Measuring socio-economic impact of the Lung Anai chocolate program through the SROI approach

Abstract

This study examines the socio-economic impact of the Lung Anai Chocolate Program initiated by PT Multi Harapan Utama (MHU) in Lung Anai Village, Kutai Kartanegara, East Kalimantan. As part of the Community Development and Empowerment Program (PPM) in the mining sector, the initiative focuses on strengthening the cocoa value chain through improved cultivation practices, quality enhancement via fermentation, and value-added processing into products such as chocolate bars and cocoa powder. The research employs a quantitative descriptive approach complemented by qualitative data, collected through interviews, observations, questionnaires, FGDs, and secondary sources including company reports and academic literature. Findings show that during 2023-2025, the company invested IDR 649,604,644, generating benefits valued at IDR 762,535,205. These benefits include increased turnover of Rumah Cokelat managers, improved cocoa processing skills, additional farmer income, MSME contributions, and institutional empowerment. The Social Return on Investment (SROI) ratio of 1.17 indicates that each IDR1.00 invested delivers IDR1.17 in social and economic value, yielding a 17% surplus above costs. This demonstrates equitable distribution of benefits across farmers, MSMEs, and local institutions. Beyond direct gains, the program enhances community capacity, fosters new business opportunities, and supports sustainable local economic development, making it a replicable CSR/PPM model for post-coal regions.