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Innovative Blockchain-Based Approach for Sustainable and Credible Environment in Food Trade: A Case Study in Shandong Province, China

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  • Dianhui Mao

    (Beijing Key Laboratory of Big Data Technology for Food Safety, School of Computer and Information Engineering, Beijing Technology and Business University, Beijing 100048, China
    National Engineering Laboratory For Agri-product Quality Traceability, Beijing 100097, China)

  • Zhihao Hao

    (Beijing Key Laboratory of Big Data Technology for Food Safety, School of Computer and Information Engineering, Beijing Technology and Business University, Beijing 100048, China)

  • Fan Wang

    (Beijing Key Laboratory of Big Data Technology for Food Safety, School of Computer and Information Engineering, Beijing Technology and Business University, Beijing 100048, China)

  • Haisheng Li

    (Beijing Key Laboratory of Big Data Technology for Food Safety, School of Computer and Information Engineering, Beijing Technology and Business University, Beijing 100048, China
    National Engineering Laboratory For Agri-product Quality Traceability, Beijing 100097, China)

Abstract

Agri-food trade has a profound impact on social stability and sustainable economic development. However, there are several technological problems in current agricultural product transactions. For example, it is almost impossible to improve the efficiency of transactions and maintain market stability. This paper designs a novel Food Trading System with COnsortium blockchaiN (FTSCON) to eliminate information asymmetry in the food trade, in order to establish a sustainable and credible trading environment, the system uses consortium blockchain technology to meet the challenge of different authentications and permissions for different roles in food trade. Meanwhile, we have used the online double auction mechanism to eliminate competition. We also have designed a improved Practical Byzantine Fault Tolerance (iPBFT) algorithm to improve efficiency. In addition, a case study based on a series of data from Shandong Province, China indicate that the FTSCON can achieve profit improvement of merchants. Therefore, the proposed system proved to have high commercial value.

Suggested Citation

  • Dianhui Mao & Zhihao Hao & Fan Wang & Haisheng Li, 2018. "Innovative Blockchain-Based Approach for Sustainable and Credible Environment in Food Trade: A Case Study in Shandong Province, China," Sustainability, MDPI, vol. 10(9), pages 1-17, September.
    • Handle: RePEc:gam:jsusta:v:10:y:2018:i:9:p:3149-:d:167569
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    References listed on IDEAS

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    8. Hitoshi Matsushima, 2019. "Information Design in Blockchain: A Role of Trusted Intermediaries," KIER Working Papers 1018, Kyoto University, Institute of Economic Research.
    9. Syaiful Anwar & Tomy Perdana & Meddy Rachmadi & Trisna Insan Noor, 2022. "Traceability Information Model for Sustainability of Black Soybean Supply Chain: A Systematic Literature Review," Sustainability, MDPI, vol. 14(15), pages 1-19, August.
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    14. Vineet Paliwal & Shalini Chandra & Suneel Sharma, 2020. "Blockchain Technology for Sustainable Supply Chain Management: A Systematic Literature Review and a Classification Framework," Sustainability, MDPI, vol. 12(18), pages 1-39, September.
    15. Kapoor, Ishaan & Pratt-Rogers, William & Kahraman, Muhammet Mustafa, 2022. "The problem of conflict minerals: A review of current approaches and a web 3.0 inspired road ahead," Resources Policy, Elsevier, vol. 79(C).
    16. Sudeep Tanwar & Akshay Parmar & Aparna Kumari & Nilesh Kumar Jadav & Wei-Chiang Hong & Ravi Sharma, 2022. "Blockchain Adoption to Secure the Food Industry: Opportunities and Challenges," Sustainability, MDPI, vol. 14(12), pages 1-25, June.
    17. Fu, Hao & Zhao, Cuiping & Cheng, Chuanxing & Ma, Mengyun, 2020. "Blockchain-based agri-food supply chain management: case study in China," International Food and Agribusiness Management Review, International Food and Agribusiness Management Association, vol. 23(5), February.
    18. Zhihao Hao & Dianhui Mao & Bob Zhang & Min Zuo & Zhihua Zhao, 2020. "A Novel Visual Analysis Method of Food Safety Risk Traceability Based on Blockchain," IJERPH, MDPI, vol. 17(7), pages 1-18, March.
    19. Ashkan Pakseresht & Sina Ahmadi Kaliji & Vilma Xhakollari, 2022. "How Blockchain Facilitates the Transition toward Circular Economy in the Food Chain?," Sustainability, MDPI, vol. 14(18), pages 1-22, September.
    20. Song, Luona & Qi, Jiayin & Lu, Tingjie & Zhang, Kai, 2019. "Research on the impact of the blockchain-authenticated information on consumers' perception towards traceable products: Evidence from JD," 30th European Regional ITS Conference, Helsinki 2019 205214, International Telecommunications Society (ITS).

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