The Mexican state of Tamaulipas has taken a progressive step towards embracing technology by deciding to incorporate blockchain technology for the process of tracking of grain. Having collaboraed with GrainChain, a blockchain and Internet of Things (IoT) software provider, the state will use technology in agriculture.
The government has decided on this move because of its advantages for grain producers, who can benefit from monitoring the warehouses that the grain is stored [in]. It’s a classic application of blockchain technology in supply chain management.
The current process, bereft of any technology, is quite cumbersome and time consuming. There are no guarantees that the process is completely tamper proof, which can be assured when using blockchain technology. People are used to recording the data by hand, such as the grain’s weight, its condition, etc. This leaves room for mistakes and manipulation, which the government wants to prevent with the introduction of this technology.
GrainChain’s software is going to be used for Tamaulipas’s sorghum, soybean and corn commodities to start with. Tamaulipas Secretary of Rural Development Ariel Longoria Garcia claimed:
“Tamaulipas will be, and is, at the forefront of incorporating new technologies to agriculture and cattle raising in the near and medium-range future,”
GrainChain’s incredible software helps verify the authenticity of the grain, provides information on their source, and the data surrounding grain. The software uses blockchain technology, in coordination with IoT technology, to provide precise tracking, data, transparency and reliability for grains in the supply chain.
According to CEO Luis Macias:
“What we tried to do is provide extreme authenticity of the origins of the grain that you’re buying. We have a series of products that connect to IoT devices and sensor scales and grading devices that garuntee the quality of the grain, and all of that information is inventoried within the blockchain to be able to ensure that nobody can either modify or question where everything has come from.”
According to sources, Tamaulipas is planning to implement aspects of GrainChain starting this season. “This is the first season that they’re implementing the system,” said Macias. “They are starting with the initial traceability and initial farmer settlement, so what we are doing is we are tracking where it is coming from, what the quality is, how much is going in and the initial payments to the actual farmers.”