Adani ports and Special Economic Zone Limited (APSEZ), the largest multi-port operator in India has partnered with Blockchain based supply solution platform Tradelens to digitize supply chains.
According to a local news outlet, Business line, APSEZ’s move to digitize supply chains is meant to reduce the vulnerabilities of the traditional current supply chain system. APSEZ plans to integrate Tradelen’s Blockchain solutions across 10 of its major courier management facilities across ports in six Indian states which include; Goa, Chennai, Odisha, Tamil Nadu, Kerala and Andhra Pradesh.
Supply chain shortcomings laid bare
The traditional supply chain has been exposed several times in the past, but it is being exposed even more severely now in the face of the Covid-19 pandemic. The old supply chain system which depends heavily on manual processes an paper is taking a serious beating. The business line news report quoted an anonymous logistics industry official as saying;
“During the pandemic, we realized the price of not digitizing the industry. There will be a mindset change now and more firms will adopt the technology.”
Tradelens will add value by making information sharing more time and cost efficient, transparent and secure. The reasoning behind the partnership made between APSEZ and Tradelens has been backed by a study that was done by QBIS Consulting on Total Transport and logistics cost estimated that digitizing supply chain workflow can save importers of a single major port up to $220 million annually. Exporters too have the potential of saving $40 million each year.
Blockchain changing supply chains
The Blockchain has really made waves in logistics and supply chain with lots of players using the technology to track back sources and suppliers. Earlier this year we reported that Auto giant Mercedes had adopted Blockchain technology to track Carbon emissions in Cobalt supply chains in the Congo. Big logistics firms like Maersk are also in the frontline when it comes to adopting this technology.