New Study Shows Blockchain Can Reduce Food Fraud In 5 Years

A new study shows that the food industry can save up to $31 billion in global fraud savings by simply tracking the food on its way from the farms to the consumers with the help of blockchain technology as we are reading further in the blockchain news.

As per the new study by Juniper Research reveals that the blockchain technology combined with the Internet of Thing sensors and trackers and will reduce the retailers’ costs by streamlining supply chain while making the regulatory compliance simplified offering efficient food recalls and tackling fraud.

The study also shows that the increased adoption of blockchain technology and the internet of things in the supply chain industry will add much more significant value to the food business supply chain. By using these innovative technologies, the food industry could save up to $31 billion in food fraud savings in up to five years. The research author Dr. Morgane Kimmich 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.”

Juniper’s research further shows that the substantial savings in food fraud can be realized even in 2021 while the compliance costs will reportedly be reduced by 30 percent by 2024. The blockchain technology and IoT will bring their most valuable assets and continue to be adopted by the food industry. over the past few months, there were are a lot of players and company giants including Carrefour and Nestle which reported on their blockchain-powered initiative into the field.

The most used blockchain tracking solution within the field of food is IBM’s Food Trust which is based on the HyperLedger Fabric blockchain protocol and the platform as launched in 2018 where millions of individual food products were tracked by retailers and suppliers using the Food rust Blockchain. It was also reported earlier that the salmon farming company Ceramaq and smoked salmon producer Labeyrie used IBM’s cloud blockchain technology and traced their product supply chains.