Blockchain Technology: Friend or Foe?

The food supply chain is complex and daunting when it comes to tracing products from farm to table. It can take days or weeks for food that is contaminated to be traced back to its source. However, blockchain technology increases transparency and could revolutionize the way food is traced and recalled. Blockchain is a shared ledger that allows companies to record all transactions with each other; all records are time stamped and they cannot be altered or deleted.
The USDA reported 133 billion pounds of food was wasted in 2010, that is $161 billion lost. Because of the difficulty with tracing food, large amounts of product is thrown out as a precautionary measure. Blockchain can quickly trace contaminated food to a specific region, farm or lot, resulting in less waste.
Using blockchain, chickens for example, can be traced across their lifespan; from egg through processing and shipment, to the store. Consumers can scan a QR Code, to see where their chicken came from, who the farmer was, and what route they took to get to the store. A timestamp and link back to the previous ‘block,’ or record, of information is included, making the data less vulnerable to being hacked or lost. This technology is already being adopted by Carrefour, a major grocery chain in France. Also announcing pilot programs this year are Walmart, Starbucks, Cargill, Tyson Foods, and Coca-Cola.
There are weaknesses to blockchain technology. It does not solve all problems overnight. As with email’s dramatic change to modern communication, it will take time for blockchain to become the universal database it is proclaimed to be. Also the data is entered in manually, so there is still the possibility for human error. A reliable traceability program is required to keep blockchain recall times low. Purchasing a blockchain system will not fix all your food safety woes.
This technology is dynamic and fast moving it will continue to develop over the next several years. Blockchain may be a useful tool to for traceability, however it is not the only option. It may be premature for smaller companies to invest in blockchain, but larger companies may want to being looking at the various options available at this time. Blockchain or not the most important part of traceability is documentation, protect your consumers, protect yourself.