Langsuan Oil Palm Smallholders Community Enterprise

SUSTAINABILITY JOURNEY STORY

“Smallholders previously applied fertilisers on their farms based on the recommendations of others. If someone said one approach was better than the other, they just applied it that way. This is how the majority of smallholders cultivated. Few of them fertilised their plantations with the nutritional needs of palm trees in mind. Farmers gained more competence after joining RSPO.”

Ms. Pailin Konpech, Group Manager of Langsuan Oil Palm Smallholders Community Enterprise

“Smallholders seek to increase the productivity of their palm trees, maximise efficiency throughout the supply chain and learn about proper farm management,” Pailin Konpech, Manager of Langsuan Oil Palm Smallholders Community Enterprise explained regarding the effort to become certified members for sustainable palm oil.

Pailin continued, “Smallholders did not know how to apply fertilisers properly in the past. They simply used whatever was available to them without contemplating what nutrients the palm required. They burned waste and palm fronds on the farm. The group decided to become certified sustainable palm growers in order to improve palm plantation efficiency, promote environmental and social awareness and minimise the negative impacts of oil palm production. Famers can save fertiliser cost and increase productivity by applying good farm management practices and proper fertilisation.”

When discussing the beneficial impacts of the group’s sustainable oil palm plantation initiative, Pailin added, “Prior to joining the group, farmers frequently used herbicides and burned palm fronds and waste to prepare the planting area. However, after providing farmers with trainings that explained the requirements restricting the use of fire, 100% of members no longer burn palm fronds or waste. They switched to other methods, such as collecting waste in empty fertiliser sacks before disposing it outside the plantation area.”

According to the Manager of Langsuan Oil Palm Smallholders Community Enterprise, RSPO Certification provided economic benefits at the household level. “Certified members have improved economic and social circumstances. They are trained in good farm management practices and fertiliser formulations based on nutrient deficiencies. This is a modification of fertilising methods that significantly saves money.”

Pailin continued, “Smallholders previously applied fertilisers on their farms based on the recommendations of others. If someone said one approach was better than the other, they just applied it that way. This is how the majority of smallholders cultivated. Few of them fertilised their plantations with the nutritional needs of palm trees in mind. Farmers gained more competence after joining RSPO. The group conducted trainings on collecting soil samples to determine which elements should be added or removed in each palm plot. Farmers responded well and are ready to adjust their practices.”

When asked about conforming to the social and environmental group initiatives, Pailin mentioned the Ganoderma lingzhi mushroom cultivation activity. “A specialist presented a method for eliminating fungus with microbial pesticides that keeps palm trees alive and doesn’t let them perish. Farmers must first assess their farms for signs of root rot disease and then notify the group of any issues. The group will then dispatch staff to investigate further and, if appropriate, inject biopesticides into the palm tree stem.”

Regarding cooperating groups or partners, Pailin reported, “SPO Agro Industries Company Limited provides funding for the group’s operational costs such as inspection fees for certification, training costs, lunch costs and speaker fees. It is sometimes necessary to invite outside speakers to provide trainings on correct farm management and fertiliser use.

“We used the High Conservation Value (HCV) application to survey the plots of members (third batch),” Pailin said, when asked if the group had used RSPO tools such as the HCV application. “They thought it was a waste of time because we had to survey each plot individually. For example, if there are 100 rai of land, they must survey the entire 100 rai. Some land has title deeds, so it may not be necessary to walk around the plot because the Land Department also has the LandsMaps application. Another challenge was the unstable signal that caused data loss, forcing them to survey again. There is no signal at some plots, so the application cannot be utilised there.”

When asked about the challenges of transitioning to sustainable palm plantation, the Manager of Langsuan Oil Palm Smallholders Community Enterprise indicated, “Farmers previously believed RSPO Standards were extensive, complicated and time-consuming. We have to make an effort to conduct trainings and change smallholders’ mindset so they can see that the criteria is similar to what they already do, but more systematic. Members need to keep good records. It’s not as difficult as people think.

“Influencing the first group of members to comply with RSPO Standards took time. Smallholders can be tough to communicate with because they are, on average, between 40–45 years old. However, there were no issues with the second and third groups because members converse with one another and act through word of mouth. Subsequent tasks are not that challenging.”

Revealing the group’s goals for sustainable palm production, Pailin outlined, “We will promote the group and open up to new farmers in order to increase productivity and membership. Over the next five years, we project to have 300 members. Within a year, the group will recruit more than 30 members.

“The reason that more farmers are interested in joining the group is the positive public relations from each batch of members. However, not all members who were admitted became certified. Some found it difficult and left the group while others did not have time to attend the trainings and keep farm records.”

When asked what the most significant difference has been since the transition to sustainable palm plantation, Pailin stated, “Proper farm management methods have helped farm owners cut production costs. That is the most significant difference. Changes in the usage of fertilisers are the biggest example. Farmers formerly used fertiliser simply as instructed by others. They favoured mixed fertilisers over Nitrogen Phosphorus Potassium (NPK) fertilisers even though they are more expensive. However, once members understood the differences, they switched to NPK fertiliser that they mix themselves. This reduces the cost per rai by around THB 1.50, allowing farmers to earn more money.

“Farmers are aware that they can reduce costs while increasing income by recording farm activity in the notebooks supplied by the group. At the end of the year, they use recorded data to compute the production cost per rai each year. Previously, this information was not documented, so farmers had no idea of their profits and investments. Some thought taking notes was too difficult while others were willing to change and keep records to assess the expenses of that year. Farmers must submit their farm records four times a year to monitor productivity,” Pailin explained.

According to Pailin’s personal experience, “The main factors that ensure smallholders maintain accreditation in the long term include the farmers’ determination and commitment to remain compliant with RSPO Standards. If RSPO Standards are upheld, the mill will continue to support it, and the certification procedure will be repeated each year.”

Pailin added, “The group’s internal control handbook, which is used as a group work guide, is the main motivator in preserving sustainable practices on palm farms. There is an internal audit, ongoing trainings and a production and sales tracking system in place to ensure that the group’s work system functions. Farmers have worked effectively together.

“Future challenges following RSPO Certification include three key areas. First, ensuring that the group is certified each year. Second, making certain that members consistently understand and adhere to sustainable palm plantation standards. And third, learning and accepting the possibility of RSPO Standard modification,” the Manager of Langsuan Oil Palm Smallholders Community Enterprise concluded.