SDP 2021: Regulatory overhaul needed to ensure blockchain implementation

2:32am 2nd April 2021





An overhaul of the regulatory framework and more collaboration is needed to increase the use of blockchain in the maritime sector and global supply chain, even if there is evidence of more stakeholders seeing the benefits the technology has to offer.

Blockchain has become one of the most popular smart technologies for ports because of its security and ease of use. Most major ports and carriers have sought to launch joint blockchain projects to improve trade, however, there are still serious barriers to implementation.

Speaking during the ‘Ports Innovative Uses of Blockchain Technology’ session on Day 2 of Smart Digital Ports of the Future (SDP 2021), Aliosja Beije, Director, Blocklab, said one of the biggest problems is that exchanging trade documents digitally is still not permitted in many parts of the world.

“In most countries, it still not allowed to transfer Bills of Lading, the legal framework needs to be updated and we need to emphasize the advantages of blockchain,” Beije said.

“We need to collaborate, it makes no sense to use blockchain only within your four walls and this will mean reaching out to stakeholders and even competitors,” he continued.

Utilizing blockchain, Beije explained, is a long process and that is why many projects are not completed. The lack of fulfillment, according to Beije, is more a question of governance and a lack of understanding of what blockchain can do, as opposed to flaws in the technology itself.

The concept of the blockchain-based electronic Bill of Lading (e-B/L) has been talked about for some years. Development has accelerated throughout the COVID-19 pandemic due to the necessity for completing vital paperwork.

With customs officials and shippers unable to physically sign the Bill of Lading due to remote working and lockdown measures, containers were unprocessed at ports. Some stakeholders, including port authorities and terminal operators, have sought to use blockchain to prevent similar logjams.

“In the last couple of years there have been a lot of attempts to develop blockchain solutions and some have been better than others,” Beije said.

“The challenge for some companies and stakeholders is to rethink how they radically organize their business and use technologies to revolutionize their operations.”

4:20am 29th March 2021
Suez Canal: Ever Given container ship shifted from shoreline

The stern of a huge container ship that has been wedged across the Suez Canal for almost a week has ...

Read more

11:19pm 25th March 2021
Delivery Drones: The Future of the Delivery Business?

HOW ARE DRONES BEING USED TODAY?Drones have become a part of our everyday life routine. Quick techno...

Read more

10:44pm 24th March 2021
Logistics Middle East award for Navigators Shipping

Breakbulk Operator- highly commended24-03-2021, Dubai: The night was truly momentous for the team Na...

Read more

10:44pm 22nd March 2021
Maritime India Summit 2021 sets roadmap for India’s Maritime sector

“Visualise a roadmap for India’s Maritime sector and work to propel India to the forefront of th...

Read more

Our Partners

Copyright 2021 © FPS Group All right reserved.