A blockchain application to promote supply chain transparency

Known as the technology behind Bitcoin and other cryptocurrencies, blockchain has also numerous other applications. Due to its decentralized and almost immutable structure, the technology can be exploited in different ways. The example to be delved into the following work corresponds to the supply chain traceability. The use of blockchain in this scenario has the aim of making the supply chains more transparent by offering to the agents of the supply chain the possibility of making publicly available information regarding different aspects of the production, from the cultivation and extraction of raw materials, to manufacturing and distribution as well. Valuable information can include the provenance of materials, composition of the products, conditions of transportation and stocking, organization of labour, environmental impact amongst other important factors. Naturally, the value of each piece of information is related to the industrial segment that the supply chain refers to. The focus of this study was the supply chains in the food industry, a segment in which the customers are particularly interested in knowing details of the production and the characteristics of the product as, for instance, information concerning the presence of genetically modified organisms and the use of pesticides, hormones and antibiotics as well. For some products like wine, there is also the risk of counterfeiting, what is also the case of the classes of products supported by the so-called protected designation of origin. Blockchain can force accountability by the fact that the information included in the platform could not be deleted or modified. However, in order to promote the use of the technology in this sense, it is necessary to develop a system that encourages companies to include valuable information in the platform and of engages final customers to use the service.