We assess the consequences of sustainable farming practices (“Best Management Practices”) on oil palm fruit production on 40 smallholder farms in Sabah, Malaysian Borneo, and whether maintaining vegetation cover, which is linked to environmental sustainability and higher biodiversity, results in a trade-off with oil palm production. We found considerable variation in yield among farms (6.9–37.4 t ha−1 yr−1), but little evidence for any trade-offs between yield and farming practices. This finding has important implications for livelihoods if farmers can minimize agricultural inputs, reducing costs and supporting the environmental sustainability of oil palm smallholder farms whilst maintaining crop yields.