonesian Borneo. Environmental Research Letters, 14(1), 014006. https://doi.org/10.1088/1748-9326/aaf044
Schoneveld, G. C., van der Haar, S., Ekowati, D., Andrianto, A., Komarudin, H., Okarda, B., Jelsma, I., & Pacheco, P. (2019). Certification, good agricultural practice and smallholder heterogeneity: Differentiated pathways for resolving compliance gaps in the Indonesian oil palm sector. Global Environmental Change, 57, 101933. https://doi.org/10.1016/j.gloenvcha.2019.101933
Senawi, R. (2019). Transformation of oil palm independent smallholders through Malaysian sustainable palm oil. Journal of Oil Palm Research, 31(3), 496-507. https://doi.org/10.21894/jopr.2019.0038
Shaffril, H. A. M., Ahmad, N., Samsuddin, S. F., Samah, A. A., & Hamdan, M. E. (2020). Systematic literature review on adaptation towards climate change impacts among indigenous people in the Asia Pacific regions. Journal of Cleaner Production, 258, 120595. https://doi.org/10.1016/j.jclepro.2020.120595
Shaffril, H. A. M., Krauss, S. E., & Samsuddin, S. F. (2018). A systematic review on Asian’s farmers’ adaptation practices towards climate change. Science of the Total Environment, 644, 683-695. https://doi.org/10.1016/j.scitotenv.2018.06.349
Shaufique, S. F. (2017). Independent smallholders in the global palm oil value chain: A case study of Malaysia [Paper Presentation]. Conference and Congress of the Indonesian Society and Agricultural Economics (ICC ISAE). http://www.perhepi.org/wp-content/uploads/2017/08/22.-Dr.-Shaufique-F.-Siddique_ICC-ISAE_Speaker-Session-5.pdf
Sierra-Correa, P. C., & Kintz, J. R. C. (2015). Ecosystem-based adaptation for improving coastal planning for sea-level rise: A systematic review for mangrove coasts. Marine Policy, 51(1), 385-393. https://doi.org/10.1016/j.marpol.2014.09.013
Silva-Castañeda, L. (2012). A forest of evidence: Third-party certification and multiple forms of proof-a case study of oil palm plantations in Indonesia. Agriculture and Human Values, 29(3), 361-370. https://doi.org/10.1007/s10460-012-9358-x
Silva, J. A. T., & Memon, A. R. (2017). CiteScore: A cite for sore eyes, or a valuable, transparent metric? Scientometrics, 111(1), 553-556. https://doi.org/10.1007/s11192-017-2250-0
Susila, W. R., & Bourgeois, R. (2006). In the name of growth and equity: The future of oil palm smallholders in Indonesia. Moussons, 9-10, 87-107. https://doi.org/10.4000/moussons.1981
ISSN 0128-7680
e-ISSN 2231-8526