European Retail Giant Auchan Implements Blockchain Based Food Traceability on International Scale
Auchan is an international retail group headquartered in France. It is present in 17 countries worldwide with 58.5 billion USD yearly consolidated revenue, and 351 000 employees.
Auchan is the 13th largest food retail in the world.
Recently, Auchan announced a strategic partnership with Alibaba to combine their online and offline expertise to explore new retail opportunities in China’s food retail sector. Now it shows the way for the food industry in a new territory: blockchain based food traceability.
The retail chain’s Vietnam branch started to use TE-FOOD back in 2016. The group has been monitoring the project since then, before deciding to implement it in five countries: France, Italy, Spain, Portugal, and Senegal.
As the first step, food quality and logistics related information is available in France for vegetable products (organic carrot, potato), soon rolled out to other products (chicken) followed by more countries (tomato, chicken, carrot in Italy).
Consumers of the retail chain can scan QR codes on the products and view the food history with any mobile app which is capable to read QR codes. The authenticity of all data will be verified on the FoodChain (TE-FOOD’s blockchain for global traceability information).
According to studies, 66% of consumers don’t believe the information displayed on food labels. Articles about food frauds are featured often in the media, resulting in a massive consumer distrust, which puts a growing pressure on the shoulders of food companies and food safety authorities. Farm-to-table food traceability on blockchain can be an efficient method to gain back the trust of consumers, but it is not the sole advantage of it.
During food related outbreaks, it often takes weeks to find the source of contamination in the supply chain, which can contain hundreds of companies residing in several countries. With TE-FOOD, the complete history of a food product can be instantly seen on blockchain, so recalls can be managed quickly and efficiently. Authorities can respond quicker to mitigate the effects of outbreaks, while the food companies can make targeted product recalls.
Using blockchain technology in the supply chain is quite new, recently the U.S. based Walmart, the French Carrefour, and the Dutch Albert Heijn retail chains started experimenting with it. Auchan’s international scale implementation is quite progressive in this space.
TE-FOOD — the solution implemented by Auchan — has the largest farm-to-table food traceability program in Vietnam, where more than 6000 companies are using it, including leading international food conglomerates like AEON, CP Group, Lotte Mart, Big C, Japfa, or CJ.
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TE-FOOD is the world’s largest publicly accessible, farm-to-table fresh food traceability solution. Started in 2016, it serves 6000+ business customers, and handles 400,000 business transactions each day.