Starbucks to Track Coffee Using Microsoft’s Blockchain Service
Starbucks is moving to give consumers more information on its coffee
products using a blockchain system that will track beans from “farm to
cup.”
For the effort, the coffee chain is working with Microsoft to harness
its Azure Blockchain Service in tracking coffee shipments from across
the world, bringing “digital, real-time traceability” to its supply
chains, according to an announcement from Microsoft.
With the partnership, Microsoft’s blockchain service will record all
changes along the journey of the coffee on a shared ledger, providing
participants with a “more complete view” of the supply chain.
Starbucks will use all that information to bring a new feature to its
mobile app, giving consumers details on where the coffee was sourced
and roasted, as well as on tasting notes.
As part of its commitment to ethical sourcing, it’s also hoping that
the blockchain system can help benefit growers too, by providing them
with data such as where their beans end up in consumers’ cups. According
to the release, Starbucks sourced beans from over 380,000 coffee farms
in 2018.
“I firmly believe that by empowering farmers with knowledge and data
through technology, we can support them in ultimately improving their
livelihoods,” said Michelle Burns, SVP of Global Coffee & Tea at
Starbucks.
The app will also inform consumers of how Starbucks is supporting these growers, Microsoft indicated.
“This kind of transparency offers customers the chance to see that
the coffee they enjoy from us is the result of many people caring
deeply,” said Burns.
While a date for the launch of the new service has not been revealed,
the digital traceability concept was demoed to shareholders at
Starbuck’s annual meeting in March.
The firm is currently talking to coffee farmers in Costa Rica,
Colombia and Rwanda to find out more about how the project can best
benefit them, Burns added.
Starbucks is notably working with
the Bakkt digital assets and bitcoin futures platform being developed
by Intercontinental Exchange, the parent firm of the New York Stock
Exchange. The coffee company was said last August to be working to
develop “practical, trusted and regulated” applications for consumers to
convert digital assets into U.S. dollars.
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