Development of Integrated Coconut Agroindustry from a Circular Economy Perspective: A Literature Review

Abstract

Abstract Indonesia is one of the world’s largest coconut-producing countries. In 2021, the coconut plantation area in Indonesia reached 3,374,347 hectares, resulting in a total production of 2,853,299 tons. Among the total coconut plantation area, 3,361,145 hectares (99.02%) are dedicated to smallholder plantations, involving 6,003,690 farming households. Therefore, coconuts play a significant and vital role in Indonesia. A circular economy approach prioritizes the effective utilization of resources, minimizing waste, and promoting material recycling to establish sustainable systems. The development of an integrated coconut agroindustry that applies circular economy principles by processing all parts of the coconut fruit to produce value-added products and reduce waste generated from the coconut processing process can create an efficient production cycle and minimize negative environmental impacts. In this paper, a comprehensive review of existing literature is conducted, focusing on the advancement of an integrated coconut agroindustry within the framework of a circular economy. Through maximizing the utilization of all parts of the coconut and enhancing value through innovative approaches, the integrated coconut agroindustry has the potential to play a substantial role in fostering economic growth, preserving the environment, and promoting societal well-being.