After two years of beta testing, Swiss developer Cerealia SA has launched a commercial blockchain trading and financing platform for global agricultural trade.
The launch follows a comprehensive implementation of the previous launch experience with companies from Algeria, Brazil, Dubai, Japan and Ukraine. In November 2018, Cointelegraph reported early use of the platform to implement an experimental agreement to grow Black Sea wheat from the Russian coastal city of Novorossiysk.
Cerealia told reporters that they aimed to meet the need for a fast trading platform in the global Russian wheat market and integrate it with a more robust, transparent and technologically advanced implementation program. General Director Andrey Grigorov said:
“Traders can now be 100% confident that they have actually made a purchase, unlike traditional telephone brokerage. They immediately digitally signed contracts and records permanently registered on the blockchain.
As the company is the largest wheat producer in the world, operations in the Russian market also include the sale of corn, barley, grain and other vegetable oils. According to Cerealia, in the first week after the launch, the volume of the deal amounted to 20,000 tons of grain.
Earlier this fall, the world’s leading agribusiness companies from the US, France, China and the Netherlands formed a joint venture that will use blockchain technology to streamline logistics operations in Brazil’s agricultural sector. Between them, trading partners annually transport about 550 million tons of grain and oilseeds.