Shipping companies have foreseen the advantages of blockchain-based solutions which will enhance the global supply chain to a huge extent. The companies have therefore initiated the integration of blockchain powered services within their systems which especially is focusing on container shipping at the moment. The big transformation has been brought in with the help of tech giant IBM that has developed the blockchain platform TradeLens in collaboration with Maersk. This system is capable of delivering efficient and secure cross-border trade along with technological development.
The shipping market has become quite competitive in recent years all thanks to the global technological advancements and effective banking. However, there seems to be a lacuna in the efficiency and the security of the systems to transfer valid and vital information across the geographical borders.
Maersk and IBM’s TradeLens platform practically explore the businesses operating methods in the maritime sector to provide an imperative optimal platform which promises to deliver successful transfer of data, documentation and reconfiguring. This system principally works on the documentation done in the shipping companies which has been conventionally done on paper which makes it sensitive to fraudulent activities. Blockchain technology here enables the end-to-end verification digitally which makes the customs clearance like a cake walk.
Managing Director Peter Levesque of Modern Terminals, the sole Hong Kong participant of TradeLens called this system as a Holy Grail which brings in the entire supply chain of shipping trade at one point, as mentioned by South China Morning Post.
Future Development Of Blockchain In Shipping Industry
According to Port Technology, the Blockchain In Transport Alliance (BiTA), the biggest commercial blockchain alliance, has projected that all the major players of the shipping trade are looking forward to leveraging blockchain technology within their logistics operations. However, this will take its own time but sooner or later the shipping companies will eradicate the manual paperwork methods with the fully digitized blockchain based systems in the future.[The views and opinions expressed in this article are those of the authors and do not necessarily reflect the views and/or the official policy of the website. ]