Big impact on small farmers

New challenges: A smallholder harvesting oil palm fresh fruit bunches in Kampung Chenderong Kelubi in Kampung Gajah, Perak.

WHEN it comes to local smallholders, oil palm is often seen as a “golden crop”. Many smallholders have switched from planting rubber to oil palm because the latter offers the most lucrative benefits. Over the years, the National Association of Smallholders (NASH) has helped them to increase their oil palm’s productivity and yield.

Of course, like any other cash crop, oil palm has its highs and lows, and is subject to challenges and obstacles. At the end of last year, factors like the haze and the El Nino effect caused palm oil production to fall, resulting in price increase.