Palm Oil Is The World 's Most Common Oil

1021 Words Oct 17th, 2016 5 Pages
Palm oil is the world’s most common oil that can be found in many household items ranging from bars of soap to dietary foods. Most consumers are unaware that palm oil is present in most food substances because it is not required to be labeled as such. It is simply branded as vegetable oil. The global demand for this commodity has increased over the years creating expansions of plantations in Indonesia leading to biodiversity loss, forest fires, peat degradation, hardship on families and a range of social issues. Since the early 1980’s palm oil has more than tripled globally primarily in Indonesia. “Most of this expansion has occurred in Indonesia, where the total land area of oil palm plantations increased by over 2100 per cent (more than 22 times greater) over the same period, growing to 4.6 million hectares”. The primary source of supply and production of palm oil is through state owned, big private corporations, and smallholder farmers. “State-owned plantations play a modest role in the Indonesian palm oil industry as big private enterprises (such as the Wilmar Group and Sinar Mas) produce approximately half of total Indonesian production. Smallholder farmers account for around 35 percent of cultivated land”. Today there are nearly ten million hectares of land in Indonesia solely dedicated to the plantation of this commodity. Individual smallholder farmers own between two and ten hectares of land for their palm oil farmland. Plantations are located in rural areas…

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