In the food industry, blockchain technology has the potential to reduce inefficiencies, providing more transparency in food safety and strengthening brand value. In the supply chain industry, back-and-forth communication has historically slowed down processes. Now, we have the technology to digitize the supply chain with blockchain at our fingertips.
Food may be wasted at any point during its journey, usually earlier in developing countries, and later in more developed nations. The UN Food and Agriculture Organization estimates that around 40 percent of food production is lost before it even reaches the market.
There are a host of reasons for the waste, but it usually comes down to slack and stringent food quality regulations in developed countries — a lot of this waste occurs because food is improperly handled, shipped, or stored somewhere in the supply chain.
Next steps for blockchain in the food industry
Blockchain technology can help the food industry share assets and information easily, cheaply, and safely. Because the technology makes a supply chain more transparent at an all-new level, it also empowers the entire chain to be more responsive to any food waste. Massive organizations such as Nestlé and Unilever are considering blockchain technologies for that reason.
One reason why we have environmental crises, like the overexploitation of natural resources and excessive food waste, is tied to the lack of accountability and multiple intermediaries in the food sector. Now, eliminating spoilage won’t solve world hunger, but is a step in the right direction of improving the food cycle and reducing waste by making food more affordable and accessible on a global scale.
Similarly to how blockchain technology removed the middle-man in banking and brought transparency and efficiency to the supply chain, it can be applied to the food industry. Increasing trust in traceability and sharing awareness and education around the technology will be the cornerstones of a new model that brings together vendors, suppliers, restaurants, retailers and buyers in one decentralized global network.
AI and Smart Algorithms in Action
Perishable and soon to expire food items must be sold with no delay. Spoiled and expired food remains of no use to anyone. The AI and smart algorithms used in Delicia – a global Blockchain powered food network streamlines search, demand and supply, preference and other patterns to optimize search and quickly find a supplier who can address the exact needs of the buyer.
With a global food market in the region of USD 1.7 trillion and expected to rise to USD 3 trillion in 2020, the Delicia Blockchain food network will answer a pressing need for giving restaurateurs and retailers a direct relationship with consumers.
Delicia will help in locating affordable quality food for consumers worldwide that is specific to their own geo-location and preferences. The AI-powered system provides ongoing trust and reputation accrual for sellers and buyers. Efforts are underway to tokenize the Delicia ecosystem with the Ethereum based blockchain technology with a multi-purpose utility token, DFT with the end result being elimination of the Global Food waste crisis. To that end, the company has launched a token sale to facilitate food utilization on the company’s soon to launch blockchain platform.
The team behind the project is also engaged in a conversation with the United Nations and pursuing a collaborative agreement under their Sustainable Developments Goal. Such a partnership could provide significant opportunities for involvement and investment in addition to benefiting communities around the world.
With the IoT and Delicia’s model, real-time, end-to-end supply chain visibility is achievable, no matter where the food is starting and ending its journey. All of the efforts to reduce food waste and make food more affordable and accessible can be coordinated, eliminating waste at every point in the chain — a win for everyone.