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Phon Phisai District A University of Sussex MPhil thesis Available online via Sussex Research Online: http://sro.sussex.ac.uk/ This thesis is protected by copyright which belongs to the author. This thesis cannot be reproduced or quoted extensively from without first obtaining permission in writing from the Author The content must not be changed in any way or sold commercially in any format or medium without the formal permission of the Author When referring to this work, full bibliographic details including the aut hor, title, awarding institution and date of the thesis must be given Please visit Sussex Research Online for more information and further details Understanding the Oil Palm Change in Nong Khai Province: the Farmers Perspectives and the Policy Processes of the Oil Palm Plantations Kampree Sethaputra Primary Supervisor: Prof. Allister McGregor Secondary Supervisor: Dr. John Thompson Institute of Development Studies (IDS), University of Sussex, Brighton 1 Abstract Since 2005, the Thai government has, as a matter of policy, been seeking to increase production of biodiesel from oil palms. As a result, the number of oil palm plantations in the Northeast region has been growing, particularly in Nong Khai province. Nong Khai is a relatively remote, predominantly agricultural area and is the field site for this research. However, oil palm production is a complex and hotly contested issue both globally and in Thailand and it has ardent critics and supporters. For example, expanding oil palm production could, on the one hand, contribute to deforestation and a range of social problems that threaten traditional livelihoods, whilst on the other hand it could offer a source of renewable energy, alleviate poverty, and lead to a higher standard of living for farmers. The ultimate purpose of this study is to understand the changeover to oil palm production, specifically in the Thai context, through the development and application of a distinctive analytical approach. This approach is a synthesis of: the eight elements of farmers’ decision-making (Ohlmer et al., 1998), the IDS Knowledge, Technology, and Society (KNOTS) team’s framework on policy processes (Keeley and Scoones, 1999; 2001; 2003; KNOTS, 2006). This analytical approach is used to investigate factors influencing farmers’ decisions to take up oil palm cultivation, and the rationale behind the government’s oil palm policy and how it is implemented in the Northeast Thailand. Approximately nine months were spent carrying out the research in three selected villages in Nong Khai province, using qualitative methods including semi-structured interviews, purposive sampling and snowballing techniques. The results show that economic security is an important factor for farmers in deciding to change over to oil palm cultivation. However, it has emerged that what farmers really want is to achieve a comfortable lifestyle and to live in the same locality as their children, which implies urban to rural migration. Other critical factors are characteristic of oil palm cultivation, such as long life-span and short harvesting period, governmental projects supporting oil palm production, the roles of inspirational local leaders and large-scale oil palm producers, the price of oil palm fruits, the links between farmers and local buyers, and the experiences of oil palm growers in the southern region of Thailand, as well as the low productivity and high production costs involved in rice cultivation, and the success of rubber plantations. The findings also suggest that the oil palm policy processes in Nong Khai province do not have policy space for farmers to participate in the networks, or to design the oil palm policy that directly affects them. The policy was made in top-down in which the government only transferred oil palm knowledge through seminars and trainings. There were also issues concerning inequality amongst farmers and how that affects participation in the oil palm projects. Indeed, the OPPSP favours rich farmers, as they need a significant amount of capital to prepare for and maintain oil palm crops. Implementation of a ‘farmer-first’ approach is recommended in order to push the policy forward to serve resource-poor farmers properly. New behaviours and attitudes must be encouraged in most of the professionals encountered in this research. 2 Table of Contents Abstract……………………………………………………………………………... 2 List of Abbreviations……………………………………………………………….. 9 Chapter 1: Introduction……………………………………………………..……... 11 1.1 Introduction to the Problem……….…...……………………………….……. 11 1.2 Research Objective and Research Questions…..……………………….…… 14 1.3 Research’s Analytical Framework and Its Rationale…………………….…... 15 1.4 Research Methodology, Research Sites and Sampling Selection……………. 15 1.5 Structure of the Thesis…………..………………………………………….... 17 Chapter 2: From Biofuels to Oil Palm Based Biodiesel Development and the Oil Palm Expansion in the Northeast Region of Thailand……………… 19 2.1 The Rationale for Biofuel Development….…………………………………. 19 2.2 Oil Palm Based Biodiesel Development………….…………………………. 22 2.2.1 Impacts on the Environment…...………………………...……………. 23 2.2.2 The Issues of Livelihoods……...………………………...……………. 28 2.3 Oil Palm Basics and Oil Palm Plantations in Thailand...……………………. 33 2.4 Conclusion…………………………………………………………………… 38 Chapter 3: Research Framework, Logic, and Methods…………...…………...… 40 3.1 Analytical Framework of the Research..….…………………………………. 40 3.1.1 Adaptation of Eight Elements of Farmers’ Decision-Making Concept…………………………..…...………………………...……………. 41 3.1.2 Policy Processes Approaches…......……………………...……………. 46 3.1.3 Summary of the Analytical Framework for this Research.……………. 53 3.2 Choice of Methodology and Research Question.……………………………. 55 3.3 Research Sites and Sampling Selection..….…………………………………. 58 3.4 Data Collection and Data Analysis………...………….……………………... 65 3.5 Ethical Considerations…………..…………………….……………………... 68 3.6 Conclusion…………………………………………….……………………... 70 3 Table of Contents (2) Chapter 4: Understanding the Change to Oil Palm Cultivation: Farmers’ Decisions and Consequences………………………………….....…………………. 72 4.1 Understanding the Farmers’ Decisions in Adopting Oil Palm Cultivation and the Consequences of the Change: Key Areas………………...…………….... 72 4.2 Values and Goals Element…………………………….……………………... 74 4.3 Problem Detection Element……...…………………………………………... 82 4.4 Problem Definition Element…………………………………...…………….. 85 4.5 Observation Element………………………………………………………… 89 4.5.1 The Farmers’ Sources of Oil Palm Knowledge…......…....……………. 89 4.5.2 The Farmers’ Sources of Oil Palm Funding……………...……………. 95 4.6 Analysis Element………..…………………………………………………… 99 4.6.1 The Factors Affecting Farmers’ Decisions to Adopt Oil Palm Cultivation……………………………………………………...……………. 99 4.6.2 The Factors Affecting Rice Farmers’ Decisions Not to Adopt Oil Palm Cultivation…………...…............................................................……………. 107 4.7 Development of Intention Element…...……………………………………… 112 4.8 Implementation Element...…………………………………………………… 113 4.8.1 Social Situation after the Implementation of Oil Palm Cultivation....…. 114 4.8.2 Economic Aspect after the Implementation of Oil Palm Cultivation….. 116 4.8.3 Environmental Aspect after the Implementation of Oil Palm Cultivation………………………………………………………………...…. 118 4.9 Responsibility Bearing Element...…………………………………………… 121 4.10 Conclusion……………...…………………………………………………… 125 Chapter 5: Understanding the Change to Oil Palm Cultivation: Policy Processes of the Oil Palm Plantations in Nong Khai Province….……….. 127 5.1 Discourse/Narratives Theme…......…...……………………...……………… 128 5.2 Actor/Networks Theme…...……...…...……………………………………… 154 5.2.1 Networks and Key Actors in the Path to Oil Palm Production.…..……. 154 5.2.2 Networks of Key Actors that Influence the Oil Palm Farmers in the Three Villages…………………………………………...……………. 165 5.2.2.1 Inspirational Local Leaders and Large-scale Oil Palm Producers……………………………………..…......…....……………. 165 5.2.2.2 Government Agencies…………….……………...……………. 173 5.3 Politics/Interests Theme…..……...…...……………………………………… 178 5.4 Policy Space……………...……...…...……………………………………… 183 5.5 Conclusion…………...…...……...…...……………………………………… 187 4 Table of Contents (3) Chapter 6: Conclusions, Policy Implications and Future Research...................... 189 6.1 Key Findings and Further Discussion….....…………………..……………… 190 6.1.1 The Farmers’ Decisions and the Consequences of Oil Palm Cultivation………………………………………….…......…....……………. 190 6.1.2 Oil Palm Change in Nong Khai Province: A Broader Discussion…...... 195 6.2 Policy Implications…………………..….....………………………………… 198 6.3 Further Research……………………..….....………………………………… 202 Appendix A: Nong Khai Province: Facts and Maps...……………………………... 204 Appendix B: Phon Phisai District: Facts and Maps...……………………………… 208 Appendix C: So Phisai District: Facts and Maps...………………………………… 210 Appendix D: Seka District: Facts and Maps………………………………………... 212 Appendix E: Interview Guide Used in the Research………………………………. 215 Bibliography………………………………………………………………………… 219 5 List of Tables Tables 2.1 Socio-Economic Indicators of Farm Households in Thailand (2008/2009).… 34 2.2 Oil Palm Planted Areas, Annual FFB Yields, and Oil Extraction Rate in Thailand, between 2006 and 2010…………………………...……….…… 37 3.1 Summary of Sampling Selection and the Sample Size in the Research Plan... 61 3.2 Summary of Sampling Selection and the Sample Size Used in the Thesis….. 63 4.1 Number of Households and Occupation of Crops by Village...………….….. 78 4.2 Number of Households that Planned to Abandon Rice Cultivation
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