Bunge, CP Foods Partner on Blockchain for Sustainable Soy Traceability

Bunge is partnering with Bangkok Produce Merchandising Public Company Ltd (BKP), a subsidiary of Charoen Pokphand Foods Public Company Ltd. (CP Foods), to develop a blockchain system for the traceability of soy and deforestation-free products.

The program will focus on grain sourced by Bunge that is destined for countries across Asia where BKP and CP Foods produce and sell both food and feed. Through the venture, both companies will be able to conduct technical, commercial, and operational feasibility studies to build a sustainable supply chain that integrates digitization and works to transform traceability data from the field to the customer.

CEO of BKP, Paisarn Kruawongvanich, noted that this agreement aligns with the company’s commitment to achieving a net zero supply chain by 2050, adding that tracing soy back to its source to ensure both directly and indirectly that raw materials do not originate from areas of deforestation is key to this goal.

Bunge currently monitors more than 16,000 farms encompassing as many as 20 million hectares in South America by utilizing satellite technology capable of identifying changes in land use and soybean planting on each monitored property. In Brazil, the company monitors all of its direct supply chains and is moving toward fully covering its indirect supply chain by 2025.

By combining efforts of the two companies, the scale of the initiative has the potential to raise standards of transparency in the Brazilian soy value chain even further, and increase consumer confidence in soy-based products on a global scale.

More on this story.