Formulating indicator selection and composite index validation and application system for agricultural sustainability assessment

• Agricultural sustainability assessment in Iran requires integrated indicators and informed decision-making tools. • Developed an eleven-step MCDA-based index to assess and compare agricultural sustainability. • Marvdasht ranked highest in sustainability but scored low in stability and environmental compatibility. • Kazerun showed promise for wheat cultivation but faces pest control and soil health issues. • Urgent need for better data, adaptive policies, and improved sustainability assessment methods identified. The main purpose of present study was to assess agricultural sustainability using a Multi-Criteria Decision-Making Analysis (MCDA)-based composite indexing system in Iran. For this purpose, an eleven-step process was developed and employed to select indicators and validate and apply the agricultural sustainability assessment composite index. Indicator selection (first step) was carried out using literature review and experts' evaluation. Item analysis, principal component analysis, and confirmatory factor analysis were employed for index validation (second step). In third step, validated indicators were applied to assess agricultural sustainability based of multi-criteria decision analysis. The results of indicator selection process based on the selection criteria including measurability, availability, simplicity/parsimony, and sustainability relevance revealed that 23 indicators are suitable for agricultural sustainability assessment in present study. The results of principal component analysis (first step of indicator validation) revealed that agricultural sustainability consists of four latent dimensions: equity and social well-being, durability, stability and compatibility, and productivity and efficiency. Confirmatory factor analysis (second step of indicator validation) approved the construct (convergent and divergent) validity and reliability of index. The results of applying developed and validated index to assess agricultural sustainability using multi-criteria decision analysis in four climatic regions of Iran demonstrated that Marvdasht and Kazerun had the greatest sustainability scores.