Swimming Upstream: Local Indonesian Production Networks in “Globalized” Palm Oil Production

When agricultural commodities in developing countries experience an economic boom, they offer potential pathways out of poverty while creating environmental and social problems. While recent research provides insights into the governance of international supply chains, it provides less analysis of t...

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Bibliographic Details
Published in:	World development 2012-03, Vol.40 (3), p.555-569
Main Authors:	McCarthy, John F., Gillespie, Piers, Zen, Zahari
Format:	Article
Language:	eng
Subjects:	Agribusiness Agricultural commodities Agricultural Economics agricultural governance Agricultural policy Agricultural production Agriculture Business management Commodities Developing Countries Economic development Economics Exports Globalization Governance Government and politics Indonesia Methodological Problems Networks oil palm Petroleum Petroleum industry Poverty Production production networks Production systems Social Problems Strategic planning Studies Supply chain management supply chains Vegetable oils
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Summary:	When agricultural commodities in developing countries experience an economic boom, they offer potential pathways out of poverty while creating environmental and social problems. While recent research provides insights into the governance of international supply chains, it provides less analysis of the local production networks creating critical problems. Indonesia is now the world’s largest exporter of crude palm oil. This paper analyses processes of oil palm development in three oil palm districts. It considers how policy models, regime interests, and agribusiness strategies shape local production networks, generate local outcomes, and affect the possibilities of tackling issues associated with this boom.
ISSN:	0305-750X 1873-5991