Identifying Practical Applications of Blockchain Technology in Agriculture

Abstract

Blockchain, also known as distributed ledger technology, is considered to have the potential to cause significant economic, political, and social transformations in India. Blockchain technology has been most helpful in understanding the source and journey of produce in agriculture. This is vital for farmers and consumers: it authorizes farmers to bargain for better prices throughout the supply chain while giving consumers confidence in knowing exactly where the produce comes from. This is crucial considering the growing lack of trust in sourcing produce sold in markets. While still challenged with fundamental limitations, Blockchain technology is a transformative Information and Communications Technology (ICT) that has changed our notion of trust. Improved efficiencies for sustainable agricultural development have been demonstrated when ICT-enabled farms have access to knowledge banks and other digital resources. The visible effects of this technology are already being noted there. This paper presents early evidence linking the use of blockchain in overcoming agricultural challenges facing India. The paper examines blockchain technology's impact and critical applications in agriculture and the food supply chain. It demonstrates how blockchain can help promote transparency, build trust and reputation, and enhance transaction efficiency. This paper looks at opportunities and key triggers for blockchain diffusion in agricultural practices in India. It also delves into challenges and obstacles developing economies will likely encounter in using blockchain.