IBM is definitely leading the blockchain wagon. At the beginning of this year, it launched an app that allows coffee drinkers to trace their coffee beans back to its origin using blockchain. This has added yet another blockchain-based application in IBM’s wallet.
Now, another industry player in the food industry has joined hands with IBM. CHO, one of the largest olive oil producer, plans to use IBM’s food supply chain to facilitate traceability for olive oil to the consumers.
CHO Leverages IBM’s Food Trust Solution
An announcement made earlier this week revealed that CHO has started using IBM’s blockchain for one of its products, Terra Delyssa extra virgin olive oil.
Using blockchain technology, the entire journey from production to distribution of olive oil will be recorded on a shared ledger. As of now, there are 8 checkpoints, wherein the data gets tracked and registered on IBM’s blockchain. This includes where the olives were grown, floured, crushed, distributed, etc.
In recent times, food quality assurance and safety has become a questionable concern. A blockchain platform can be a medium through which customers, can get the ‘knowledge’ of where their food is coming from. By a simple process of scanning the QR code of each label of CHO, its consumers receive all the additional details. This includes photos of the farm where the olives are grown. This, in turn, imparts trust to the consumers and transparency among the multiple stakeholders of the industry.
The Food Supply Chain Network
IBM’s food trust facilitates a blockchain network such that it connects a farmer and end consumer directly. A study conducted by IBM has revealed that consumers are willing to pay 73% more for food quality assurance and transparency in the network.
IBM’s food trust consists of a number of large industry players to enable a secure and sustainable food network. This includes Raw Seafoods, that will leverage the blockchain network to trace fresh seafood. The list, which now includes more than 200 companies, also includes Albertsons Companies, the second-largest supermarket company.
The platform provides a way for multiple stakeholders to efficiently interact on a shared ledger, in real-time. Moreover, it allows all the participants, including, retailers, consumers, food regulators, manufacturers, and even farmers, to have a common shared ground, thus increasing the accountability in the system.
Ensuring Traceability For Olive Oil
In recent years, the industry for olive oil has misguided customers by adding labels of ‘extra virgin’ oil. However, this has resulted in a mutual distrust for olive oil companies in the eyes of the customer.
CHO has achieved credibility with years of serving people in the olive oil business. To continue adding the trust as well as add transparency to the entire process, it has leveraged the blockchain solution. The process is starting already. Terra Delyssa’s Olive Oil bottles are reaching customers in countries including the U.S. and Canada in March this year.