Blockchain’s Next Stop in India: Supply Chains of Kerala
India is slowly proceeding towards bringing the concept of blockchain technology into its market space. One of the first attempts has been made by the State Government of Kerala. K-DISC is the planning board of Kerala, also called Kerala Development Strategic Council. It plans to integrate blockchain technology into its food supply chain that will enhance the operations of the industry by increasing the transparency in the inventory process.
Research indicates that in India, about 7 percent of the total quantity of food cultivation becomes useless due to disruptions in the various stages of production. They can be technical faults, shortage of storage space, and lack of proper connections between the inventories and the production units. Wastage of food is very alarming because a considerable proportion of the Indian population is still below the poverty line that has to struggle for even two meals per day.
The initiative taken by the state government aims to bring an evolution into the supply chain process by leveraging the offerings of the blockchain. As per the initial reports, the ability of blockchain to collect widespread records starting from the in-house stores to retail channels will be utilized to develop clear store network. This, in turn, will enable all the important stakeholders in the business to know more and they will be in better position to conduct more profitable deals. It will also be helpful in identifying the weak links in the production chains that lead to food wastage. Using the distributed ledger technology to construct databases of dairy, fish products and vegetable industry will be the first step. Currently, this process is mostly paper-based.
The high transparency of the blockchain process is attributed to the fact that records every kind of transaction on a block. The same is distributed over many computers which makes it the most efficient and scalable.
This innovative development will benefit the agriculturists as well as they will be able to claim compensations for failed crops through better ways. Earlier in February, the Indian Prime Minister had announced that bringing the Internet into all types of work fields can enable lifestyle development. He also advocated the use of Bitcoin technology as an area that must be explored to devise new ways of conducting business.
On the global level, super business leaders like Walmart and IBM have also collaborated to deploy the blockchain advantages in the Supply chain networks. The advantages of this new technology are being predicted to revolutionize the market. Some experts have even remarked that the blockchain will become the next big thing in the marketplace worldwide in the same way as the Internet has taken over the way of life everywhere.