Authors:
Simon Ebel Maris Phoek, Lavenia Lauwinata, Hendrik Susanto

Addresses:
Department of Business and Accountancy, Saint Theresa School of Economics, Merauke, South Papua, Indonesia. 

Abstract:

This study aims to analyse the dynamics of power relations among the state, corporations, and indigenous communities in large-scale agricultural investments in South Papua, focusing on how these dynamics affect the balance between regional economic growth and the sustainability of local livelihoods. Using a qualitative field research approach through in-depth interviews, direct observation, and policy document analysis, the research reveals that asymmetrical power relations exclude indigenous communities from critical decision-making processes, resulting in the loss of customary land, erosion of subsistence strategies, and increased economic vulnerability. These findings demonstrate that while investments contribute to macroeconomic growth, they often fail to distribute benefits fairly to local communities, leading to social tensions and conflict. The study theoretically contributes by integrating political economy and sustainable livelihood frameworks to comprehensively understand livelihood disruption in frontier regions. Practically, it proposes a conceptual model to guide policymakers and investors in designing participatory, socially inclusive investment policies that prioritise indigenous rights and ensure fair benefit distribution. The results highlight the urgent need for regulatory reforms and participatory mechanisms to achieve sustainable and equitable development in South Papua.

Keywords: Political Economy; Large-Scale Agriculture; Local Livelihoods; Direct Observation; Critical Decision-Making Processes; Economic Vulnerability; Sustainable Development.

Received on: 25/07/2024, Revised on: 18/10/2024, Accepted on: 16/12/2024, Published on: 09/03/2025

DOI: 10.69888/FTSSSL.2025.000411

FMDB Transactions on Sustainable Social Sciences Letters , 2025 Vol. 3 No. 1, Pages: 29-36

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