Au lait! Ecuadorian milk gets IBM blockchain transparency

El Ordeño, one of Ecudaor’s leading dairy product producers, announced a new solution to support the dairy industry in that country. The company has joined IBM Food Trust, the global ecosystem for the food industry, to provide responsibility and transparency to its customers.

It  will use the blockchain-based technology to monitor its TRU milk products, which have been re-launched with new packaging featuring a QR code. By scanning the label with a mobile device, consumers can now access information about the path that the milk has travelled, including information about the producer as well as the quality centres, cold chains and distribution centres the milk passed through on its way to the table.

"We are constantly transforming the way we do business to ensure the best possible quality for all our products," said Guilherme Franklin, El Ordeño COO. "Blockchain technology provides the transparency we need to show that our products comply with quality processes and steps before they reach Ecuadorians’ table. Global milk production is expected to reach 981 million tons by 2028, according to the Food and Agriculture Organization of the United Nations (FAO); and production will increase 1.7% annually.” The company plans to scale the solution not only to its milk portfolio, but to all its dairy products.

The solution will also allow supply chain partners to securely and selectively connect ecosystem data with transparency. Most importantly, final consumers will have information to trace the origin and condition of the milk products they buy and eat, and producers will minimize waste and fraud.

"Consumers are increasingly aware of how important it is to know the origin and traceability of the products they consume," says Martín Hagelstrom, IBM Blockchain Leader for IBM Latin America. “IBM Food Trust provides El Ordeño with a single, immutable and transparent source of information about how their milk products are distributed throughout the country. Most importantly, Food Trust allows consumers to access this information in real time when they buy the products and to make purchase decisions based on the data.”

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