The agricultural sector is lagging on reaping returns from blockchain technologies. This lag is attributed to the lack of digital infrastructure needed for the adoption.
One of the industry sectors that can earn huge returns from blockchain is agriculture. However, the participants in this industry do not have enough resources and the infrastructures that will enable them to benefit from this technology and integrate the solutions from the blockchain.
Increasing farmer’s access to DLT
One of the keynote speakers at the Australian Blockchain Week was Bridlie Ohlsson, the CEO of Geora. In her speech, she noted an increased challenge in primary industries trying to adopt Distributed Ledger Technology (DLT). Ohlsson pinpointed the agricultural sector and how it lacked the infrastructure needed to adopt blockchain.
The only photos you get when things are virtual… awesome morning streaming with @renemichau @agiledigital @IPAustralia
TLDR: trusted facts are the baseline for telling and financing premium Australian supply chain stories.@GeoraPlatform #blockchainweekAUS pic.twitter.com/jqNeAz58uq
— Bridie Ohlsson (@BridieOhlsson) April 21, 2021
Ohlsson also noted that participants in agriculture did not fully grasp the potential of blockchain. She noted that only large corporates with the proper infrastructure and resources were able to integrate blockchain solutions. The 570 million farmers around the world found blockchain to be too complex and expensive.
Ohlsson did not fail to note that there were efforts to make blockchain more affordable and adaptable to small industries, including agriculture. She added that farmers no longer have to worry about investing all their savings on the necessary legalities and pilot phases.
Making DLT accessible will give farmers a chance to benefit from the scalability offered by blockchain. When farmers shift to the solutions presented on the blockchain, it will enable all industry participants to be part of a sector they have never been part of before.
Loopholes in Australia’s agricultural sector
Australia is losing billions of money every year through fake agricultural products in the market disguised as of Australian origin. This problem can only be solved using blockchain. Some companies extending blockchain services to farmers include VeChain, AgChain, and BeefChain.
Through blockchain technologies and their adoption, it will be easy for these farmers to certify their products. This solution will further create credibility in the agricultural supply chain and prevent farmers and the Australian economy from losing millions annually.
Another solution offered to help farmers certify their products and increase their savings is the Australia-China Supply Chain Consortium launch. This initiative will help in strengthening the supply chain in the Asia Pacific areas. Visa, MasterCard, and AliPay supported the launch. To safeguard its beef exports, the National Transport Insurance for the company has also partnered with BeefLedger.