Modern Terminals, China’s major container terminal operator, was losing billions of dollars with their out-of-date paper records system, but thanks to blockchain and a digital ledger, they are on track to massive economic savings.
The blockchain-based technological solution known as TradeLens project was created by Maersk and IBM. Their digital platform that improves the safety and efficiency of information exchange is arguably the future of the global supply chain. In TradeLens trial run alone, they reduced shipment time by 40 percent.
“That is the Holy Grail – one place to see the whole [supply chain] in one spot,” said Peter Levesque, the Group Managing Director of Modern Terminals.
Trade Lens’ biggest asset is their digital ledger, the system that lets participants to announce live updates on the status of containers, effectively cutting costs and saving time.
Previous to the TradeLens involvement, Modern Terminals were experiencing shipping delays, errors, and a frequently interfered supply chain. Business was not running smoothly. With blockchain, the supply chain flows efficiently, significantly improving business.
“All players across the supply chain stand to benefit,” said Vincent Clerc, Maersk’s chief commercial officer.
With Modern Terminals signed onto blockchain, more are sure to follow.