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The agricultural supply chain can greatly benefit from the blockchain

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Blockchain and the agricultural supply chain Pexels.com

An American consumer goes to the store and buys the chicken for his evening meal." trusts "the fact that the chicken is safe, that it has been inspected by the experts of the USDA and is in place, but does not know anything about the origin of that chicken, how it was grown or who has" hands "for

Perhaps it was bred in China and slaughtered in very unhealthy and unfavorable conditions, perhaps it was bred in the United States and pumped full of antibiotics and steroids to make it much bigger and therefore attractive and worth more as it is distributed to a grocer.

The problem is that consumers know nothing of the origins of their food, how food has been grown and how many brokers have eaten before reaching the shelves.

now rebel, it took some important steps to put the spotlight on the issue (the European horse meat scandal of 2015, for example), and numerous other minor ones, such as the recalls of food for contamination from coli or salmonella Add to this the fact that many food processing intermediaries add GMOs and keep their own secret records on how to do it.

In short, consumers no longer trust the origin or supply chain of their food. The certifications are often fraudulent, members of the supply chain are not known or revealed and the labeling is not transparent. For this reason, many choose to select only locally grown products, in order to ensure food integrity.

Can the blockchain provide a solution?

There has been a lot of "battage" on the blockchain in recent years. While it started as a technology to provide transparency and security for cryptocurrency transactions, it is rapidly moving into other industries. The reason? Technology can provide a permanent and unchanging record of contracts, transactions, documents, supply chain movement and more. All major industries are exploring the potential of the blockchain and this includes agribusiness.

A recent study funded by the Dutch government, examined the potential of the blockchain for the agricultural industry. While his conclusions were that much more study and research, along with the refinement of blockchain technology, must be conducted, the potential is certainly there.

What the researchers say is that the use of blockchain could result in much greater consumer confidence and

  • Consumers knew exactly how a food product was grown / bred: what soil, fertilizers, etc. . they were used for plant products or how animals were raised, what they were fed, etc.
  • Consumers should know all the key points in the supply chain, who managed food products, what has been done to food products and how these operators have been certified.
  • The removal of at least some intermediaries could lower costs for final consumers.
  • Greater confidence will be established in farmers and food suppliers worldwide, as certification and fraudulent labels could be eliminated.

This study included a case of blockchain, from the growing conditions of table grapes in South Africa to kitchen tables of European customers. The results were promising, as the supply chain was recorded, stored in blocks and made available to consumers.

Blockchain can help connect brands, retailers and consumers

There are many big data solutions companies that are trying to link brands and consumers by providing completely transparent information on production and on the contents of food products, ranging from chicken to vegetables and even hemp oil according to Neoteric Nutra. With around 50% of consumers claiming they want current and honest information on the food products they buy, brands would do well to take the demand into account and provide transparency.

Blockchain can certainly help in this regard.

Blockchain can reduce interruptions in the supply chain

No one can forget the disaster that was the period following Hurricane Katrina. The US government was not prepared to respond to this disaster on many levels and one of those levels was bringing food and drink to the victims. Food products destined for New Orleans ended up throughout the country – of course the supply chain was ineffective.

Now, bring this problem globally. When natural disasters occur in one part of the world, everyone is affected. And countries and companies must have disaster response plans in the event of a nightmare. Even Blockchain has potential here. The victims need provisions; companies need suppliers. If smart contracts and contingency plans are developed in advance and recorded through blockchain technology, each "player" in the supply chain will understand his role. And the supply chain can be traced while goods and services are transported according to plan.

The agro-industrial sector has a lot of work to do to build and maintain consumer confidence. And consumers are becoming smarter, doing their research and promising to buy only food products whose stories can verify. Using the blockchain to provide the required transparency has many promises. Growers and processors would do well to get on board.

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Blockchain and the agricultural supply chain Pexels.com

An American consumer goes to the supermarket and buys the chicken for dinner. He trusts that the chicken is safe, that it has been inspected by the USDA experts and be okay, but know nothing of the origin of that chicken, of how it was grown or whose "hands" went its way to the shelf of a grocery store.

Perhaps it was bred in China and slaughtered in very unhealthy and unfavorable conditions.Perhaps it was bred in the United States and pumped full of antibiotics and steroids to make it much bigger and therefore attractive and worthy more like it was distributed to a grocer

The problem is that consumers know nothing about the origins of their food, how food was grown and how many brokers they ate before reaching the shelves.

And now they are rebelling Some important scans They highlighted the issue (the 2015 European horse meat scandal, for example) and numerous other minors, such as food recalls for e-coli or salmonella contamination. Add to this the fact that many food processing intermediaries add GMOs and maintain their own secret records to do so.

In short, consumers no longer trust the origin or supply chain of their food. The certifications are often fraudulent, members of the supply chain are not known or revealed and the labeling is not transparent. For this reason, many choose to select only locally grown products, in order to ensure food integrity.

Can the blockchain provide a solution?

There has been a lot of "battage" on the blockchain in recent years. While it started as a technology to provide transparency and security for cryptocurrency transactions, it is rapidly moving into other industries. The reason? Technology can provide a permanent and unchanging record of contracts, transactions, documents, supply chain movement and more. All major industries are exploring the potential of the blockchain and this includes agribusiness.

A recent study, funded by the Dutch government, examined the potential of the blockchain for the agricultural industry. While his conclusions were that much more study and research, along with the refinement of blockchain technology, must be conducted, the potential is certainly there.

What the researchers say is that the use of blockchain could result in much greater consumer confidence and even lower costs as the agri-food industry begins to adopt the technology.

  • Consumers would know exactly how a food product was grown / bred: which soil, fertilizers, etc. were they used for plant products or how were animals raised? , etc.
  • Consumers should know all the key points in the supply chain, who managed food products, what has been done to food products and how these operators have been certified.
  • The removal of at least some intermediaries could lower costs for final consumers.
  • Greater confidence will be established in farmers and food suppliers worldwide, as fraudulent certifications and labeling could be eliminated.

This study included a case of blockchain, from the growing conditions of table grapes in South Africa to kitchen tables of European customers. The results were promising, as the supply chain was recorded, stored in blocks and made available to consumers.

Blockchain can help connect brands, retailers and consumers

There are many great data solutions companies that are trying to connect brands and consumers, providing completely transparent information on the production and content of products food, ranging from chicken to vegetables and even hemp oil, according to Neoteric Nutra. With around 50% of consumers claiming they want current and honest information on the food products they buy, brands would do well to take the demand into account and provide transparency.

Blockchain can certainly help in this regard.

Blockchain can reduce interruptions in the supply chain

No one can forget the disaster that was the period following Hurricane Katrina. The US government was not prepared to respond to this disaster on many levels and one of those levels was bringing food and drink to the victims. Food products destined for New Orleans ended up throughout the country – of course the supply chain was ineffective.

Now, bring this problem globally. When natural disasters occur in one part of the world, everyone is affected. And countries and companies must have disaster response plans in the event of a nightmare. Even Blockchain has potential here. The victims need provisions; companies need suppliers. If smart contracts and contingency plans are developed in advance and recorded through blockchain technology, each "player" in the supply chain will understand his role. And the supply chain can be traced while goods and services are transported according to plan.

The agro-industrial sector has a lot of work to do to build and maintain consumer confidence. And consumers are becoming smarter, doing their research and promising to buy only food products whose stories can verify. Using the blockchain to provide the required transparency has many promises. Growers and processors would do well to get on board early.

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