Palm oil development in Indonesia and Malaysia—the top two producing countries—has led to significant forest loss over the last 30 years. The deforestation and land-use changes that often occur during palm oil cultivation are some of the leading causes of climate change—yet the sector is increasingly vulnerable to its impacts.
With rising production costs, limited negotiation power, and a lack of access to finance and quality inputs to contend with, many oil palm farmers in developing regions are left struggling to earn a living. This report provides a series of recommendations for governments, private sector actors, and sustainability standards to ensure that palm oil producers receive better incomes and are incentivized to adopt more sustainable practices.