Good agricultural practice (GAP) helps increase productivity by producing fresh fruit bunches (FFBs), and selling FFBs will increase Independent Smallholders’ (ISH) income. However, although GAP promotes increased productivity, the effectiveness of GAP in delivering the well-being of the ISH in oil palm production areas remains to be determined. To that end, this study (i) measures the smallholder’s well-being index, (ii) compares the well-being index by states in Malaysia, and (iii) maps the relationship between GAP implementation, productivity, and well-being. The study selected respondents using purposive sampling (PS). PS identifies and selects individuals with Malaysian Sustainable Palm Oil (MSPO) certification and knowledge and experience of GAP. As a result, the research interviewed 564 ISHs with MSPO certification from 162 Sustainable Palm Oil Clusters (SPOC). The study used Principal Components Analysis (PCA) and the Structural Equation Model (SEM) framework to achieve the objectives. The study found that the average ISH well-being index was 0.62, and ISHs in Sabah had the highest well-being, with 0.73 compared to other states. The study also found that GAP influences productivity and is positively and significantly related to well-being. Therefore, it indicates to ISHs and the government the importance of GAP implementation to increase ISHs’ productivity and well-being.

The challenges smallholders face in agricultural management between developed and developing countries differ and can also impact the smallholder's well-being. The purpose of this study is to identify factors that affect the well-being of smallholders. We conducted a systematic literature by applying the Preferred Reported Item for Systematic Review and Meta-Analysis (PRISMA) and extracted 30 articles from Scopus and Web of Science. These articles show three main factors that drive well-being: technology, optimal resource, and insurance, and two additional factors: market pricing and tax policy. Findings show that all the above factors will first impact economic well-being and, subsequently, social well-being. When COVID-19 struck, the smallholder's well-being was also affected in addition to the destabilised food chain. Travel restrictions have led to a labour shortage. The smallholders had to turn to e-commerce to sell their products. They also incurred losses and experienced difficulties in procuring agricultural intermediate inputs. The absence of agricultural insurance worsened the impact on the well-being of the smallholders. To safeguard the well-being of these smallholders, the study suggests that stakeholders should encourage local labour participation, increase investment in human capital, adopt e-commerce in marketing, offer agricultural insurance schemes against various disasters and continuously provide or increase subsidies to smallholders.