Amid the push for blockchain technology in Dubai, IBM has launched a trade finance blockchain initiative in collaboration with Dubai Customs and Dubai Trade , Emirates NBD, du, Aramex, and Banco Santander, IBTimes UK reported.
IBM will also work with IT provider DUTECH to explore blockchain use in developing a trade finance and logistics solution for the import and re-export process of goods in and out of Dubai. Using Hyperledger Fabric and IBM Cloud, the platform will transmit shipment data enabling key stakeholders to receive real-time information regarding the state of goods and the status of the shipment.
For instance, in case of a shipment of fruits, the different parties involved in the process will receive timely updates on the export of fruits from India to Dubai by sea, manufacturing into juice in Dubai, and then export as juice from Dubai to Spain by air.
In addition, IBM is also collaborating with UAE-based telecommunications service provider du; Emirates NBD Bank, the letter of credit issuing bank; Banco Santander, the letter of credit responding bank; Aramex, the freight forwarder; and a leading Airline, as the airway carrier.
In addition, the new solution leverages Watson IoT for device-reported data to update or validate code on the blockchain. All the key trade process stakeholders are integrated into the system – from the ordering stage, in which the importer obtains a letter of credit from their bank, through the intermediary stages of freight and shipping, and ending with customs and payment, IBM said.
"IBM believes that blockchain will do for transactions what the internet did for information. Dubai is at the forefront of adopting this transformative technology as government agencies and businesses realise the need to have a shared secured ledger that establishes accountability and transparency while streamlining business processes”, Amr Refaat, general manager, IBM Middle East and Pakistan, added. “Our collaboration today with leading Dubai organisations across different sectors in trade finance and transportation will showcase how blockchain will revolutionise the way businesses interact with one another and with their customers and suppliers."
