Adani Ports and Special Economic Zone Ltd (APSEZ), India’s biggest private port operator has partnered with blockchain-powered digital container logistics platform TradeLens to optimize its port operations and improve supply chain management (SCM).
Leveraging Blockchain for India’s Supply Chain
According to The Hindu BusinessLine, a blockchain-based virtual container logistics management network dubbed TradeLens will be utilized by ASPEZ, India’s largest private port operator, for better SCM.
APSEZ has disclosed plans to leverage the blockchain-based solution in its Mormugao port, one of the largest ports in India, as well as cargo facilities in Mundra, Dahej, and Kattapulli to name a few.
The partnership is expected to optimize port operations by providing automation and fast-tracking administrative processes such as booking and clearance by leveraging blockchain technology. Also, the decentralized infrastructure of the TradeLens platform will provide ASPEZ with essential data from the global supply chain network.
Jointly developed by container logistics giant AP Moller-Maersk and heavyweight technology provider IBM, TradeLens offers a neutral and transparent institutional solution for the global shipping industry powered by distributed ledger technology (DLT).
As at press time, TradeLens has been integrated with over 110 ports and 15 different Customs authorities worldwide. Major stakeholders in the global supply chain such as PSA International, MaerskLine, and APM Terminals are also reportedly users of the platform.
ASPEZ also believes the partnership with TradeLens will allow the company to improve collaboration with India’s Customs authorities by providing distributed access to shipping documents enabled by blockchain’s interoperability.
Furthermore, as the ongoing pandemic has crippled the world’s supply chain, shipping companies in India have been pushed to consider leveraging DLT to digitize their operations and cut costs. According to a study on Total Transport and Logistics Cost (TTLC) by QBIS Consulting, leveraging blockchain across the supply chain has the potential to save India an estimated $860 million per annum.
Blockchain and SCM
A consortium of Indian food companies partnered with several tech giants to explore blockchain-based solutions for SCM. Backed by government support for the technology, blockchain is seeing increased public-private partnerships in the country. From agriculture to electoral reforms, blockchain appears to be gaining ground in India even while the local crypto market continues to face difficulties.
In other jurisdictions, governments and private organizations around the world continue to look towards digitization and leveraging blockchain for supply chain optimization as well. Back in March 2020, aircraft manufacturing giant Boeing partnered with Honeywell to leverage its blockchain solution dubbed GoDirect Trade to track aircraft parts and ensure safety regulation compliance.
California-based blockchain startup HashCash Consultants reportedly announced plans to partner with several pharmaceutical and medical product manufacturers to utilize DLT in the global medical supply chain network post-COVID-19.