As you calmly sip coffee while sitting at your home, the government has taken a very big step to revolutionize the coffee industry which will help more than 35,000 coffee farmers and improve the brand recognition of Indian produce globally.
On 28th March 2019, the blockchain-based online marketplace for coffee has been launched by the Ministry of Commerce and Industry in Delhi. This app aims to integrate the farmers with the marketplace in a transparent manner and the most important thing is that the farmers will be the controller of the price.
The app has launched in a tie-up with Coffee Board of India to become the first marketplace on blockchain technology in the country. It has been developed by the Eka software which is a Bengaluru – headquartered digital commodity management platform.
The whole idea behind developing this app was to make the transaction between coffee producers and buyers transparent. The buyers and producers will have to bid on the app, but the producers will have the upper hand as the last decisions will be their’s making them the decision maker.
According to Srivatsa Krishna, who is the CEO & secretary of the Coffee board and also an ex IAS officer, there are issues like, farmers don’t want other farmers to know their price. While producers also don’t want other producers to know the price they are quoting. This app will help them in overcoming those problems.
The app will run in the pilot phase for the next 3 months and if successful, more implementation will be done on the app to commercialize it. After Ethiopia and France, this is the 3rd online platform in the world which is based on blockchain technology in the Coffee industry.
What amazes us is the fact that it totally removes the dependency on the middlemen and gives complete freedom to the buyers and producers to interact directly and take their transaction forward.
This invention has opened door to the possibility of a similar kind of implementation in other sectors also. Coffee has gone digital now and as we take the sip of freshly brewed coffee we hope that with this platform our farmers get the right price for their produce.