Indonesia’s oil palm plantation currently covers 22.2 million ha (Sawit Watch, 2018) and 30% is owned by smallholders. Palm oil industry is a major contributor to the national economy, with crude palm oil (CPO) export reaching 12% of the national export and total production reaching 31 million tons in 2016. This export contribution is valued at USD 17.8 billion or IDR 231.4 trillion. Domestically, the Indonesian government is promoting palm oil for biodiesel and targeting CPO production to 40 million tons/year by 2020.
In addition, oil palm plantations in Indonesia face a number of issues, from environmental degradation, agrarian conflict, neglected workers conditions, threat to food availability, and more. Sawit Watch(2016) has recorded 782 communities in conflict against large scale oil palm plantations.