In recent years, the use of blockchain technology has gained traction across various industries. One such industry is the chemical industry, where blockchain is being used to streamline the management of chemical cargoes. A group of Chinese companies have collaborated to harness blockchain technology for chemical cargoes, and the results have been promising.
The chemical industry faces numerous challenges in the management of its supply chain. One of the most significant challenges is the lack of transparency and visibility. Chemical cargoes are often transported across long distances and change hands multiple times, making it difficult to track their movement and ensure their safety.
Blockchain technology can help address these challenges by providing a transparent, secure, and decentralized platform for managing chemical cargoes. The technology allows for the creation of a digital ledger that records all transactions and movements of the chemical cargoes. This ledger is immutable, meaning that once data is recorded on it, it cannot be altered or deleted.
Hong Kong-based blockchain platform Global Shipping Business Network (GSBN) has teamed up with COSCO, Orient Overseas Container Line (OOCL), and the Shanghai Research Institute of Chemical Industry Testing (SICIT) to improve the safety of chemical cargo transportation.
The Chinese companies that have collaborated to harness blockchain technology for chemical cargoes are using a platform called the Chemical Industry and Logistics Initiative for Value Chain (CHLIV). The platform was developed by a group of companies, including Sinochem Energy Technology, Royal Dutch Shell, and China National Chemical Information Center.
The CHLIV platform is designed to provide end-to-end visibility and transparency in the chemical supply chain. It allows chemical companies to track the movement of their cargoes from the point of origin to the point of destination. The platform also provides real-time information on the status and condition of the cargoes, including temperature, humidity, and other environmental factors.
One of the key benefits of using blockchain technology for chemical cargoes is that it enhances safety and security. Chemical cargoes are often hazardous and can pose significant risks to human health and the environment if not handled properly. By using blockchain technology, chemical companies can ensure that their cargoes are transported and stored in compliance with safety and environmental regulations.
The collaboration will leverage blockchain technology to verify safe transportation certificates issued by SICIT, ensuring that the information contained in the certificates is accurate and reliable. With this streamlined process, certificates can be verified from the original source, reducing the risk of fraud and mislabelling. The success of this proof-of-concept demonstrates the potential of blockchain technology in the shipping industry. By combining blockchain infrastructure with data from IoT devices, the industry can significantly reduce risk and enhance efficiency.
