It is difficult to escape blockchain in 2018. Each and every industry considers the technology as conceivably revolutionary and now blockchain is certainly changing the food industry. Experts say that a blockchain-based system can create a reliable network to share information about food products from farms to processing facilities to the shelves of grocery shops. To give an understandable gesture of the advantages of implementing blockchain technology in the food industry, examine this example: a box of mangoes that you may find at a grocery shop can usually take six days to track back to their farm of origin, while blockchain technology takes 2.2 seconds. Let’s check it out that how does blockchain technology work with the food industry and what are the benefits of it.
The Increase In Food Frauds
With the use of blockchain technology there are no gaps in the history, status, and location of a food product, rather it gives the whole picture. Therefore, a retailer becomes aware of an issue in the product if any. The participants of the blockchain network are also able to see the entire history of that product to find the root of the issue. This type of issues causes the dismissal of that particular product from that specific batch.
The blockchain technology has the capability to transform the food industry. It not only transforms the supply chain for efficiency but also creates a distinct approach for both partners and customers of the business. Blockchain development companies like OpenXcell helps its customers for their projects on food supply chain in strategizing and transforming the system using blockchain technology.
The Increase In Food Frauds
- When it comes to food supply, generally we don’t know that what was its preparation process, and where does it come from.
- According to the world health organization’s estimation, almost 1 in 10 people become ill every year because of eating contaminated food.
- The global food supply has grown so complex that it has become almost impossible for food manufacturers and retailers to guarantee the derivation of the products.
- The current food supply chain is unable to detect and prevent fraud occurring in our food.
- The development of blockchain technology was as a decentralized ledger which records transactions and stores information on a global network.
- While originally adopted for its financial associations, the blockchains’ decentralized system has a colossal capability for the traceability of supply chains.
- The blockchain technology supplies a neutral open platform, there is no need of the third party to authorize the transactions, but rather a set of rules all participants, both the operators and the users of the system, must accept.
- A system like this is invaluable in complex supply chains where trust is low and agreement is difficult to assess.
- The blockchain technology has the potential to take the power of information from manufacturing companies into the hands of the direct customer. With the use of use of a simple QR code and a smartphone, the customers can scan a product package at the time of Sale and receive a full history of their foods excursion from farm to its bifurcation.
- The blockchain technology provides transparency, provenance, and traceability of the information.
- The producers of food cannot alter any food item as it moves by the way of the supply chain that can immediately identify and prevent it before the food reaches to the retailers or market.
- The consumers get the benefit of transparency and openness of the blockchain system. This system reassures consumers that the food they are buying and eating is exactly what the label says it is.
With the use of blockchain technology there are no gaps in the history, status, and location of a food product, rather it gives the whole picture. Therefore, a retailer becomes aware of an issue in the product if any. The participants of the blockchain network are also able to see the entire history of that product to find the root of the issue. This type of issues causes the dismissal of that particular product from that specific batch.
The blockchain technology has the capability to transform the food industry. It not only transforms the supply chain for efficiency but also creates a distinct approach for both partners and customers of the business. Blockchain development companies like OpenXcell helps its customers for their projects on food supply chain in strategizing and transforming the system using blockchain technology.