Our food supply chain mechanism requires several dynamic interactions between multiple players. We can encourage shoppers to eat better, sellers to save money, and food to keep out of the news by simplifying them. For the food industry, Blockchain-based supply chain management will do so substantially. However, to do this, constructive cooperation and involvement from all in the food industry are necessary. It would be important for innovators, from small growers to major retailers, to be together on this journey.
There is an unparalleled requirement for a healthier, cleaner food source, from food producers and manufacturers to kitchens across the globe. It can be made possible by blockchain-based food supply chain system implementation. It will produce disruptive outcomes for companies. Via a permitted, permanent, and shared record of food supply chain system data, a blockchain-based network will link all respondents across the food supply. The effect is a personalized suite of solutions that can increase food quality and freshness, enable efficiencies in the supply chain, reduce waste, improve the reputation of a company, and directly add to the bottom line.
With a comprehensive environment, Blockchain can support a business to achieve goals around traceability, security, freshness, and more. A blockchain approach is not just about technology, it’s about addressing market challenges that were historically insolvable because the ecosystem failed to exchange information in an open, secure, and trustworthy way. Blockchain technology offers a trustworthy database of records, unlike other storage mechanisms.
Blockchain provides the framework for a new wave of transactions that streamlines business procedures while ensuring trust and accountability.
Open blockchain networks are available to anyone and private, such as Bitcoin. Anyone on those networks will enter and see any events that occur. Usually, such networks involve resource-intensive computations to help stop fraudulent transactions.
On the other hand, developing a permissioned blockchain-based food supply chain approach enables invited participants to know precisely with whom they are transacting. Participants often dictate what information is seen by whom, while presenting evidence on a need-to-know basis. On our blockchain, smart contracts also run, enabling business logic to help settle conflicts, execute contracts automatically, and create trust.
Centered on the blockchain, a food delivery infrastructure rewards all network users with a cleaner, smarter, and more efficient food ecosystem. Transaction and data digitization offers a more effective means of operating through the supply chain, from producers, manufacturers, dealers, distributors, and regulators to clients. The solution provides approved users with direct access, from farm to store and eventually to the customer, to actionable food supply chain details.
The complete history and current location of each specific food item, as well as relevant information such as certifications, test results, and temperature records, are readily available within seconds when released in the blockchain.
Blockchain will enable you to follow the modern norm for openness and confidence with capabilities for cleaner food, longer shelf life, minimizing waste, easier traceability, and improved access to shared knowledge.
More than a fad is the need for fresher food. Over the last few years, fresh food sales have significantly outpaced all food and beverage units, accounting for up a quarter of all grocery transactions in 2017. But, even though buyers, manufacturers, and manufacturers alike raise their scrutiny for freshness from farm to shelves, fresh produce nevertheless spoils $7 billion worth before ever hitting a market in North America alone.
On average, American meals fly 1,500 miles from farm to fork. Due to excessive time in transport and storage, this can lead to increased spoilage of fresh produce.
New goods now invest up to 50 percent of their shelf life in paddock-to-retail transit. Along with differences between suppliers, dealers, and consumers, dynamic supply chains limit travel speeds and raise the complexities of preserving food freshness.
It ultimately becomes intangible as food continues its post-harvest travel, making it impossible to recognize what happens to the 5 percent of our global food supply that never reaches shelves due to losses during shipping and storage.
A blockchain-powered automated food supply chain allows maximum accountability across the food industry so that retailers can provide their customers with fresher choices (with improved shelf life), leading to decreased inventory losses and increased profits.
Food theft continues to flourish, powered by the complexities of today’s global food system: it is a worldwide industry that approaches $10 billion annually. Anything from honey and cocoa to peanuts and liquor is at risk of adulteration, as long as there is a benefit to be gained (and there is). Suppliers are generally responsible for the effects, regardless of the extent of safety risks or where the vulnerability has arisen-but everybody in the food sector suffers. What’s holding alive the food fraud?
Owing to the lack of oversight, responsibility, and effective controls, food smuggling has risen by 60 percent over the last couple of years. Regulators, however, have increasingly been requesting state-of-the-art procedures and technologies to help get businesses up to date and eventually build a more open food system.
Many firms are generally unaware of where and how they are vulnerable to food fraud; however, poor ties can exist through raw materials, ingredients, goods, and packaging with up to 10 percent of the food chain impacted by food fraud.
A collaborative blockchain-powered automated food supply chain facilitates complete accountability by digitizing and preserving transaction documents transparently and permanently, removing possibilities for food chain fraud.
If you are looking to explore blockchain’s potential in the food industry, connect with our blockchain experts for more information.