I don't think this condition does what you think
condition = "${if eq {$received_protocol}{local} {1}{0}}"
the documentation of $received_protocol isn't totally clear to me, but it seems
clear that if your local sender connects using smtp, then $received_protocol
will be some variant of "smtp". I would guess that your condition matches for
use of the LMTP protocol.
I believe you need something more like
hosts = 127.0.0.1 : 10.20.30.40
where 10.20.30.40 is the ip of your local host.
Neil Youngman
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