With the support of government and industrial bodies, the APAC Provenance Council, which is an industry alliance helping exporters digitally enable and scientifically prove the provenance, traceability and authenticity of their products, is established to fuse blockchain technology into the food supply chain finance in Australia-China trades. The company descended upon the ground with the intension to bring efficiency by establishing a cross-continental finance ecosystem in food industry.
Plan to be implemented after COVID-19
The Australian government has recently published the National Blockchain Roadmap mentioning the challenges and leveraging opportunities across a number of industries. COVID-19 poses a direct threat to food & beverage manufacturers and vendors around the globe so the roadmap is skipped until the termination of the pandemic.
On the other hand, financial pressure on cash flow amid this pandemic carries a threat in the way to stimulate business growth. A suspicion on food is working inside public that also works as an impediment to the industry growth for now.
Awaking Market with Blockchain-enabled APAC Provenance Council
The APAC Provenance Council has an intension to provide comprehensive forensically verifiable, securely marked and blockchain-enabled supply chain finance ecosystem in the food industry. APAC Provenance Council Chairman says they will be growing by making sure they are delivering economic value meeting industry needs with traceable, safe and trusted trades with shorter billing terms.
Australian food suppliers will receive faster payments. The B2B payments powered by AliPay in Australia for China-destined trades from Australian food suppliers will receive milestone-based payments of the total fiat payment which will be paid out at the beginning of the business arrangements meeting the first milestone of their delivery terms.
VeChain’s blockchain technology will be working as the natural trust machine in multiparty collaboration across the continents. The whole process of product delivery will be recorded by the blockchain at the time of exporting food products.
Sole Public Blockchain Protocol
VeChain being the sole public blockchain protocol in the consortium helps its partners to implement blockchain technology in several industries to solve the trust problems. As a result the way of development and easy deployment of VeChain’s technology become easy and supply chain finance more effective.
VeChain is empowering its partners with blockchain technology to build up business applications for several reasons with the mission of powering the real economy. China will grow by 43% of global growth in demand for agricultural products by 2050 as per the prediction of the Australian Department of Agriculture and Australia wants to take advantage of China’s growing demand for food security and quality. Australia’s share in the value of exports to China reached a record $117 billion in 2019 and it is expected to continue to grow. With the evolving of the market, the development of the council is to see a great remarkable potential with the food sector.