- USD 31 billion saved from fraud prevention and compliance costs by 2024
- IBM, Watson, SAP and Oracle solutions among those praised for pioneering work
Juniper Research recently published a report suggesting that blockchain can help save a whopping USD 31 billion over the next four years by preventing possible food fraud. The report mentions that notable savings can be discerned two years from now and the decrease in fraud will result in a direct reduction of compliance costs by 2024.
As the demand for blockchain solutions increases, the food industry is not far behind in exploring the potential of the technology to enable a transparent food network in terms of traceability and accountability. Blockchain, along with IoT sensors and trackers, helps in maintaining end-to-end visibility with the help of immutable records across the entire supply chain. IoT sensors can be used to monitor the temperature and humidity of the whereabouts of the products. This data is then immutably recorded on the decentralized ledger and is available to all the parties involved in the supply chain.
The research indicated how emerging technologies can add considerable value to the supply chain from farm to fork, with the help of automated smart contracts. This will essentially help in reducing the risk involved by increasing transparency, all at a cheaper rate.
The research also commended the leading conglomerates of the industry implementing blockchain and IoT such as IBM’s Food Trust and Watson platforms, SAP’s Track and Trace and Leonardo platforms, as well and Oracle’s Track and Trace, and other IoT solutions.
Research author, Dr Morgane Kimmich, said:
“Today, transparency and efficiency in the food supply chain are limited by opaque data forcing each company to rely on intermediaries and paper-based records. Blockchain and the IoT provide an immutable, shared platform for all actors in the supply chain to track and trace assets; saving time, resources and reducing fraud.”
BitcoinNews.com has already reported extensively on the use cases of the technology in the food industry. Blockchain is being used to transform supply chains in all industries like never before. It is no secret that technologies like DLT have proven to be a win-win proposition for producers as well as consumers.
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