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I am currently working on editing the article Palm Oil Production in Indonesia. I did grammatical fixes and simplified the structure of all the article. I added some precisions here and there, improved the structure of two paragraph by adding by content and and added a section on the "effects on local communities".

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Copied from Palm Oil Production in Indonesia

Restructuring the paragraph and adding informations:

Borneo and Sumatra are the two islands that account for 96 percent of Indonesia’s palm oil production. As of 2011, there were 7.8 million hectares of palm oil plantations, with 6.1 million hectares of these being productive plantations under harvest, thus making Indonesia the global leader in crude palm oil (CPO) production. According to World Bank reports, nearly 50% of CPO produced in the country is exported in an unprocessed form, while the remaining is processed into cooking oil, about half of which is exported, while the rest is consumed locally.

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Uses

Palm oil is an essential ingredient for the food industry, used as a cooking oil or in the production of processed foods (such as many types of chocolates, biscuits, chewing gum...) and for the manufacture of cosmetic and hygiene products (soaps, lipstick, washing powder...). It is also valuable as a lubricant in industrial production or for the energy sector for the production of biodiesel.

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Environmental impact

Wild orangutan spotted in Kutai National Park, Borneo, Indonesia.

Sumatran tiger (Panthera tigris)

Further information: Social and environmental impact of palm oil

Since agricultural land is limited, in order to plant monocultures of oil palms, land used for other cultivations or the tropical forest need to be cleared. Of the total logging in Indonesia, up to 80% is reported to be performed illegally. A major environmental threat is then the destruction of rainforests in Indonesia, which was estimated at 0.84 Mha of primary forest per year from 2000 to 2012. This entails a reduction in biodiversity and an alteration of ecosystems which causes the destruction of the habitats of endangered species such as Borneo pygmy elephants, Sumatran elephants, Sumatran tigers, Sumatran rhinoceroses, and the various species of orangutan that can be found only on the forests of Borneo and Sumatra. 

Deforestation also makes Indonesia one of the biggest emitters of greenhouse gases. Carbon Dioxide (CO₂) is released in the atmosphere massively with the cutting of tropical peatlands, which are carbon sinks, according to Greenpeace. Another cause are illegal forest fires to clear land for palm oil plantations. According to WWF for example, in 1997 around 0.81 to 2.57 gigatons of carbon were released by the fires which represented "13-40% of the mean annual global carbon emissions from fossil fuels that year".

Industrial palm tree plantations also impacts negatively the quality of soils, water and the air because they often rely on the use of agrochemicals products, such as pesticides or fertilizers.

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Impacts on local communities

The expansion of the palm oil industry is driven by its profitability, and it has the potential to develop new jobs and improve the standards of living of people and small-holders when conducted sustainably. According to the UNDP, there are about 16 million jobs that depend on the palm oil sector.

On the other side, deforestation for oil palm plantation development also endangers indigenous tribes and local communities as it entails the destruction of living spaces or land appropriation. For example, in regions like Kalimantan, the local livelihoods of Dayak communities and their traditions of shifting cultivation, are undermined by the development of palm oil production and monocultures. This often results in human rights violations and confrontation between large-scale producers and local communities whose land is appropriated. Colchester, for example, found that in 2010, there had been more than 630 land disputes linked to oil palm production in Indonesia.

The industry of palm oil also causes pollution of air and water which increase health risks to the populations of Indonesia.

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Sustainable Palm Oil

In response to critiques on the industry by environmental and human rights group, efforts are made towards more sustainability of the industry. According to the Roundtable on Sustainable Palm Oil (RSPO), that applies to palm oils who are produced to increase the food supply while keeping in mind the goals to "safeguard social interests, communities and workers" or to "protect the environment and wildlife" for example.

In 2011, Indonesia’s Sustainable Palm Oil System (ISPO) was introduced. It is a mandatory certification scheme to ensure the quality and the respect of norms regarding the environment, workers and respect of local populations that should apply to all producers.

The Roundtable on Sustainable Palm Oil (RSPO) is also active in the region in providing certifications of sustainability for the produces who match the standards.