In a press release this weekend, commodity trading and management systems company The Seam announced that it is collaborating with IBM to create a cotton industry consortium devoted to the creation of a blockchain-based “supply chain and trading ecosystem.” The effort will make use of IBM’s blockchain technology and expertise, and will use the Hyperledger Fabric in an industry-first.
The Seam’s Chairman and CEO Mark Prior expressed his company’s optimism:
“This new technology will be transformational for the cotton industry. There are numerous organizations, processes, systems and transactions involved from field to fabric. Situated at the intersection of agriculture, finance and technology, The Seam with the help of IBM, is uniquely positioned to introduce blockchain technology to cotton-affiliated businesses worldwide.”
In the hands of another company, the task might appear to be too great a challenge. The Seam, however, has a track record of success when it comes to innovative transformation of this kind. The company launched the first neutral, online cotton trading exchange back in 2000 – an exchange that has seen tens of millions of trades since beginning operations. Just four months ago, the company introduced a commodity management platform to service the peanut industry.
Given that history of success, there is every reason to be optimistic that this partnership will bear fruit for the cotton industry and everyone associated with it. For its part, IBM shares that optimism. As IBM Research Sr. Vice President Arvind Krishna said, “A consortium approach using IBM Blockchain and the Hyperledger Fabric can help create greater efficiency and serve as the foundation of a robust system for massive collaboration.”