Thana Palm Sustainable Palm Community Enterprise

Thana Palm Sustainable Palm Community Enterprise

A Model for Collaboration Between Business and Farmers

—————————————————

“Farmers get a premium price for their palm fruit, and the company receives higher-quality fruit for the factory,” says Sukanya Yotcharoen about the benefits of this collaboration.

“Farmers also gain knowledge about farm management. If a disease affects the palm, trainers come to provide guidance,” Ma-areh Alee notes.

“Members learn the rules about not burning waste in the fields, and how to manage farms near water sources, communities, and public areas, as well as farms where electric lines run through. We also train the workers on safe harvesting practices,” Sukanya adds.

Both are members of the working committee of the Thana Palm Community Enterprise — Sukanya is the manager and Ma-areh is one of the committee members. This RSPO certified group of quality palm growers was established thanks to an initiative by an oil palm extraction company in Tha Chang District, Surat Thani.

Thana Palm Products Co., Ltd. already maintains a database of smallholder farmers through its palm fruit buying points. Three years ago, the company aimed to establish a community enterprise group, so it approached local farmers to join. The company supported the RSPO application process, covering the costs of setting up the group and obtaining RSPO certification. The factory itself had previously applied for RSPO certification, enabling the group to sell their fruit directly to the certified factory.

The first batch of 46 members received RSPO certification on 8 November 2024, followed by a second batch of 38 members shortly afterwards. As of mid-2025, the group is currently accepting a third batch of members.

Besides having strong support from the palm oil extraction company, another key factor is the local network. According to Sukanya, “We have ‘team leaders’ — staff at the palm fruit buying points across Surat Thani, Chumphon, Ranong, and Krabi — who recruit new members and educate them about farm management, benefits, and participation. These farmers can then sell their palm fruit for an additional 30 satang to 1 baht per kilogramme. The company covers all operational expenses for the group, including staff salaries and training, making it accessible for smallholders to participate.”

When asked why the company invested so heavily in this initiative, a committee representative responded, “It’s about sustainability and market opportunity. We export palm oil to countries that are highly concerned about the environment. To sell in these markets, we must adhere to standards like RSPO. Our neighbours, Indonesia and Malaysia, have already implemented RSPO. Being an early adopter gives Thailand a competitive edge and allows us to expand into new markets.”

With strong support and a committed group of farmers, this enterprise has progressed to an advanced digital stage. The group now uses an app that allows every farmer to track their own yield data in real time.

However, certain challenges remain. “We lack dedicated personnel who can provide on-the-spot support for farmers. Currently, experts come twice a year for training, but some issues require immediate attention. It would be ideal if we had permanent staff in the area — similar to district agricultural officers — who can respond quickly when needed,” says the group manager.

Looking ahead, the goal is to increase the number of members. “We must attract more smallholders to join. Currently, RSPO-quality palm fruit accounts for only 5% of the total daily intake (1,700 tonnes) for the factory. This is too low to produce RSPO-only oil. We must switch production lines when the volume allows, but our goal is for the factory to operate exclusively with RSPO fruit within the next two years. This will require approximately 1,400 tonnes per day of RSPO fruit. At that point, the company can produce 100% RSPO palm oil every day — a shared aspiration between the company and its network of smallholder farmers, and a potential source of pride for the nation,” Sukanya concludes.

Total area covered by the project
454.46 Ha

Number of smallholders benefitting from this project
46 Smallholders

Number/percentage of women supported by this project
23.91% women in this project

In Thailand, smallholders are at the heart of oil palm production, with over 80% of the total oil palm cultivation area managed by independent smallholders. Your support, therefore, goes far beyond enabling smallholders to meet RSPO standards for sustainable palm oil. It plays a critical role in strengthening sustainability across the entire supply chain—from farm to final product. By supporting smallholders, you are helping to drive a more inclusive and resilient agricultural system, ensuring long-term sustainability that benefits all stakeholders.

Representative Contact
Ms. Sukanya Yodjaroen | Group Manager | [email protected] |

Mr. Maareh Alee
System administration and database management
+66 63 524 9553
[email protected]

Thana Palm Sustainable Palm Community Enterprise

Thana Palm Sustainable Palm Community Enterprise

Thana Palm Sustainable Palm Community Enterprise

Thana Palm Sustainable Palm Community Enterprise

Thana Palm Sustainable Palm Community Enterprise

Thana Palm Sustainable Palm Community Enterprise

Thana Palm Sustainable Palm Community Enterprise

Thana Palm Sustainable Palm Community Enterprise

Thana Palm Sustainable Palm Community Enterprise

Thana Palm Sustainable Palm Community Enterprise