Nestlé tests open blockchain technology

Open blockchain technology for supply chain transparency

Nestlé collaborates with OpenSC for supply chain transparency
Nestlé collaborates with OpenSC for supply chain transparency

Nestlé announced the collaboration with OpenSC, a blockchain platform that allows consumers to track food right back to the farm, for supply chain transparency. Through this collaboration, Nestlé claims to become the first major food and beverage company to announce that its open blockchain technology. The collaboration is part of Nestlé’s journey towards full transparency.

Founded by World Wide Fund For Nature Australia and The Boston Consulting Group Digital Ventures, OpenSC has developed a platform that will give anyone access to independently verifiable sustainability and supply chain data from anywhere.

The initial pilot program will trace milk from farms and producers in New Zealand to Nestlé factories and warehouses in the Middle East. Later, the technology will be tested using palm oil sourced in the Americas. These initial plans will allow Nestlé to understand how scalable the system is.

Magdi Batato, executive vice president, Nestlé SA said, “We want our consumers to make an informed decision on their choice of products – to choose products produced responsibly. Open blockchain technology might allow us to share reliable information with consumers in an accessible way.”

Nestlé has piloted blockchain technology since 2017, most prominently with IBM Food Trust. In April 2019, it gave consumers access to blockchain data for the first time, through Mousline puree in France.

“This open blockchain technology will allow anyone, anywhere in the world to assess our responsible sourcing facts and figures,” said Benjamin Ware, global head of Responsible Sourcing, Nestlé SA.

“We believe it is another important step towards the full disclosure of our supply chains announced by Nestlé in February this year, raising the bar for transparency and responsible production globally,” Ware added.

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