Thursday, February 5, 2026

Assessing the Economic and Socio-ecological Viability and Sustainability of Small-Scale Coconut Plantation in Indragiri Hilir, Indonesia by Implementing the Concept of Sustainable Local-Based Dynamic Agroforestry-Intercropping System, the Social Business Concept Cores, and the Sustainable Livelihood Approach (SLA) Framework - A Potential Research Proposal

 



I would like to share with you about a potential research proposal about small-scale coconut plantation in Indonesia that will be possible to address its problems and enhance its sustainability and economic profitability. I hope it will be beneficial to you, and someday I will conduct this potential research with external fundings. Happy learning!


Proposed Research Title:

Assessing the Economic and Socio-ecological Viability and Sustainability of Small-Scale Coconut Plantation in Indragiri Hilir, Indonesia by Implementing the Concept of Sustainable Local-Based Dynamic Agroforestry-Intercropping System, the Social Business Concept Cores, and the Sustainable Livelihood Approach (SLA) Framework


Background:

Indragiri Hilir has historically been a vital center for coconut agriculture, currently supplying roughly 300,000 tons, or 11.39%, of the national total. Yet, the dominance of peatland across 85% of the area creates a difficult environment for the region's smallholders. (Nabillah et al. 2025). 

Recently, the lack of economic viability and sustainability, as well as the socio-ecological aspects of small-scale coconut plantation in Indragiri Hilir has been a crucial problem. The small-holder farmers face difficulties in increasing their incomes, harvest yields, and livelihood resiliences. The lack of knowledge and practices in implementing a sustainable, both economic and socio-ecological, coconut cultivation is a major concern. Small-holder farmers in Indragiri Hilir have inadequate access to and use of appropriate agricultural inputs, a lack of venture capital and financing for production and replanting, and inappropriate knowledge and skills about the sustainable and scientifically approved implementation of coconut cultivation to achieve a sustainable income and livelihood resilience (Nabillah, 2025). 

The concept of Local-Based Dynamic Agroforestry-Intercropping System, like planting pineapple, cassava, banana, and areca nut with the coconut, could improve the economic sustainability of the farmers (Andres et al, 2016) (Kumar, 2024) also the Social Business Concept Cores, which consists of professional business assessment, such as Cost Benefit Analysis, NPV, and IRR, and the best practice about how to make viable business to attract social investors like from processor industry and middlemen is still uncommon to the farmers. (Yunus, 2010) (Kabanda, 2019). 

This study aims to find and assess the viability and sustainability, both economically and socio-ecologically, of the implementation of the Sustainable Local-Based Dynamic Agroforestry-Intercropping System using the Social Business Concept Cores and to assess the impact of the implementations to  farmers’ livelihood capitals and livelihood  resilience through the Sustainable Livelihood Approach Framework (Yuhasyra et al, 2025).  
 

Problem Statement: 

The small-scale coconut farmers in Indragiri Hilir have difficulties to increase their income, harvest yield, and the sustainability of their livelihood resilience, so the farmers need a new way, tool, and approach, as well as assistance, to make their small-scale plantation a sustainable business, both economically and socio-ecologically so they could achieve stable income and sustainable livelihood capital and resilience.
 

Research Questions:

There are four research questions:

  1. Are the Local-Based Dynamic Agroforestry-Intercropping Systems using the Social Business Concept Cores, such as planting pineapple, banana, cassava, and areca nut in a small-scale coconut plantation, a viable and sustainable business system to be implemented by the small-holder coconut farmers, both economically and socio-ecologically?
  2. How could the small-holder farmers implement the Social Business Concept Cores, such as Cost Benefit Analysis, NPV, and IRR, as a fundamental economic and business assessment? 
  3. How could the farmers attract social investors, such as both coconut middlemen and other commodities middlemen or the coconut processor industry and other commodities processor industry, to fund their system? What is the rate of Farmers’ Willingness to Pay (WTP) to implement the system if they have to pay?
  4. Is there any impact of the implementation on farmers’ livelihood capital and resilience sustainability? 



Proposed Conceptual Framework


There are three main concepts:

  1. Sustainable Local-Based Dynamic Agroforestry-Intercropping System (Madiclum, 2023), (Aprianti and Fawzi, 2024), (Andres et. al, 2016).
  2. Social Business Concept Cores  (Yunus, 2010), (Kabanda, 2019).
  3. Sustainable Livelihood Approach (SLA) Framework (Yuhasyra et al, 2025)



Figure 1. Conceptual Framework


The figure 1 shows the conceptual framework of this proposed research, which divide to two main methods, qualitative and quantitative analysis, that consist of 5 stages.



Methodology

The methodology of this research is mixed method, using both qualitative and quantitative analysis, with the Exploratory Sequential Design (Creswell & Creswell, 2023).  The researcher begins with a 'Problem Tree' Analysis to pinpoint specific issues affecting farmers. By employing a qualitative methodology, through a Focus Group Discussion (FGD), the study aims to gather comprehensive data regarding the farmers' economic conditions, allowing for a deeper examination of their perspectives. (Madiclum, 2023)

From the 20 districts in Indragiri Hilir, the study will select eight specific study areas namely Pulau Burung, Kateman, Teluk Belengkong, Pelangiran, Enok, Tanah Merah, Batang Tuaka, and Reteh. This selection was strategic, dividing the research locations into northern and southern regions. Based on preliminary findings, this geographical segmentation is crucial as it accounts for distinct variations in coconut plantation attributes and the implementation of inter-cropping systems in each zone (Nabillah et al, 2025).

10 small-holder coconut farmers who already have been implementing an inter-cropping system from each of those districts will be chosen using purposive sampling to implement the Sustainable Local-Based Dynamic Agroforestry-Intercropping Systems Principles using the Social Business Concept Cores with the Participatory Action Research (PAR) method. (Madiclum, 2023). The farmers and the researchers will try to find possible social investors to fund the projects (Yunus, 2010). If there are no social investors, the farmers will be asked about the Willingness to Pay (WTP) Rate using the Choice Experiment (CE) (Senanayaka., & Herath, 2016).  

The assistance from the researchers is a must to control the accuracy of the budgeting and financial records of the farmers. The researchers, along with the farmers, will assess the Social Business Concept Core assessment tools, such as NPV, IRR, and Benefit-Cost Ratio for the project. (Kumar, 2024).  The quantitative analysis using PLS-SEM will be conducted at the end of the research to assess the impact of the implementation of the system on the livelihood capital and livelihood resilience of the farmers using the Sustainable Livelihood Approach (Yuhasyra et al, 2025).    



Timeline

  1. Preliminary Problem Analysis: January 2026
  2. Farmers' Problem, Behavior, and Profile Assessment (FGD): January 2026
  3. Implementation of the Sustainable Local-Based Dynamic Agroforestry-Intercropping System and the Social Business Concept Cores: February - May 2026
  4. Financial and Economic Analysis and Assess the Impact of the Implementation of the Systems on Farmers's Livelihood Capital and Resilience: May - June 2026


References


Andres, C., ComoƩ, H., Beerli, A., Schneider, M., Rist, S., & Jacobi, J. (2016). Cocoa in monoculture and dynamic agroforestry. In Sustainable Agriculture Reviews: Volume 19 (pp. 121-153). Cham: Springer International Publishing.

Aprianti, S.E., & Fawzi, N. I. (2024). Coconut-based Agroforestry-Paludiculture to Improve Peatlands Sustainability and Food Security. Research Brief Tay Juhana Foundation.

Creswell, J., & Creswell, D. (2023). Research Design, Qualitative, Quantitative and Mixed Methods Approaches. In SAGE Publications,Inc.: Vol. Sixth Edit (Issue 1).

Kabanda, G. (2019). Study on “Building Social Business: The New Kind of Capitalism That Serves Humanity’s Most Pressing Needs” by Muhammad Yunus. Asian Journal of Management, Engineering & Computer Sciences, 4(1), 36-43.

Kumar, V. (2024). Cost Benefit Analysis Under Mixed Cropping Special Context With Coconut, Areca Nut, Pepper, Banana And Pineapple-Case Study Dakshina Kannada District. EPRA International Journal of Socio-Economic and Environmental Outlook (SEEO), 11(11).

Madiclum, R. B. (2023). Linking the Coconut Farmers in the Philippines to Better Market Opportunities through Community-based Participatory Action Research. Sustainable Energy And Environment Review, 1(1), 67-67.

Nabillah, R., Fawzi, N. I., Awuh, H. E., Qurani, I. Z., & Danapriatna, N. (2025). Exploring the dynamics of supply chain sustainability and resilience in the coconut agriculture: the case of Indragiri Hilir in Indonesia. Environment, Development and Sustainability, 1-35.

Nabillah, R. (2025). Connecting the Complexities of the Coconut Agriculture Ecosystem on Peatland in Indragiri Hilir, Indonesia: A Systems Thinking Approach. TropAg International Conference.

Senanayaka, Y. P., & Herath, H. M. L. K. (2016). Stated preference on growing fuelwood crops under Coconut plantations. Proceedings of 15th Agricultural Research Symposium: 106-110

Yuhasyra, D., Karyani, T., & Dwiartama, A. (2025). Analisis Resiliensi Penghidupan Petani Padi Penerima Hibah Sibedas di Kabupaten Bandung Menggunakan Kerangka Sustainable Livelihood Approaach (SLA) Analysis of Livelihood Resilience of Rice Farmers Receiving Sibedas Grants in Bandung Regency Using the Sustainable Livelihood Approach (SLA) Framework. Mimbar Agribisnis: Jurnal Pemikiran Masyarakat Ilmiah Berwawasan Agribisnis, 11(2), 2470-2478.

Yunus, M. (2010): Building Social Business: The New Kind of Capitalism that Serves Humanity's Most Pressing Needs. Public Affairs. New York.

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