PwC Australia, the Australian Chamber of Commerce and Industry (ACCI) and the Port of Brisbane have announced their new ‘trade community system’ powered by blockchain technology. It is designed to transform the country’s supply chain operations by simplifying international trade processes.
Trade Community System Powered by Blockchain
The project will use emerging blockchain technology to link supply chain information and reduce difficulties in international business, reducing duplication and human errors. The new platform will improve productivity and minimize duplication through digitization as all recorded information will be shared on a decentralized ledger rather than being in files and folders at individual companies involved in the supply chain.
The platform is designed to address many recommendations from Australia’s national freight and supply chain. Australia sees more than 9 million container movements across its five major ports each year. This number is expected to rise to 15 million container movements by 2025.
ACCI director of trade and international affairs Bryan Clark said the estimated cost of inefficiency across Australia is over $450 for each container and deploying this technology into the trading environment would save significant costs.
Port of Brisbane chief executive Roy Cummins said the project could be adapted for use across big international businesses. “It is the right time for the industry to initiate a reform and modernization agenda which will shift the dial for Australia’s international business,” Mr. Cummins said.
PwC partner Ben Lannan said the new system would help to improve productivity for businesses in Australia and overseas. “The port, whether sea or air, is the first and last point of domestic contact in the international supply chain, and is the primary point at which all significant supply chain participants converge,” Mr. Lannan said.
The Australian government’s Digital Transformation Agency (DTA) has already allocated over USD 500,000 to use blockchain technology to deliver social welfare payments over a blockchain to citizens in 2019.