Smallholders – individual farmers owning small plots of land – have always been an essential part of Asian Agri’s business, contributing a significant proportion of the 160,000 hectares of oil palm plantations we manage.
In 2017 this was extended to a 1:1 commitment: for every one hectare of our own land we aim to match it with one hectare owned by smallholders. Currently 42 per cent of the land we manage is owned by smallholders.
We were one of the first companies involved in the government’s PIR-Trans scheme, which provided thousands of poor families with land, training and equipment to grow oil palms and improve their economic situation.
As well as providing them with a market for their crops, Asian Agri provides on-going support to raise living standards and boost yields. We also provide smallholders with alternative sources of income – such as cattle or fish farming – when oil palms reach the end of their useful lives and must be replanted.
Today we have benefitted more than 30,000 smallholder families.