A study of oil palm Fresh Fruit Bunches (FFB) quality issues case of independent smallholders in Muar, Johor

Asoha, Noraina Fazirah (2019) A study of oil palm Fresh Fruit Bunches (FFB) quality issues case of independent smallholders in Muar, Johor. Project Report. Universiti Teknikal Malaysia Melaka, Melaka, Malaysia. (Submitted)

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Abstract

Agriculture is one sector that gives a high income to the country. Palm oil industry contributed to 43.1% from the RM 89.5 billion in the agriculture sector for Malaysia Gross Domestic Product (GDP). As of 2017, it is reported that there are currently a total of 650,000 independents smallholders in Malaysia. It is the main source of income for most of these smallholders. Although the numbers of independent smallholders are small, their existence is important as they played a significant role in the development of oil palm. If independent smallholders slacken in their operations and no improvement effort is made, it will affect the overall supply chain because of their comparative cumulative size. The supply of Fresh Fruit Bunch (FFB) from the smallholders have an effect on the quality FFB of the oil extraction rate (OER). The objectives this study is to determine the critical success factors (CSF) that has effect on the quality of FFB from the smallholders. The study also identify the plans that is used to improve FFB quality and to recommend the procedures that can help independent smallholders to produce quality FFB. The study is conducted through a set of questionnaires distributed to smallholders in Muar, Johor. Response from 265 respondents were analysed using SPSS. The findings of the study shows that the quality of FFB is affected by soil, handling process and fertilizer, harvest activity and quality of seedlings. Interviews are also conducted. From the interviews, among others, it is found that some smallholders acquired the seedling from unregistered nursery and the smallholders were not able to harvest according to the schedule. This has affected the quality of the FFB. It is recommended that agencies such as Malaysia Palm Oil Board (MPOB) need to educate the smallholders on the importance of good seedlings and suggest appropriate new harvesting technologies that can help smallholders to expedite the harvesting operations.

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