Oil palm and agricultural policy: Boom or ruin for Indonesian farmers?

Can the Oil Palm Industry in Indonesia, which accounts for 80% of the world's Palm Oil production with Malaysia, help people out of poverty? (Photo: AFP)

Author: John McCarthy, ANU

Palm oil is now the world’s most widely traded vegetable oil. As Indonesia is the centre of global production, palm oil is a priority for Indonesia’s economic planners. With millions of hectares either under oil palm or planned for development, a highly polarized debate surrounds the question of oil palm development in Indonesia. The underlying question here is: can a boom in agricultural commodities such as oil palm provide a pathway out of poverty? Or does it amount to an instrument of mass immiseration?

In the last year, Greenpeace has pursed a very successful campaign against a range of large multinationals.
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