Ugandan company, Carico Café Connoisseur, has adopted blockchain technology to trace coffee from farmers to shipments. As there has been growing interest from consumers to be able to trace products they buy, back to the origin, producers are hoping they can attach a premium, which can be used to enhance farmers standard of living.
Blockchain technology can be defined as a decentralized, distributed ledger technology that records transactions associated with an asset. If implemented correctly, it becomes impossible to tamper with, without giving away that the system of record can no longer be trusted. This makes it a secure way to track the movements of goods.
The first blockchain certified shipment of coffee products by the Ugandan coffee company, arrived in South Africa last month. This blockchain certification allows consumers to track the journey of the goods — from the drop off points for the farmers to the warehousing and shipping.
This information as well as other related information like the type of coffee bean, the year it was harvested and where it’s grown, can be accessed via the product’s QR codes or the certification site (provenance.org).
The idea is to give the consumer an appreciation of what happens on the journey, and also to ensure that there’s more linkages with the farmer. Traceability is important because people are increasingly concerned that … farmers get rewarded for their work.
Carico Café Connoisseur CEO Mwambu Wanendeya
The rising interest in the traceability of goods means that consumers could be willing to pay more for this information. As a result of that, this innovation by the Ugandan company hopes to be able to boost farmers’ income by 10%.
Tracing the origins of goods, especially coffee, has been a topic of discussion for a while, and blockchain technology offers a feasible solution to this traceability matter. Not only does it meet consumer demands but it also has a positive impact on farmers.
But, does it (have a positive impact on farmers)?!