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Oil Palm Farmers Actively Engaged in Certified Sustainable Palm Oil Trade Supply Chain



Doc. InfoSAWIT/M. Windrawan Inantha, RSPO Deputy Director of Market Transformation with Independent Smallholder.
Oil Palm Farmers Actively Engaged in Certified Sustainable Palm Oil Trade Supply Chain

InfoSAWIT, JAKARTA – Since 2024, the Roundtable on Sustainable Palm Oil (RSPO) has continued to strengthen its commitment to sustainable palm oil. Through its ongoing market transformation efforts, the RSPO supports oil palm farmers in becoming actively involved in the supply chain of certified palm oil trade. The goal is to empower farmers with stronger economic bargaining positions, both for palm oil and its derivative products consumed globally.

Recognizing that smallholders still require significant support, RSPO considers them key stakeholders who must be encouraged to actively participate in sustainable palm oil trade. By integrating farmers into the global palm oil trade network, their economic bargaining power will significantly increase.

Farmers' involvement in the global supply chain enhances not only transparency but also the traceability of raw materials used by the world’s manufacturing industries. By actively participating in the sustainable palm oil trade system, farmers are able to document and verify the existence of their plantations. This improves traceability and builds industry confidence in the sustainability and social responsibility of palm oil production.

Their role also reinforces commitments to sustainability certification aligned with RSPO’s Principles and Criteria, which emphasize forest protection and human rights. RSPO facilitates farmer training to support these commitments and ensures sustainability and social responsibility in plantation management.

"Oil palm farmers play a key role in the market transformation initiated by the RSPO. Their direct involvement enhances the sustainability of the entire palm oil trade supply chain. By integrating farmers into the global supply chain, they can access greater economic benefits," said Dr. M. Windrawan Inantha, RSPO Deputy Director of Market Transformation.

According to Windrawan, since its establishment over two decades ago, RSPO has certified 5.2 million hectares of palm plantations across 23 countries, producing 16.1 million tons of Certified Sustainable Palm Oil (CSPO) in 2023. In Indonesia, certified plantation areas grew by 8.4% in the same year. By September 2024, certifications increased by 5%, reaching over 2.7 million hectares, supported by a 6% increase in Indonesian plantation membership. Meanwhile, the domestic market absorbed 1.6% of RSPO-certified physical palm oil production.

“Certification among independent smallholders has surged by 60% annually, with the latest data showing that 25,579 independent smallholders have successfully obtained RSPO certification,” Windrawan added. (T1)

Source: InfoSAWIT Magazine, May 2025 Edition

 

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