Land-based sectors, particularly commodity plantations such as palm oil, rubber, cocoa, and coffee, remain the mainstay of Indonesia’s economy. Indonesia is the world’s leading producer of palm oil and rubber, and ranks third for cocoa and coffee. This industry employs tens of millions of workers throughout its supply chain, providing livelihoods and supporting national exports.

However, despite their economic contributions, land-based production systems are still fraught with structural challenges. Issues such as deforestation, environmental degradation, land conflicts, and disparities in the welfare of smallholder farmers continue to loom large. Smallholder farmers, who manage a significant portion of the land, play a key role in ensuring the sustainability of commodities. Unfortunately, they are often marginalized, hindered by limited access to markets, technology, and training, and face pressure to meet sustainability standards that are not friendly to small-scale businesses.

Therefore, transforming the governance of the agricultural sector has become urgent: not only for environmental sustainability, but also to achieve economic justice at the grassroots level.