A large portion of the global economy depends on the agriculture industry, and yet it is an industry that is woefully under-digitalized. Blockchain – and a myriad of other tech, including AI – could optimise and streamline agricultural processes.
However, this poses the question: how, exactly, does blockchain work for the agriculture industry?
Traceability, accountability and transparency
The uses of blockchain in agriculture are vast. Disruptor Daily provide a simple summary:
Blockchain’s fundamental quality is that it provides a decentralised and accessible method of recording data. This is perfect for the agriculture industry because farmers deal with substantial problems related to farm inventory tracking, data optimization and fair pricing (as seen above).
Blockchain also provides value not only for farmers but also for their customers. It can provide insight into how they conduct business: whether it be ethical or sustainable. The true value of blockchain comes from the data insight that it can give to both the customer and the producer.
The demand for blockchain in agriculture
Are traditional data management systems not enough? Where, exactly, do they lack in the ability to trace agricultural data?
Many farmers do not have a digitalized management system, or implementation of modern technologies. While some of the larger farms have access to this, this is not viable for smaller ones. Yet blockchain does not have to be overly expensive, and it can provide the peace of mind and cost saving that makes it valuable. For example, it could result in a drastic reduction of food loss in farms through improved traceability and inventory. This would eventuate in long-term cost-saving despite the initial price of blockchain implementation.
A platform that solves the problem
This doesn’t mean that you have to work out how to implement blockchain alone. Our software STAMP Supply™, for example, is blockchain-enabled and easily integrates with your existing processes. All you – or your workers – have to do is input the data to provide a traceable data path.
This also helps in allowing farmers to make forecasts and analyses of the future.