Brexit issues on Supply Chain tacked using blockchain
Jillian Godsil Nov 26, 2019 04:20
Since the 1980s, Global Trade has multiplied by a factor of 3.5 but the Global Supply Chain has not kept pace. In fact, the World Trade Bank estimates that inefficiencies in Global Supply Chain are costing as much as USD 2 trillion of the overall USD 16 trillion market.
Morpheus.Network and Hanhaa are targeting European agri food vertical and provide a technical solution for issues around BREXIT.
Since the 1980s, Global Trade has multiplied by a factor of 3.5 but the Global Supply Chain has not kept pace. In fact, the World Trade Bank estimates that inefficiencies in Global Supply Chain are costing as much as USD 2 trillion of the overall USD 16 trillion market.
In addition, the inability of the British Government to secure a BREXIT deal so far is going to exacerbate the trade not only between Britain and the rest of the EU, but between Britain and the rest of the world. To put that into perspective, Rotterdam is the tenth busiest port in the world with 2.3 million TEU (Twenty-foot Equivalent Unit) which is the same capacity as the combined UK ports.
“Without an agreed customs deal on the table, Britain is going to have to renegotiate its deals with its European neighbours but it is also looking to renegotiate deals with all other major markets. Not only are there huge inefficiencies already in the system, estimated at an eighth of the global costs, BREXIT places 10% of the world’s trade into jeopardy as new rules or some shape will need to be agreed,” says Karl McDermott, global head of business development at Morpheus.Network. “The global ship is taking on water and needs a solution, fast.”
This is where the partnership of Morpeus.Network and HanHaa comes in play. Morpheus.Network is a SaaS middleware platform for legacy and emerging technologies, and Hanhaa, an IoT innovator with a successful parcel tracking product, have partnered to provide a trusted digital footprint for global supply chain managers. Combining blockchain and IoT provides supply chain managers with automated workflows that increase visibility and accountability. Digitizing Global Supply Chains improves operational and financial metrics across the board.
Together the two companies are providing a trusted digital footprint for supply chain managers.
“Our experience in the parcel tracking world using IoT devices uniquely places us at the heart of track and tracking by adding real time product monitoring” says Azhar Hussain, CEO, Hanhaa. “By partnering with Morpheus.Network and its blockchain platform we can provide a solution that is not only transparent but which is trusted and actionable as part of a workflow – which is fundamental when it comes to agri food, cold chain pharma, perishable and high value goods.”
Right now international customs is utterly backlogged, with few tools to manage emerging markets. Blackmarket, contraband goods and counterfeit goods are extremely difficult to track on a pure analogue or human basis. The introduction of IoT devices can help streamline bottlenecks, allowing custom posts to have advanced knowledge of incoming goods using geopositioning devices and the presences of a digital passport, connecting all third parties, can help streamline bottlenecks.
“We already have deep experience from working with the US Department of Homeland Security and the US Custom Border Protection on both the Canadian and Mexican Border where we are working on a number of Proof of Concept (POC) solutions based on blockchain.” says McDermott. “Although we can’t provide a solution to the political issues facing Britain, once BREXIT is defined we can implement solutions very quickly.”
Although we can’t provide a solution to the political issues facing Britain, once BREXIT is defined we can implement solutions very quickly” .” says McDermott. “We already have deep experience from working with the US Department of Homeland Security and the US Custom Border Protection on both the Canadian and Mexican Border where we are working on a number of Proof of Concept (POC) solutions based on blockchain. Morpheus.Network also already manages the supply of Argentinian beef into the US addressing both the needs of customs and also the issues of food protection and compliance.
There are three main challenges facing the Global Supply Chain which Morpheus.Network and Hanhaa are solving digitally.
The first is to empower all stakeholders using digital supply chain platforms. This allows for digital documentation and communications – replacing the current largely paper based or email systems. Digital documents are less prone to loss, errors and destruction. A digital platform also ensures accurate compliance with custom, regulatory and governmental restrictions.
Secondly, the combined solution offers true transparency using IoT devices. Working with Hanhaa we can automate the collection of all the data points such as temperature, humidity and shock as well as tampering, theft, irregular movement and make them actionable as a workflow using our middleware platform.
“Our experience in the parcel tracking world using IoT devices uniquely places us at the heart of track and tracking by adding real time product monitoring” says Azhar Hussain, CEO, Hanhaa. “By partnering with Morpheus.Network and its blockchain platform we can provide a solution that is not only transparent but which is trusted and actionable as part of a workflow – which is fundamental when it comes to agri food, cold chain pharma, perishable and high value goods.”
Finally, all the data collected is stored on the blockchain which cannot be altered.
“As simple to use an Amazon tracking number, we make a trusted digital footprint available for global supply chain managers “This immutable record of truth is the key differentiator of the Morpheus.Network and Hanhaa partnership.” added McDermott.
Morpheus.Network offers a radical improvement upon the actual experience of supply chain managers for optimizing global supply processes with annual savings of 10%. Our SaaS middleware platform creates a digital footprint using emerging technologies such as blockchain, IoT and AI for optimizing end to end supply chains from origin, tracking and tracing, custody and compliance through to payments.
“While being a London based company, Hanhaa holds strong links to the continent through our logistics partners in Spain, Germany, Italy and beyond. Recently we detailed the change in legislation across EU E-commerce and parcel platforms, with the aim of creating a single online market and shipping industry enabling a fairer environment for all. This is one of many areas thrown into doubt following Britain’s exit from the EU. Will Britain be included in the single parcel market, or organizations such as European Food Safety Authority (EFSA) for agri food health and nutrition” - Azhar Hussian, CEO, Hanhaa
The video below demonstrates blockchain and IoT working together to successfully monitor and organise an agri food supplier from the Netherlands sending fruit and vegetable products to a UK supermarket in London:
Image source: Shutterstock