According to the report, the CBH Group – Australia’s largest exporter of grain, is about to test blockchain technology in the tracking of oat shipments.
As reported by the newspaper, The Australian Financial Review, the group – West Australian grain growers cooperative – is teaming up with Sydney-based startup AgriDigital for the initial project, with the aim of using a blockchain-based system for tracking and tracing the origin of grains and also to document the quality of oats.
The new source pointed out that this supply chain data can be shown to potential customers with the hope of boosting confidence in grain retailers and, ultimately, to improve sales and profits for Australian grain growers who are planning to broaden to much more competitive industries in Asia.
The CBH Group Chief Executive Officer Andy Crane told the publication:
“Anything allowing proof of provenance can create value to Australia”.
The first step is planned to start by next week at the South Australian-based oat product manufacturer Blue Lake Milling – now CBH’s oats processor. If the first phase becomes successful, the second step, according to the group would be to broaden the pilot that includes its $4 billion Western Australia granary.
CBH is one of the newest group that would test the potential of blockchain in tracking the position and movement of goods, and various other firms around the world have chosen to launch the same pilots in the last few months.
New Zealand dairy giant Fonterra has teamed up with Chinese e-commerce retailer Alibaba, manufacturer and distributor of vitamins, minerals, and nutritional supplements Blackmores, and also postal services in Australia and New Zealand, in order to create a consortium focused on minimizing food supply chain scams.
The multinational retailing corporation Walmart also has pointed out initial success coming from its past venture with IBM and Tsinghua University of Beijing last year to test blockchain-based supply chain applications, working on monitoring pork shipments in China’s market.