Your Coffee To Be Placed On Blockchain

In the global food industry, use of blockchain has been most convincing. Here it solves the two cardinal problems within supply chains: the lack of visibility and transparency among its participants, who are geographically divided.

Perhaps no other commodity then coffee fits better for blockchain, as it is usually traded across continents.

Blockchain may help the gross unfairness in pricing of coffee. Usually farmers earn 7% only of the retail price.

Also, coffee cultivation is still caught up in the clutches of forced and child labor both in Africa and in South America.

Several major blockchain pilots exist within coffee supply chains.

This March, the Indian government approved the ‘Coffee Blockchain Initiative’ that is expected to help integrate coffee farmers with the markets in a more transparent manner and to delete several layers of redundant middlemen.

In Holland, a blockchain startup called Moyee Coffee employs blockchain to guarantee a ‘clean’ coffee value chain, with the intent to create more value for Ethiopian coffee farmers by increasing their share of dividends.

Starbucks was one of the first to adopt blockchain within the coffee ecosystem, launching its two-year pilot project across its sourcing farms in Costa Rica, Colombia and Rwanda. This May, Starbucks partnered with Microsoft’s Azure Blockchain Service to track its coffee shipments and bring real-time traceability to its supply chains.

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