Blockchain and agriculture, already a reality – Green

A revolutionary next-generation technology, blockchain is best known for transparent transactions. However, it is applicable to other areas. Applied to agriculture, it serves as a digital tracer from planting to the plate.

Traceability is a key issue for the agricultural sector, especially for players in the sector who are exporting. Hence the growing industry craze for blockchain (block chain technology). This database which contains the history of all the exchanges carried out between its users since its creation can indeed render great services.
Far from being limited to finance, it can be applied to any multi-step transaction requiring traceability and visibility. At the level of the supply chain, for example, it can make it possible to manage and sign contracts, but also to verify the origin of the products. Applied to agriculture, it can be used as a digital traceability tool throughout the food value chain and thus help to avoid any fraud.

Less paperwork

In other words, agricultural blockchain can generate and save billions of dollars. According to Juniper Research, one of the UK’s leading mobile and digital technology analyst firms, it will save an estimated $31 billion annually in food fraud worldwide by 2024. Why? Because the room for maneuver of falsifiers of all stripes will be considerably reduced!
The technology could also reduce cross-border transportation costs. With the latter accounting for nearly 90% of the world’s trade, block digitization would reduce people, time and paperwork in favor of automation. According to estimates by the International Business Machines Corporation (IBM), total digitalization would save maritime freight $38 billion per year. Small producers would also find themselves clearly advantaged, because they could promote products of proven quality and at fair prices, by gaining direct access to export markets. And like the “bitcoin” system, transactions would be made directly from producer to buyer, once the latter had scanned the QR code (quick response code) of the product.
“This will encourage small producers to organize themselves… In any case, within 20 years, this will be a requirement everywhere”, estimates Gaëtan Etancelin, former president of the Malagasy Syndicate of Organic Agriculture (Symabio). It is therefore time to consider blockchain technology as the new reference tool for all.

The Carrefour brand is preparing to integrate blockchain into all of its products. Its supplier countries, including Madagascar, will have 18 to 36 months to comply. ©All rights reserved

Technology is popular

Present in Madagascar, the multinational trading group Louis-Dreyfus was among the first to carry out an agricultural raw materials transaction via the blockchain. In Africa, the technology is also beginning to be popularized, as in Uganda where the company Carico Café Connoisseur has installed a QR code to be scanned on its coffee packets allowing the traceability of the beans, from the plantation to the store. The brand estimates that this improved visibility of the product has increased the income of its producers by 10%.
According to Gaëtan Etancelin, Carrefour, the French hypermarket brand, will soon integrate blockchain technology into all its products, and its supplier countries, including Madagascar, will have 18 to 36 months to comply. The blockchain will allow information relating to the products to be stored: their origin, their place of breeding or method of production, but will also guarantee consumers complete transparency on the circuit followed by the products.
Five years ago, the Big Island also began to experiment with technology in the vanilla sector. Today, the social enterprise Sahanala and the exporter Biovanilla are the first to adopt it in the production of certified organic vanilla. You can not stop progress.

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