The logic behind a FELDA settler’s monthly income of RM7,000

By Siti Noriezam binti Mohd Zamri

It was recently reported in the media that the Federal land Development Authority (FELDA) settlers can earn up to RM7,000 for a month. But do they truly earn the salary this much money every month and is there a logic behind it?

As reported by Salehudin Mat Rasad in Kosmo, FELDA settlers can breathe a sigh of relief when the price of palm oil reaches RM1,000 per metric tonne. On average, they now can earn an income of between RM4,000 to RM5,000 a month, or even can earn RM7,000.

Perhaps, you will start to think and say, “Wow! That’s a lot. So, it clearly indicates the settler is too easily stereotyped as a wealthy person.” Then, you might start to overgeneralise this settler group on their monthly income.

Generally, it is logical to say that the settlers can earn RM7,000 for a month. However, you will never know unless you walk in their shoes.  

In fact, there are several factors that affect their income. These factors will determine the amount they receive for every month. Thus, for the settlers, getting a salary of RM7,000 is like waiting for the lucky things to fall into their hands because it is very difficult to earn that much. Here, it means that the FELDA settlers may earn a four-figure salary per month, but there are some important facts that you might need to know regarding their source of income.

Unsustainable prices of crude palm oil

In general, palm oil is most widely used by people and it is also found in many products sold in the supermarket such as toothpaste, shampoo, lipstick, bread and ice-cream. 

Unfortunately, even though the palm oil fruit is highly used to produce other products and always in demand, you might need to know that the market price of the oil palm fruit is unsustainable and keeps changing. 

As we are all aware of this recent time, the market price of oil palm fruit already reaches RM1,000 per metric tonne. As stated by FELDA Mawar Jengka 10 chief settler, Jantan Mat Saman, the inflated palm oil prices due to high demand in the world market, has given a relief to the settlers during the Movement Control Order (MCO) 3.0 period.

However, it is true to say that what goes up must come down, same thing goes to the fruits. During MCO 1.0, it is a different situation where the settler group faced an economic crisis, and they were so burdened due to low prices of palm oil.

Besides, they could not even go out for work at the oil palm plantations during that period. As an alternative, this had eventually forced them to look for other side jobs in order to generate income.

Meanwhile, according to the FELDA Keembong Jengka 6 Chief Settler, Saharudin Lela, following his observation he now felt settlers are more aware and are more careful in spending their money to face any eventuality in the future, especially during the MCO period.

Hence, for us to easily say that FELDA settlers can earn a salary up to RM7,000 every month is something that is impossible.

Total income lies in the production of oil palm fruits

Here, the public might need to know that the total amount of salary earned by settlers is basically based on the quantity that oil palm fruits produced every month. But the problem is that the quantity of fruits produced is often inconsistent which could be described like a roller coaster, going up and down.

It is because oil palm trees sometimes produce more fruits, but there are times, just a little amount, and the worst is that when the trees do not produce fruits at all. 

In addition, you cannot expect that the oil palm trees will surely produce a lot of fruits every month because there is an up and down situation. Therefore, it directly affects the amount of the settlers’ earnings, and sadly to say that the settlers might not have the opportunity to have a fixed income as others do. 

Thus, these factors have successfully encountered the stereotype that exists within our community who tends to overgeneralise that FELDA settlers are among the wealthy groups of people who can easily generate a lot of money every month.

Perhaps, it is logical and you may qualify to say that the settlers can earn the salary up to RM7,000 per month, but the amount is not their fixed income. The truth is that their salary depends very much on the market price of oil palm fruits and the quantity of the fruits available at the plantation during the time. ***

(This opinion piece is written as part of the individual assignment series for Feature Writing class)

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