One of India’s largest farm producer organizations, Sahyadri Farmers Producer Co, is integrating blockchain technology into its business process.
Farm producer organizations or FPOs are member-based institutions of farmers that are the result of a government-led initiative.
The organizations help farmers sell agricultural produce at the most advantageous prices.
On July 6, The Hindu Business Line reported that Sahyadri will use blockchain technology for its supply chains to increase efficiency and transparency in the traceability of food products.
The technology is being developed by IIT-Bombay incubated start-up EmerTech Innovations Pvt Ltd.
Founder of Sahyadri, Vivek Shinde, says that in the present context, farmers get only 25% of the final price of the sold goods.
However, through blockchain implementation, they could share as much as 50% of their revenue with farmers.
The organization also expects that blockchain-based data sharing can improve trust in its pricing and sales information that it shares with farmers and buyers.
Blockchain integration will further allow customers to trace products back to the individual farmer who produced it. Customers will be able to do so using QR codes or digital maps attached to the products.
A number of blockchain companies are now working in agriculture industry to increase efficiency and help farmers earn better revenue.
In May, a blockchain-based agtech startup Agri10x partnered with the Indian government to create a peer-to-peer marketplace for farmers and buyers.