DBS Bank and Agrocorp to launch a supply chain blockchain platform
Singapore’s DBS Bank, commodity trading company Agrocorp International and blockchain provider Distributed Ledger Technologies are partnering to deliver a blockchain payments platform for farmers and all parties throughout the supply chain.
It will reach the markets of Canada, Myanmar and Ukraine throughout the next year. The platform connects about 4,500 farmers in Australia to retailers such as supermarkets and restaurants.
Pricing and supply information will be available for all parties in the supply chain on real time.
This is a big move for the industry, in which documents take from five to ten days to be processed following the exchange of goods.
The platform allows farmers to access commodity prices and register a sale. The platform also automatically prompts DBS Bank to execute certain actions on “trigger events”. For example, releasing a payment when the goods arrive at their destination.
According to DBS, the platform will increase transparency with details of each trade and the sources of commodities stored on the platform, and buyers can easily trace such information.
DNS highlights Singapore’s importance as a major trading hub where goods and commodities go through from Australia.
The bank says this partnership gives the bank complete transparency of where the physical supply chain is and allows the bank to understand what obligations are due from these transactions, such as what payments need to be made.
This platform will also open to other firms beyond just Agrocorp.
