Nestlé Delivers Ultimate Supply Chain Transparency With Open Blockchain Pilot

Posted On: 7/8/2019

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VEVEY, Switzerland -- Nestlé will break new ground in supply chain transparency through a collaboration with OpenSC -- an innovative blockchain platform that allows consumers to track their food right back to the farm.

Through this collaboration, Nestlé becomes the first major food and beverage company to announce that it will pilot open blockchain technology in this way. This is part of Nestlé's journey towards full transparency.

Founded by WWF-Australia and The Boston Consulting Group Digital Ventures, OpenSC has developed a platform that will give anyone, anywhere access to independently verifiable sustainability and supply chain data.

The initial pilot program will trace milk from farms and producers in New Zealand to Nestlé factories and warehouses in the Middle East. Later, the technology will be tested using palm oil sourced in the Americas. These pilots will allow Nestlé to understand how scalable the system is.

"We want our consumers to make an informed decision on their choice of products -- to choose products produced responsibly," said Nestle S.A. executive vice-president and head of operations Magdi Batato. "Open blockchain technology might allow us to share reliable information with consumers in an accessible way."

Nestlé has piloted blockchain technology since 2017, most prominently with IBM Food Trust. In April, it gave consumers access to blockchain data for the first time, through Mousline purée in France.

"This open blockchain technology will allow anyone, anywhere in the world to assess our responsible sourcing facts and figures," said Nestle S.A. global head of responsible sourcing Benjamin Ware. "We believe it is another important step towards the full disclosure of our supply chains announced by Nestlé in February this year, raising the bar for transparency and responsible production globally."