Carico Cafe Connoisseur, a Ugandan coffee company founded in 2016, has adopted distributed ledger technology (DLT) to aid in the certification of coffee shipments and give customers the confidence that their products are from the right source, according to a Business Daily report on January 25, 2019.
Reportedly, the coffee company is now using blockchain technology to track coffee’s raw materials as it moves along the supply chain before getting to stores.
We’ve been seeing more and more companies all over the world implement blockchain technology for tracking their products. This includes everything from luxury goods to farming to general supply chain.
Carico now tracks delivery data of beans by farmers to collection centers, warehouses, inspection centers, and its final exportation through a distributed ledger.
By leveraging modern blockchain tracking technology, consumers will know where the actual source of the product is coming from which leads to full transparency.
Importantly, the initiative also makes it possible for consumers to trace the entire origin of the product including bean type, year of harvesting and the exact farm the beans were grown through a third party site, or by just scanning the QR on the coffee container with their smartphones.
Carico explained that integrating blockchain technology into its operations would be beneficial to the firm, the farmers harvesting the beans, and the consumers. For farmers, Carico claims that the innovation can give them a ten percent increase in income because customers are willing to pay more for a product when its origin is traceable.
The idea is to give the consumer an appreciation of what happens on the journey and also to ensure that there are more linkages with the farmer.
Despite the recent slump in the price of bitcoin and other crypto assets built upon blockchain technology, adoption for both the nascent digital asset class and DLT is gradually picking up speed.
However, in order to achieve mass adoption, we still need to see more of the major countries step foot in the industry and implement the technology as well.