Role of Blockchain Technology in the Agriculture Market
Blockchain is a revolutionary technology. When we talk about its use cases, then its role expands from food to finance. Almost every business niche can benefit from it. But have you ever given a thought to how agriculture can benefit from Blockchain technology? Technology has created a huge impact on our lives, and it has the potential to change how things work. In this blog, we are going to focus on how Blockchain is transforming the agriculture market.
Blockchain and its role in the agriculture market:
Before we go ahead and explore how Blockchain is going to help you, let us understand the key problem that the agriculture industry is facing:
1. Erratic climatic changes
2. Frequent crop failures
3. Division of land holdings
4. Too much interference of intermediaries
5. Lack of transparency
6. Inadequate storage facility
Let’s understand how Blockchain is going to be the difference creator:
Blockchain is the disputed ledger technology, where all the information is encrypted cryptographically. All this data is immutable and easily accessible. Now we shift our focus on how Blockchain is helping the agriculture industry.
Ensuring timely payment: Every farmer would want to increase the crop yield and where technology can play its part. Well, it’s the blend of IoT and Blockchain that will create the difference. The IoT sensors collect the data, and this information gets stored in IPFS (Interplanetary File System). It is a distributed storage platform that has address hash and is stored on the Blockchain. This information is distributed across every node in the network. Thus it prevents central control. This information on the DLT triggers a smart contract, promoting the exchange of data stored on Blockchain.
Food supply chain: The next important role of Blockchain in the agriculture segment is to make the food supply chain work more efficiently and transparently. The following steps define how does Blockchain enhance transparency in the system:
1. The IoT sensors generate the data
2. The distribution of grown crops finally reaches the food processing companies
3. Now this food finally reaches the wholesalers and retailers
4. And from here, the consumer can traceback the supply chain
When all this data is stored on the DLT, every piece of information is easily traceable and trackable. Moreover, the information is timestamped, thus making it easily traceable.
Monitoring weather crisis: Imagine if the farmers know about weather conditions and can be prepared to cope with the crisis. This can happen when you get quick access to information. With the help of Blockchain, the weather department can easily share the data, and this information is easily accessible, and so they can act accordingly. Also, if there is damage to the crops because of weather, the farmers can apply for crop insurance via Blockchain.
Enhanced food control: The next important area where Blockchain finds application is enhancing the quality control and supply chain. Blockchain enables the creation of a system that is far safer and more secure. Using this platform will ensure proper data-keeping and access to information. Also, this data is safe and secured.
With all these applications of Blockchain in the field, agricultural productivity can be enhanced. Many startups are venturing in this zone, and if you too want to make a good career growth in the field of Blockchain, you must enrol for the Blockchain certification program offered by the Blockchain Council.
