Sustainability Value Chain Analysis of Environmentally Friendly Natural Rubber Productivity: A Case Study

Natural rubber is a major internationally traded commodity that contributes substantially to producer-country economies through employment and export revenue, with key processed products including Standard Indonesian Rubber (SIR), Ribbed Smoked Sheet (RSS), and concentrated latex (centrifuge latex). This study maps and analyzes productivity along the natural rubber (NR) supply chain and formulates strategies to improve environmentally friendly productivity to support the sustainability of state-owned enterprises. Priority strategies were identified using the Analytic Hierarchy Process (AHP), and their performance was assessed using the Green Productivity Index (GPI) and visualized through the Green Value Stream (GVS). Results show that upstream cultivation achieved a higher GPI (3.84) than downstream processing, including RSS (0.38) and SIR (0.16). Upstream priorities to increase GPI include semi-intensive cultivation and replanting (0.42), reuse of cultivation waste (0.30), and substitution with organic pesticides (0.28), while downstream priorities include process optimization (0.36), wastewater reuse (0.29), raw material control (0.20), and raw material substitution (0.15). Overall, sustainable NR cultivation and production at PTPN 1 Regional 2 can be strengthened through consistent implementation and strong commitment across integrated economic, environmental, social, and governance dimensions.