Digitization Of International Shipping Through Blockchain Technology

Industries are now beginning to understand the benefits of blockchain technology. The sectors where blockchain can improve logistics and supply chain includes agribusiness, international trade, luxury goods, wines, pharmaceuticals, automotive, real estate, aeronautics and many more.

If blockchain technology will be implemented in shipping and international trade, it will greatly reduce fraud and errors as well as transit times and shipping. At least 9 out of 10 commodities that are being shipped around the world are shipped by sea. Nearly one-fifth of the ocean freight costs result from processing and administering commercial documentation accounts. When goods are shipped internationally, they have to be inspected by nearly 30 organizations during the journey which significantly adds to the costs.

Today, the shipping process is still largely dependent on paper and manual checking. Once a paper document is missing at one stage of the shipping process, the whole container or several of them need to remain in place. Transport of goods is delayed for several days. In a worst case scenario, the goods have to be discarded from the container because the storage conditions are not favourable for the conservation of the goods.

If international shipping is digitized through blockchain technology, at least 20% of the total cost of shipping can be saved. How will the system work? If one of the participants in the supply chain signs a document that is associated with a specific container, a digital version of the document will be created. The document will contain a unique and encrypted digital fingerprint which will be written on the blockchain so that it will only be accessible to the stakeholders.

If a dispute occurs, the document can be re-read and made sure that it has not been modified by anyone. Collection of data on the position of the cargo can be collected using different sensors and NFC or RFID chips.

The same consistent and quality service is provided by Tecdis Network irrespective of where you are in Europe. You can be Portugal, the United Kingdom or Italy without facing the daunting prospect of dealing with different logistics partners. You can work with Tecdis Network as your reliable partner to save time, money and frustrations.

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