This paper describes that the plasma smallholding plantation planters need more affirmative from the state to protect not only their land but also their culture to increase economic and social development for their social welfare. In establishing oil-palm estates, the government prompts cooperation pattern between the capital holders (private companies) and the local farmers in model called Peopleâ€™s Nucleus Estates (Perusahaan Inti Rakyat â€“ PIR) in which the company provides the capital, technology and the management of marketing, while the local farmers provide the lands and the labour.West Kalimantan is a region preferred to develop oil-palm estates for the vast area of â€œno manâ€™s vacant landsâ€ and the oil-palm estate companies are expected to conduct the transfer of technology to the local horticulturalists (agriculturalists with Swidden/slash burn cultivation) so that the well-being of the locals get increased. Oil-palm estates are also believed to be able to boost economic growth of provinces.

Oil-palm estates are believed by the government as a business undertaking to boost thewell-being of the peasants and provide job opportunities in rural areas.

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