The master of all the technologies, Blockchain, would soon revolutionize the base of the ecosystem , Agriculture.
The Agriculture industry is the core of our ecosystem. Food is the most essential and significant aspect of our lives. This industry contributes to 6.4 percent in total, to the world’s economic production. However, in terms of digital development, it lags far behind. This happens more so, because most of the agricultural produce comes from the village areas, where the accessibility to primary needs and the rate of education is low.
The use of information technology for easier farming operations can be rarely seen. The farmers and the involved partners are eligible to use technology, but they aren’t exposed to the benefits of technology, which makes this industry vulnerable and ultimately leads to incurring more money and time, with less security involved.
Some of the major Issues in Agriculture sector in the conventional system
Tampering of food information
As the food/produce travels vastly from farmers to the end users, through various middlemen, there are risks of food adulteration and food information tampering.
Lack of Information accessibility to the authorized partners
Partners like Government authorities or insurance companies,many a times, cannot have the access to right information required. On a higher level,this problem is crucial to be solved.
High risks of corruption
As there is very little or no control on the produce and the production data, there are high chances of corruption risks involved, which may lead to a disturbed and unjust system.
Lack of information on proof of origin
Till the time the produce reaches the consumer, the proof of origin is totally missed. Everyone has the right to information, and so does the consumer. However, a weak information storage system leads to data loss.
Low availability of useful information to the farmers
The farmers do not have access to useful information like, fertilizer information, weather forecast, insurance information, fund and profitability details. Hence a very low profitability reaches to the farmers.
High dependability on the central system
For the access and authorization of any available information, there involves a lot of time, as there is dependency on the central system. This leads to overall low productivity.
Huge time and cost involvement
Right from producing the crops to the distribution to retailers and consumers, through warehouse managing and supply chain operations, there is a lot of manual intervention. This definitely leads to a lot of unnecessary time and cost involvement.
Partners involved in the Smart contract of Agriculture sector
All the parties that are interoperable and interrelated in the agriculture industry,are involved in the blockchain based, agriculture smart contract. A tokenization system helps improve productivity with quick transactions through immediate effect.
The members involved in the smart contract of the agriculture industry are,(not limited to) the farmers, government authorities, supply chain managers, warehouse managers, retailers, distributors, fundraising systems, insurance organizations, storage and packaging industries, the consumers,and other relevant partners, if any.
How Blockchain can help overcome the issues and improvise the system
Safety of food information
All the food information is mapped using the IoT sensors and hence it is stored safely with only authorized accessibility.
Easy Information Accessibility
The information stored onto the blockchain is easily accessible to all the authorized smart contract partners, anytime,anywhere around the globe.
Use of IoT sensors for useful information collection
IoT sensors can be used to generate useful information like weather forecasting, fertilizers information , quality and quantity of pesticides to be used, seed quality soil moisture etc.
Timely reach of benefits and funds to the farmers
As the subsidies and remittance information is available to the farmers at the tip of their fingers, they can cherish the benefits of these schemes and funds with surety and on time.
Low risks of corruption
All the details are authenticated and stored in the system, which cannot be tampered with. Such immutable and correct data, definitely increases fair prices and improves profitability.
More organized, decentralized system
There is very less involvement and dependency on the centralized system, once the blockchain for agriculture is implemented. This surely increases the speed of transactions and profitability over all the relevant sectors.
Modernizing farm management
Majorly ,the conventional farm management system will progress technologically, through modernization of the way it functions, in turn leading to an increase in the world GDP.