The financial industry has been revolutionized by blockchain technology. However further research into the technology has shown that it can do much more than just create cryptocurrency and validate trading. Therefore incorporating the blockchain technology into every aspect of human activity has become a trending phenomenon.
One of the industries where blockchain is finding significant encroachment is the food supply chain. Considering the size and present state of this industry, the fundamental attributes of blockchain technology will definitely offer significant solutions in the global ecosystem of food. Underlisted are some of the key areas that will be affected by the imminent blockchain revolution.
The World health organization (WHO) reports that about 420,000 people die every year as a result of food poisoning. The risks associated with the food we eat today is endless. The processes involved in the production and distribution of food is so complex that even food producers and retailers cannot completely assure customers that their product is safe.
The continuous increase in the world’s population has made the demand for food to skyrocket. Unfortunately, the demand has also led to the increase in food fraud. There are many unregulated food processing factories in the world. Even the regulated ones are going through shortcuts so as to increase profits. The systems that control the production and supply of food can no longer be trusted.
We have witnessed lots of incidents of food fraud. Popular incidents like the horsemeat scandal in the UK, the salmonella peanut outbreak and the meat scandal in Brazil reveal the level of decadence in the system. The public’s trust in the food supply chain is critically low. Consumers today know better that information printed on food labels are not necessarily true.
How Will Blockchain Improve Food Supply Chain?
Blockchain is a decentralized and distributed ledger that records transactions permanently. The incorporation of this technology in the food supply chain will create a system that can be trusted. In an industry where compliance with regulations cannot be easily assessed, the possibility that anyone can check the regulation status of a food producer signals a turning point.
Here are some ways by which blockchain will change the food supply chain:
With the help of blockchain, producers can monitor the progress of their products through the supply chain. This means that producers can verify that the products that get to the retailers are not tampered with.
Retailers can also confirm the source of the products they receive. Counterfeit products can be identified before consumers can access them. In addition, the introduction of blockchain to the food supply chain will create a transparent system where consumers are assured that the products that get to them are safe and complies with existing standards.
The Future of Blockchain in Food Supply Chain
Researchers in the blockchain tech have outlined that the tech can revolutionize the transfer of information in the food supply chain. There is a possibility that consumers can verify the information on food products by scanning its QR code with their smartphones.
The ability of the tech to record the process involved in the production of a product, its journey through the supply chain and guarantee that this information cannot be manipulated opens a door to tremendous possibilities.
Ifeanyi Egede is an experienced and versatile blockchain technology and cryptocurrency content writer and researcher with tons of published works both online and in the print media. He has helped several startup companies grow their businesses in the blockchain and cryptocurrency space. Ifeanyi has close to a decade of writing experience, and when he is not writing, he spends time with his lovely wife, Tega and adorable daughter, Chimamanda.