Abstract

Studies on sustainable development in Indonesia’s palm oil industry hardly focus on local communities. This study aimed to examine the indicators of Sustainable Development Goals (SDGs) using Indonesian Sustainable Palm Oil (ISPO) principles and criteria in a sustainability model. It was conducted in Gane Dalam, Jibubu, and Yamli villages in South Halmahera District, North Maluku Province using a sample of 200 respondents. Data were analysed using Structural Equation Modelling-Partial Least Squares (SEM-PLS). SDG indicators were found to have a positive and significant effect on ISPO. These indicators include poverty alleviation, food security, gender equality, income, the processing industry, infrastructure, and conflict resolution. Other indicators include company consistency, overlapping interests, efficient natural resource use, land rehabilitation and conservation, and animal protection. Additionally, the sustainable development model moves from the social to environmental development pillar, impacting Indonesian Sustainable Palm Oil standards and criteria.

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