The Economic Dynamics of Oil Palm Farmers in Kenagarian Kinali, Kinali District, West Pasaman Regency (20032020)

Abstract

This study examines changes in the economic conditions of the community in Kenagarian Kinali, West Pasaman, following the development of oil palm plantations. Before 2003, the community primarily depended on traditional agriculture, including rice, corn, rubber, and cocoa, with relatively low incomes. Since 2003, oil palm cultivation has gradually replaced these activities because of its greater economic potential. Using the historical methodheuristics, source criticism, interpretation, and historiographythis study collected data through literature, documentation, and interviews with farmers, plantation workers, traders, farmer groups, and nagari officials. The findings indicate that from 2003 to 2020, oil palm plantations expanded significantly, increasing production and the number of farmers. This development improved household incomes, employment opportunities, education, asset ownership, lifestyles, and local economic activities. However, communities also experienced challenges, including dependence on fluctuating fresh fruit bunch prices, rising production costs, and unstable incomes. Overall, oil palm development significantly transformed the socioeconomic structure of the Kinali community.