ARE SMALLHOLDER PALM OIL FARMERS STILL PROSPEROUS?
DOI:
https://doi.org/10.53067/ijomral.v5i1.397Keywords:
Palm oil, land topology, farmer exchange rate (NTP), welfareAbstract
The agricultural sector plays a crucial role in supporting livelihoods, improving farmers' welfare, contributing to economic development and growth, and ensuring food security and product competitiveness. Riau Province has designated oil palm as its superior commodity to boost economic growth and enhance the welfare of both farmers and the general public. Initially, oil palm cultivation was primarily undertaken in dryland areas, which were considered more efficient in terms of input costs and output factors. Throughout its development, the oil palm industry continued to expand, supplying raw materials for downstream industries and becoming a commodity that serves as an economic stabiliser, offering a higher level of prosperity than other commodity crops. Consequently, as available dry land became fully utilised, the expansion of oil palm cultivation shifted towards wetlands (swampland). The objective of this study is to calculate and compare the farmer exchange rate (NTP) for independent smallholder oil palm plantations across both land topologies (upland and wetland). The results are then compared with the general agricultural NTP and sectoral NTP.
The method employed to determine the NTP for independent smallholder oil palm farmers involves calculating the ratio of the price index received by farmers (It) to the price index paid by farmers (Ib). The difference between it and IB is that it is one of the most recognised and widely used macroeconomic indicators for agricultural development in Indonesia. The data utilised includes primary data obtained from direct interviews with farmers and secondary data from various sources. The study's findings indicate that farmers on dryland (upland) topologies have higher land productivity, income, and NTP than those on wetland topologies. Overall, the welfare of oil palm farmers in upland areas is better than that of those in wetland areas, primarily due to the high input costs and low output prices experienced by wetland farmers
Downloads
References
Adrianto, H. A., Spracklen, D. V., Arnold, S. R., Sitanggang, I. S., & Syaufina, L. (2020). Forest and land fires are mainly associated with deforestation in Riau Province, Indonesia. Remote Sensing, 12(1), 1–12. https://doi.org/10.3390/RS12010003
Apriyanto, M., Partini, Mardesci, H., Syahrantau, G., & Yulianti. (2021). The Role of Farmers Readiness in the Sustainable Palm Oil Industry The Role of Farmers Readiness in t he Sustainable Palm Oil Industry. Journal of Physics: Conference Serie, 1764(1), 1–7. https://doi.org/10.1088/1742-6596/1764/1/012211
Bakce, R. (2016). Efisiensi Penggunaan Faktor Produksi Dan Pendapatan Usahatani Kelapa Sawit Swadaya Di Kecamatan Kemuning. Jurnal BiBieT, 1(2), 95–107. https://doi.org/10.22216/jbbt.v1i2.1793
Bakce, R., & Mustofa, R. (2021). Kesempatan Kerja Dan Kelayakan Ekonomi Usaha Perkebunan Kelapa Sawit Rakyat Di Kabupaten Indragiri Hulu. Jurnal Inovasi Penelitian, 2(7), 2213–2220.
Bareille, F., Boussard, H., & Thenail, C. (2020). Productive ecosystem services and collective management : Lessons from a realistic landscape model. Ecological Economics, 169(August 2019), 106482. https://doi.org/10.1016/j.ecolecon.2019.106482
BPS. (2024). Statistik Kesejahteraan Rakyat Provinsi Riau.
BPS Provinsi Riau. (2025). Statistik kesejahteraan rakyat 2025.
Faizal, M., Wardah, Y., H., Husna, M. A., Amirah, A., & Tan, Y. H. (2018). ENERGY , ECONOMIC AND ENVIRONMENTAL IMPACT OF PALM OIL BIODIESEL IN. Journal of Mechanical Engineering Research and Developments ( JMERD ), 41(3), 93–95.
Haque, M. I., & Basak, R. (2017). Land cover change detection using GIS and remote sensing techniques: A spatio-temporal study on Tanguar Haor, Sunamganj, Bangladesh. Egyptian Journal of Remote Sensing and Space Science, 20(2), 251–263. https://doi.org/10.1016/j.ejrs.2016.12.003
Harefa RA, Zebua P, S., & Bawamenewi, A. (2022). Analisis Biaya Produksi Dengan Menggunakan Metode Full Costing Dalam Perhitungan Harga Pokok Produksi. 1(2), 218–223. https://doi.org/10.56248/jamane.v1i2.36
Maleong, L. J. (2013). Metodologi Penelitian Kuantitatif (C. R. Semiawan, Ed.; Revisi). PT. Remaja Rosdakarya Bandung.
Maulida, E. (2021). Pengantar Manajemen. https://www.researchgate.net/publication/376954799
Mustofa, R. (2017). Analisis Usahatani Kelapa Sawit Pola Swadaya Pada Lahan Basah di Kabupaten Indragiri Hilir. Jurnal Penelitian Dan Kajian Ilmiah, XI(74), 20–25.
Mustofa, R., & Bakce, R. (2024). Penentuan Harga Pokok Produksi (HPP) Tandan Buah Segar (TBS) Kelapa Sawit Petani Swadaya Di Kabupaten Indragiri Hilir Provinsi Riau. Procuratio: Jurnal Ilmiah Manajemen, 12(1), 1–12. http://ejournal.pelitaindonesia.ac.id/ojs32/index.php/PROCURATIO/index
Mustofa, R., Bakce, R., & Apriyanto, M. (2022). Peningkatan Kemampuan Mantri Bri Tentang Budidaya Dan Bisnis Kelapa Sawit. JMM (Jurnal Masyarakat Mandiri), 6(6), 5086. https://doi.org/10.31764/jmm.v6i6.11017
Mustofa, R., Bakce, R., & Suwondo, D. (2025). Willingness To Pay (WTP) Pekebun Kelapa Sawit Rakyat Terhadap Jasa Ekosistem di Provinsi Riau. 23, 544–554. https://doi.org/10.14710/jil.23.2.544-554
Muta’ Ali, L., Kinasih, S. S., & Sumini, K. (2012). Daya dukung lingkungan untuk perencanaan pengembangan wilayah.
P3ES, P. P. P. E. S. (2021). Daya Dukung Daya Tampung Lingkungan hidup Jasa Ekosistem Perkebunan Kelapa Sawit di Provinsi Riau. In Paper Knowledge . Toward a Media History of Documents.
Pahan, I. (2008). Panduan Lengkap Kelapa Sawit (R. A. Surip Prayuga, Ed.; 5th ed.). Penebar Swadaya.
Pahan, I. (2012). Panduan Lengkap Kelapa Sawit Manajemen Agribisnis dari Hulu Hingga Hilir (R. Armando, Ed.). Penebar Swadaya.
Pahan, I. (2015). Panduan Teknis Budidaya Kelapa Sawit. (L. H. Apriyanti, Ed.; 1st ed.). Penebar Swadaya.
Ratmini, N. S. (2012). Karakteristik dan Pengelolaan Lahan Gambut untuk Pengembangan Pertanian. Jurnal Lahan Suboptimal, 1(2), 197–206.
Reibelt, L. M., Moser, G., Dray, A., Randriamalala, I. H., Chamagne, J., Ramamonjisoa, B., Barrios, L. G., Garcia, C., & Waeber, P. O. (2019). Tool development to understand rural resource users’ land use and impacts on land type changes in Madagascar. Madagascar Conservation & Development, 0(0), 1–10. https://doi.org/10.4314/mcd.wetlands.3
Ritohardoyo, S., & Sadali, M. I. (2017). Kesesuaian Keberadaan Rumah Tidak Layak Huni (Rtlh) Terhadap Tata Ruang Wilayah Di Kota Yogyakarta. Tataloka, 19(4), 291. https://doi.org/10.14710/tataloka.19.4.291-305
Saeri, Moh. (2018). Usahatani Dan Analisisnya (H. Subagyo, Ed.; 1st–136th ed.). Uninda Press.
Sirajuddin, I. (2016). Analisis Serapan Tenaga Kerja Dan Pendapatan Petani Kelapa Sawit Di Kabupaten Pelalawan. Jurnal Agroteknologi, 6(2), 1. https://doi.org/10.24014/ja.v6i2.2234
Sparta & Handini. (2015). Pengaruh Manajemen Laba. … Opini Audit Going Concern, Skripsi Fakultas Ekonomi …, 12(1), 52–71.
Suwanda, H., Noor, M., Badan, P., Pertanian, L., Litbang, B., Lahan, S., Tentara, J., & No, P. (2017). Kebijakan Pemanfaatan Lahan Rawa Pasang Surut untuk Mendukung Kedaulatan Pangan Nasional. Jurnal Sumberdaya Lahan, 8(3), 31–40. https://doi.org/10.2018/jsdl.v8i3.6480
Suwondo, Syahza, A., Wulandari, S., Darmadi, Gupta, P., Sharma, A. M., Behl, A., Singh, M., Devi, C. U., Bedarkar, M., Pandita, D., Janvale, G., Kendre, S., Mehrotra, S., Hh, R. P., F, D. D. E. D. O. L. D., Hanaysha, J., Ahmad, N., Decramer, A., … Nasrul, B. (2021). Development of Superior Plantation Commodities Based on Sustainable Development. Nternational Journal of Sustainable Development and Planning, 15(1), 51–59. https://doi.org/https://doi.org/10.18280/ijsdp.160408
Syahza, A. (2011). Percepatan Ekonomi Pedesaan Melalui Pembangunan Perkebunan Kelapa Sawit. Jurnal Ekonomi Pembangunan: Kajian Masalah Ekonomi Dan Pembangunan, 12(2), 297. https://doi.org/10.23917/jep.v12i2.200
Syahza, A. (2021). METODOLOGI PENELITIAN. In Edisi Revisi (p. 223).
Syahza, A., & Asmit, B. (2019). Regional economic empowerment through oil palm economic institutional development. Management of Environmental Quality: An International Journal, 30(6), 1256–1278. https://doi.org/10.1108/MEQ-02-2018-0036
Syahza, A., & Nasrul, B. (2013). Potential Oil Palm Industry Development. Nternational Research Journal of Business Studies, 6(2), 133–147.
Syahza, A., Suwondo, Bakce, D., Nasrul, B., & Mustofa, R. (2020). Utilization of peatlands based on local wisdom and community welfare in Riau Province, Indonesia. International Journal of Sustainable Development and Planning, 15(7), 1119–1126. https://doi.org/10.18280/IJSDP.150716
Wicaksono, D. A., Rifin, A., & Pahan, I. (2018). The Sustainability of Three Indonesian Palm Oil Business Entities. Jurnal Manajemen Dan Agribisnis, 15(3), 249–257. https://doi.org/10.17358/jma.15.3.249
Downloads
Published
How to Cite
Issue
Section
License
Copyright (c) 2026 Riyadi Mustofa, Riati Bakce
This work is licensed under a Creative Commons Attribution-NonCommercial-ShareAlike 4.0 International License.
