China-based e-commerce giant Alibaba has teamed up with PwC, a multinational professional services network, to develop a system that could help minimize food fraud with the help of blockchain technology. As you know, the blockchain technology underlies Bitcoin.
If Alibaba’s pilot program succeeds, blockchain is going to be used against a type of fraud that affects online marketplaces, specifically food.
The Alibaba Australia project has partnered with Australia Post and nutritional supplement maker Blackmores, aiming to improve the way foods are tracked, reducing the risks associated with counterfeit products on the market.
A pilot blockchain technologies solution model will be developed for vendors that could be utilized by participants across the supply chain. According to ZDNet, a business technology news website, thanks to the blockchain platform, shipments will be tracked in real-time, and there will be increased security and transparency in the fight against fraud.
As Alibaba ANZ managing director Maggie Zhou notes, food fraud is a serious global issue. It costs the food industry billions every year and puts consumers’ health at risk. This new agreement is going to create a globally respected framework focused on protecting the reputation of food merchants and helping consumers be more confident when buying food online.
Counterfeit products have been creating problems for online shoppers in China since e-commerce first appeared in the country.
According to AusPost, popular Australian products such as health supplements, beer, and wine, honey and cherries are being attacked. Given China is Australia’s largest export market for agricultural and seafood products, Australian food exporters have major problems in this regard.
Bob Black, Australia Post’s Executive General Manager, Parcel and eCommerce Services, notes they are delighted Alibaba has invited them to create an innovative platform to track food from paddock to plate, aiming to strengthen the supply chain.
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