Digitalization of Global Trade: Lessons From Geneva’s Global Grain
Following Alejandro Pernías’ presentation of the edoxOnline platform in South America’s Global Grain held last September, our CEO and President was invited to chair the Digitalization Workshop in its Geneva edition.
Top panellist representing a set of varied services ranging from satellite image analysis to banking debated on how technology can improve efficiency and the transformational aspects of Blockchain in the Agribusiness.
After the event, we asked Mr. Pernías to provide us with additional insights on his main messages during each panel. Here is what we got:
edoxOnline is taking a leading role in the digitalization of global trade, but we can’t do it alone:
“In edoxOnline we work hard to make sure that every single transactional document and related process becomes digital, enabling real-time collaboration of a vast network of participants such as shippers, surveyors, agents, customs, fumigation companies, forwarders and chambers. But to enhance the journey towards a more efficient, sustainable and profitable global trade, we need the contribution of every industry corner”.
We are happy to learn that while GEOGLAM satellite image analysis improves market information and transparency making international markets more effective, SHIPNEXT digital shipping marketplace allows the matching of Cargo-to-Ship with just a few clicks. And if that is not enough, with SEDNA shared-inbox you can organize information, collaborate and monitor your communications.
Digital means a safer, faster and more convenient global trade
“Launching the first eBL under Blockchain technology approved by the International Group of P&I Clubs demanded an enormous amount of resources and exceptional effort from the edoxOnline team, but we knew it was the security that the industry needed to keep embracing digital collaboration”.
Is Blockchain the only solution needed to digitalize commodity trade? Or what are the barriers that prevent market participants from immediately embracing Blockchain? Gladly, these questions are being heard less and less frequently. While Cerealia, a platform already tested by Korel, allows traders to electronically execute the whole trading process using blockchain, Sberbank recently concluded two blockchain transactions making the “unbankable” trades…“bankable”. Also Komgo, a secure decentralized solution is allowing communication between trading companies, inspection, third parties, with L/C auto-matching reconciliation.
The importance of collaboration
“I can’t stress this enough, in the digitalization journey, more important than the quality of the services you provide, is whether you are committed to collaborate with other participants”.
The Global Grain Geneva edition left us with many learnings and conclusions, but if one needs to be highlighted is the importance of interconnecting service platforms and market solutions to automate and streamline most (if not all) Agribusiness processes. The ultimate dominance desired by thousands of stand-alone, individual, internal, custom-made, mine-is-better and specifically-tailored- for-you systems is set for failure, at least that’s what history has shown us.