The government of Australia has started using blockchain-based encrypted data for its Sustainable Sugar Project to let buyers of sugar know from where the sugarcane originated, along with data surrounding the sugar cane farm’s sustainability.
The sugarcane industry in Australia is worth $2 billion, is regional by nature and operates in eco-sensitive environments. Its system for RDE or Research, Development,& Extension currently spends $44.5 million and has 256 researchers on its payrolls to provide appropriate solutions for addressing current needs and realizing future opportunities.
Australia’s current sugar RDE needs comprise increasing sugarcane uses, achieving significant gains in sugar productivity and increased adoption and improving environmental performances and building research capabilities.
How does blockchain technology work in the sugar industry?
According to a press release from the Government of Australia issued recently, this technology would provide sugar consumers with the assurance of the sustainability of Australian sugar while also ensuring that all cane farmers use the most sustainable practices to produce sugar that attracts the best prices.
Australia’s coalition government has funded this cutting-edge project whereby sugarcane growers in Queensland have been able to demonstrate to their biggest buyers how sustainably they grew their product.
This would, in turn, enhance sugar sales both domestically and internationally because the bulk buyers are now focusing more on the sustainability and traceability of sugar production and would be willing to pay better farm gate prices.
This is further supported by the fact that blockchain ensures total transparency between all parties concerned and all encrypted data stored on it is tamper-proof. The Sustainable Sugar Project is expected to help sugar farmers gain international recognition and enhance Australia’s sugar exports.
In fact, Central Queensland has initiated the Smartcane Best Management Practice encompassing soil health, biodiversity and vegetation. A Smart Farm grant worth $2.25 million has been awarded to the cane growers of Queensland who will be partnering with a company called Queensland Sugar Ltd over a period of four years.
Importance of sustainable sugar
Sustainable sugar, it is expected, will gradually catch on. For instance, Coca-Cola has plans to source all its sugar from only sustainable sources by the year 2020. Blockchain technology would, therefore, help the beverage giant to exactly pinpoint the sugar that’s sustainably grown in its supply chain, from where it originated and who harvested it.