IBM’s blockchain helps Norwegian seafood producers provide traceable products
Blockchain technology is resolving the problem of enhancing trust between Norwegian seafood suppliers and customers. Consumers are also demanding more documentation about the food they consume, and suppliers want to be able to guarantee where food comes from to assure its quality and provenance. Blockchain technology can offer the guarantee that every item over the supply chain can be traced right back to its source.
IBM has declared that it is associating with the Norwegian Seafood Association, Sjømatbedriftene, to offer blockchain technology to share supply chain data during Norway’s seafood industry. Norwegian seafood is known for its quality, and Norway exported more than 2.7 million tons of seafood during 2019, the equivalent of 25,000 meals per minute. Being capable of using blockchain technology to offer fully traceable products is key to assuring their provenance from sea to table.
Sea farmed salmon company, Kvarøy Arctic, is one of the first companies to deliver products to leading retailers in the United States and Canada utilizing the tracking and provenance technology. Another is fish feed company, BioMar, which indicates that Nordic seafood companies can obtain insight into the origin and quality of seafood as well as the quality of feed the fish consume.
Being capable of monitoring where the fish comes from, it’s growing, and storage conditions will allow the supply chain to decrease food waste and enhance sustainability — relevant to seafood customers, and the food industry. Alf-Gøran Knutsen, CEO of Kvarøy Arctic, said in a statement, “Blockchain lets us share the fish’s journey from the ocean to the store. This is now more timely than ever, as consumers want more information about where the food they eat comes from.”
For commercial success, the private blockchain network records data about catch location and time, supply chain events such as shipping updates and customs clearance, and temperature, which can be shared with permissioned parties. The cloud-based IBM Blockchain Platform blockchain-based network will enable consumers to understand which fjord the fish came from when it was fished, the feed it has consumed and whether the facility utilizes sustainable methods.
Customs agencies will be able to access data about shipments’ volume and location to expedite customs clearance. By bestowing all this data over the supply chain, seafood producers will also be capable of charging a premium, rising pay for the people who catch your fish. According to a recent IBM study, 71% of customers indicate that traceability is relevant and that they are ready to pay a premium for brands that offer it.
The IBM Blockchain Transparent Supply technology allows organizations and consortia to build their own sustainable, transparent blockchain-based ecosystem for their supply chain operations. It is essential to trace where the fish came from, how it was grown, or how it was stored. Without transparency, the potential for fraud and food waste increases prominently.
With Blockchain’s immutable ledger and transparency, tracing products back to the source will become easy. And with a private enterprise blockchain, more businesses will shift to blockchain-based ledgers to assure traceability and accountability of every transaction on the ledger.