Imagine a world where the smallest farmers in the most remote parts of East Africa can not only increase their production, but also reach consumers all the way in Western Europe. Thanks to emerging technologies such as satellite imagery, drones, and machine learning, this vision is no longer a distant dream but a burgeoning reality. The twist in the tale, however, comes from an unlikely source: blockchain technology.
In recent years, a major hurdle for small farmers, particularly those growing popular products like avocados and coffee, has been the requirement to demonstrate that their crops have been grown sustainably. Enter blockchain technology. Blockchain creates an immutable record that can help farmers prove their commitment to sustainable practices.
Jon Trask, CEO of Dimitra, an AgTech firm, aptly summed up blockchain’s potential in this arena. “Blockchain creates a great solution with an immutable record, particularly when combined with mobile and other emerging technologies,” he noted.
Dimitra, together with a sustainability-focused tech group called One Million Avocados (OMA), recently announced a partnership to help Kenyan farmers enhance production and quality through blockchain and other cutting-edge technologies. But, it’s not just about Africa. “We have the same situation in Indonesia, Brazil, and a few other Latin American countries,” Trask revealed.
With the introduction of Europe’s new deforestation regulation, blockchain’s traceability feature becomes even more crucial. It enables farmers to show the origin of their produce reliably, a necessity in the face of increasing demands for sustainability.
But blockchain’s role doesn’t stop at traceability. It can also facilitate transparency. “What blockchain can potentially do, is facilitate two-way transparency. Not only do stakeholders at the end of the supply chain know where the coffee comes from, but farmers also know what happens in the downstream supply chain,” researcher SzuTung Chen explained.
Moreover, integrating blockchain with other technologies like satellite imagery can lead to unexpected benefits. For example, Dimitra uses satellite imaging technology to assist Kenyan farmers in demonstrating their commitment to preserving woodlands, but this technology can also be used to boost productivity by identifying areas requiring more fertilizer or irrigation.
However, despite the clear benefits, the implementation of these technologies is not without its challenges. There are issues like getting all stakeholders on board, managing the steep learning curve associated with new technologies, and finding patient capital at scale. But, with every step forward, we inch closer to a future where small farmers have a fair shot at the global market, and consumers can enjoy sustainable produce from all corners of the world.