5 Significant Use Cases of Blockchain to

Enhance Food Safety & Quality

The food supply chain is an enormous industry, involving various

participants, say, farmers, producers/ manufacturers, processors,

distributors, government agencies, retailers, and more. All of these

participants have their own responsibility for protecting the data they own.

This information is highly sensitive and crucial, which, when forged, opens

up the doors for food frauds.

Blockchain is already playing its part in the finance and healthcare

industries. And for the food industry, it provides a transparent yet secure

environment where all the network participants in the blockchain have

access to all the data. These data are immutable, meaning, once entered

and verified, they cannot be tampered with or deleted.

Issues in the Food Chain Industry

The food sector is one big industry that needs utmost care. Yet, it ends up

being the one that's struggling with scandals and inefficiencies. Most of the

problems that the food industry faces rise from the lack of trust and, of

course, transparency within the supply chain.

It's deplorable to see our food system failing in all factors, including the

"assurance" demanded by loyal customers. "Food safety and health are

linked with each other, and due to that food fraud creates a vicious cycle of

disease and malnutrition."

A World Health Organization report states that "almost one in ten people

fall ill after eating contaminated food.” This is not restricted to a particular

region or country, it's global, and it's dangerous.

Moreover, food-related diseases are the primary cause of infant deaths, and

they also don't spare young children, the older, and the sick. Despite various

security measures being implemented to safeguard the food industry, food

fraud is still a global concern that continues to rise among consumers.

What Blockchain has for the Food Supply Chain?

It is crystal clear that the current food supply chain systems are twisted and

crumbled since the industry itself is being governed by manual processes.

Unlike machines, human beings are not skillful enough to detect adulterated

or contaminated foods.

When we employ blockchain technology to regulate the global food supply

chain, it makes the whole process transparent and traceable, and of course,

"easy to handle."

Blockchain helps build a better supply chain ecosystem that connects

farmers, retailers, wholesalers, agricultural businesses, warehouses, and

factories. With this "dynamic ecosystem," consumers/customers can be

assured one-hundred percent end-to-end traceability.

The entities that handle the food products are represented as nodes, and

these nodes together constitute a blockchain network. This makes it easier

& quicker to track and trace the source of food items right from the farm to

the plate.

Here, each recording and verification of a particular operation in the supply

chain are replaced with AI-powered or IoT devices. You all should be aware

of IoT devices. They are the bridge between the physical and the digital

realm.

Thanks to the invention of geographical, biological, and chemical sensors,

they can be employed to gather information and transmit real-time data of

raw materials & other products when transferred from one place to

another.

This self-governed system reduces human errors to a greater extent and

increases the efficiency of the food supply chain. Since the information in a

blockchain network is stored and transacted through consensus protocol,

the chances of information tampering or malicious activities are null.

Undoubtedly, blockchain technology bestows traceability and accountability

to the food chain, therefore, putting a permanent end to food safety

disasters.

"Global food retailers, such as Nestle and Unilever, are trying out the

concept of ledger technology to build a completely transparent food supply

chain.

Walmart has successfully developed a Food Trust solution with IBM. It

connects farmers, manufacturers, factories, distributors, and wholesalers/

retailers through a permissioned data network."

Use Cases of Blockchain in the Food Industry

Now let's see the potential use cases that blockchain has for the foodservice

industry.

Use Case 1: A Transparent & Traceable Ecosystem

Fraud & counterfeit are not new terms, especially to the food industry. Each

passing day, at any given time, there is a "food scandal" happening. But it

goes unnoticed, much like other problems. Why is that? Because until now,

we don't have a proper system in place to regulate the food industry.

These contaminated and counterfeit-ed goods are extremely dreadful

things, and they are the primary cause of food & drink-related diseases

around the world. We all are aware of "Operation Weak Flesh" - an

investigation that involved meat-based companies since they were found to

be bribing officials in the health department, which allowed them to export

rotten meat across the globe.

We have one dynamic, fundamental solution that would make everything

transparent, making it easy for us to detect fraud when employed.

Blockchain is truly capable of providing a trustworthy and more

straightforward ecosystem that allows us to track the products' movements

along the food chain. It further adds up the benefit of easier identification of

the source of counterfeit.

This ecosystem allows distributors, retailers, restaurants, and bars to help

their customers see the issues. They can also add a statement that the "fake

product" is removed from the inventory.

"How does this help? It drastically reduces the rate of defective food

products, affected customers, and unnecessary food trash."

Use Case 2: Food Waste Management

Despite thousands and thousands of awareness programs, campaigns, and

webinars against food waste, people are still wasting food knowingly or

unknowingly. It is estimated that Americans alone trash nearly 150,000 tons

of food per day. On the other hand, hundreds of people die due to

starvation.

Restaurants and fast food shops throw a significant amount of food each

day; that's pretty enough to eliminate hunger. But you know what, we

consumers are the ones who are trashing out more foods than an average

food store.

Food-based businesses and restaurants know that over-ordering, food

spoilage, and contamination are their biggest problems, and they also hurt

the income line.

Blockchain makes it easier for businesses to monitor the products' entire

flow, from manufacturing to delivery. This blockchain holds a ledger that

stores customer records, buying patterns, frequent buys, and product

interests.

Besides, the use of blockchain provides people in the food industry with

more detailed data that will assist them in making crystal-clear decisions to

minimize food waste.

Use Case 3: Blockchain-backed Restaurant Management

"A study states that automation will take over human work within five to ten

years, in more ways than we actually think."

The rise in the number of restaurants and fast-food chains led to

comparatively low salaries in the global restaurant industry. This further led

to a decrease in the count of expert cooks in the kitchen. And what

happened next? A lot of amateurs started working as cooks.

Semi or low skills end up in low food quality. Even today, many people,

especially Americans, believe that food poisoning in restaurants is more

common than at homes.

The sudden set up of automated restaurants like Spyce Kitchen that uses

Artificial Intelligence, clearly states that the jobs of chefs, waiters,

bartenders, bussers, and other restaurant employees are in the brink of

extinction. In an automated restaurant, the process of meal preparation is

wholly automated by machines that do all the cooking & cleaning parts

themselves, leaving no space for human intervention or errors.

There is no denying the fact that automation is the key to alter the entire

food sector. These are two pretty good examples explaining how blockchain

plays a significant role in enhancing the automated processes in the food

industry chain.

Blockchain-powered smart contracts could help in recording the

transactions between consumers and restaurants. A network of sensors

could provide information on customer purchase patterns & food quality

standards.

Next, this actual and standardized information could also be securely stored

on the blockchain for analysis by decision-makers within a company

independent of their location.

Use Case 4: Integrity in the Food Supply Chain

Years and decades ago, there were comparatively fewer scandals and fraud,

and people had a general trust in food companies. Let's say a strong belief

among farmers, distributors, retailers, and consumers. Everyone believed

that the goods being sold were of a certain quality, and they met safety

standards.

But today, there're always open doors for scandals, counterfeit, and frauds,

which leads us to ask questions about the products' what & whereabouts.

Worries apart! Blockchain technology provides dynamic possibilities for

supply chain tracking. A participant on a food chain enters the information

related to a food or drink product (including the growth steps, harvest, and

shipment).

On the other hand, consumers can have 100% trust since the product comes

with all the details they need to know. They will have, like a forever,

permanent record of how a food product was grown, when & from where it

was shipped, when it arrived, who distributed it, and how long it has before

expiry.

"This method, for sure, will differentiate the retailers and restaurants with

best practices from those selling fake, counterfeit goods to their customers."

Use Case 5: A Unified & Universal Market Access

Blockchain use cases for the food industry are not limited to food safety. The

technology is also a benefit for consumers.

How? By adding value to the current marketplace by setting up a distributed

ledger, blockchain builds a unified and universal platform where the

network and market pricing are perfectly balanced.

The current "buying & selling" price structure purely depends on the

decisions by the authorities involved, rather than the details provided by the

entire value chain. Giving access to data would create a complete picture of

the "supply and demand."

The blockchain application for businesses has the real potential to transform

the traditional commodity trading system. Blockchain helps verify & validate

transactions and securely share them with every participant in the food

supply chain, creating a dynamic marketplace with significant transparency.

Conclusion

We have seen for ourselves what blockchain technology promises in the

food industry. Yet, there are many concerns, questions, and challenges that

make the technology difficult to understand and implement blockchain in

the food supply chain.