How Can Blockchain Be Used to Save $31 Billion in Costs in the Food Industry?

Blockchain, along with the internet of things (IoT) trackers and sensors, could reduce costs for retailers. New data from Juniper research showed that blockchain will be essential to $31 billion in “food fraud savings” by 2024 by tracking food across the supply chain. 

In the “Blockchain: Key Vertical Opportunities, Trends & Challenges 2019-2030" report, the research showed that through the streamlining of supply chains, efficient food recall processes and regulatory compliance would help drive down the costs. 

Juniper Research said in a statement that the internet of things and blockchain would add “significant value” to those involved in the supply chain, including farmers, retailers, and consumers. 

Morgane Kimmich, the research author said: “Today, transparency and efficiency in the food supply chain are limited by opaque data forcing each company to rely on intermediaries and paper-based records.” 

“Blockchain and the IoT provide an immutable, shared platform for all actors in the supply chain to track and trace assets; saving time, resources and reducing fraud,” explained Kimmich.  

The leading players in the food provenance space using blockchain and IoT solutions include IBM’s Food Trust, SAP’s Track and Trace, Oracle’s Track and Trace and IoT solutions.  

Consumers today are more aware of where their food comes from and where it was sourced or produced. Trust has been a big issue when it comes to supply chains.  

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