Implementation of Blockchain in the Food Industry

No domain has been left unserved by blockchain technology, and the food business is no exception. Let's look at how Blockchain is used in the food business and how it helps to streamline the process.

Implementation of Blockchain in the Food Industry
Blockchain in the Food Industry

Implementation of Blockchain in the Food Industry

When we unify the Blockchain with the food industry, it results in a considerable number of benefits. These kinds of latest technologies advantage us in the field of data capturing. While transportation, the IOT is connected with the digital and physical world. It helps in seizing the data such as humidity and temperature during storage and transportation of products. Blockchain furnishes a safe and rigid platform in which anybody can handle or store this data in the supply chain.


 Here a question arises in our brain: what does Blockchain mean? How is it beneficial for the food industry? Don't worry if you are also tackling these kinds of questions. We will touch your every doubt here and resolve that. Firstly, let's discuss the Blockchain.



A lot of transportation companies were facing endless troubles as their data handling was centralized. But when we talk about Blockchain, it is way forward with that system because blockchain technology is based on an essential thing, 'distribution.' Rather than having only one handler or owner, many people handle the recorded data. Blockchain belongs to the DLT (distributed ledger technology).


 Let's understand it more with the help of an example. In the blockchain system, brands or governments will not follow the centralized system. Rather than this, a distribution approach will be applied. In this approach, all the suppliers, customers, and actors will have copies of the records. The government or brand will distribute the model if allowed only. Therefore, the blockchain system is open and easily accessible to everyone.


How are food industries using Blockchain for their benefits?

Source: Medium

Blockchain is advantageous for the food industry because it easily controls this food system in a chain, saying a group of connected chains. Several performers are there in this food supplying chain; these are

  • Supplier, who is mainly providing the food.
  • An aggregator collects the food contents.
  • Retailer, who is giving the food.

It all says about the food chain here.

As the name suggests, Blockchain assists every performer of this chain organize the actions and following transactions. Therefore, the benefits of Blockchain in the food supply chain are endless in some ways.


Significant attributes of Blockchain in the food industry


  • Stops price harassment

Due to the Blockchain system in food companies, there are fewer intermediaries and fewer transaction fees in the food industry. As a result, the middlemen will not get a slight chance of accumulating desired money from manufacturers and farmers. Therefore, the producers will be able to produce and gather more. Additionally, they will get significant economic advantages. Another most important thing is that the products will be of good quality and reasonable prices for the consumer.


  • Decentralization

Unlike centralization, the official performers of the food supply chain can have the authority to upload and check details. Before this, there was a requirement for the approval of the central authority. But today, Blockchain is abolishing the central administration and allows every user to check information for direct contact.


  • Food management

As per WHO's reports, one in every ten people is getting ill by consuming contaminated food worldly. All this is resulting in countless deaths and persistent diseases. Luckily, with the help of Blockchain, it is possible to exterminate fake or copied products from the food supply chain, and Blockchain increases food safety.

It can identify sickness outbreaks as it thoroughly analyses the leading cause behind these outbreaks. Afterward, there is a visible reduction in the victims of counterfeit food items and diseases caused by it. Besides, the fixed features eliminate the irresponsible nature of stakeholders and stop them from changing history.


  • Security

 In the blockchain system, a single point collapse can't lead to complete system failure. It lessens the chances of hacking and stops the breakdown of the whole network. If a mediator is cheating at any place, this fantastic system can identify that as well.


  • Unchangeability

It is impossible to change or modify the historical data without the knowledge of other users. Blockchain always maintains the authenticity and originality of data. Accordingly, human intervention on records is very far away in the blockchain system.


  • Brilliant contract

Blockchain secures and makes fast transactions. It increases the trust because no single performer can change on contract as there is an agreement of all the members.


  • Heighten supply chain management

Blockchain provides quality, security, and transparency in the food supply chain. All the members of this network have their shared information. Blockchain can demonstrate the product's status, real-time location, and root of the raw material and food product to monitor the quality standard and inventory. Plus, it can collect the temperature, humidity, and other essential factors of maintaining food quality. This control and management of environmental factors are necessary for biodegradable products.

Furthermore, securing the data information decreases the risk of hacking and data stealing. So, Blockchain plays a significant role in making companies more informed and predictable by giving them 360 views over the whole system.


  • Sustainability

 As the traceability feature of Blockchain is encouraging every company, sustainability is also increasing. The old food chain system was dependent on papers and became full of trouble for the stakeholders. Due to the significant intervention of humans, it was full of errors and very time-taking. But now, the Blockchain is abolishing all these troubles and mistakes.

Moreover, the food supply was becoming very complex due to the increment in the policies. Blockchain is overcoming all these complexities very well. Hence, the brands and companies are keeping away all the duplicates and frauds.


To sum up

Blockchain in the food supply chain is a promising technology with endless advantages. If used ideally, there will be significantly less food fraud, more transparency, and elevated customer trust.

In the coming years, many companies and brands will use this blockchain technology to become economically viable. All the food processors, supply chain performers, IT specialists, and government authorities are coming together to create a complete product and secure plan to implement. All these efforts of food processing world members will take this outstanding technology into the mainstream.

You can also know about : Blockchain- The Future of Trade Finance