Blockchain Technology and the Potential Applicability in the Feed Industry

Information on the current applications of blockchain in food systems and the potential applicability, uses, and limitations of blockchain for feed ingredients common to the swine industry was gathered from a multitude of sources. The information on applications representative of supply chain logistics for imported feed ingredients was evaluated and limitations of blockchain in tracing lots of packaged ingredients vs. ingredients in bulk transportation was assessed. Overall, blockchain application is a viable technology to ensure traceability of feed ingredients. Blockchain provides key benefits including transaction security, auditability, and transparency. However, these benefits are accompanied by costs including, most importantly, the need for all-in participation and a value-driven incentive to participate that is shared across the supply chain. In addition, due to the bulk commodity nature of many feed ingredients common to the swine industry, traceability to individual manufacturer or producer through any technology becomes limited to the largest storage and/or transportation unit in the supply chain. Ingredients that move through the supply chain as discreetly packaged products, whether in kilogram packages or metric ton super sacks, have an easier entry into and more optimal traceability within blockchain technology. These concepts were modeled into a scenario for potential soybean shipments including where suppliers may verify the implementation of key preventive controls to decrease the risk of disease transmission via feed distribution.Swine Health Information Cente

Blockchain Technology and the Potential Applicability in the Feed Industry - Condensed

Blockchain applications offer the feed supply chain incredible benefits and efficiencies in the goal to improve feed safety and animal health. The power of utilizing blockchain technology in feed supply chain transactions is in allowing parties to trade in the absence of a mediator or trusting relationship. This is the cornerstone of all blockchain applications - secure trading of ‘things’, both physical and virtual, without middlemen and historical relationships. However, implementation of the technology will experience hurdles and will require consensus among the industry for standards and methods of data collection and sharing. In addition, the cost of entry to access the data and who will pay for it will be a driving factor in the success of blockchain technology adoption. And finally, it should be recognized that blockchain applications depend absolutely on the reputability and accuracy of the data included in the blocks that are recorded in the chain.Swine Health Information Cente