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Four ways to use Blockchain In Agriculture

blockchain technology in agriculture, blockchain, blockchain technology, smart contracts, blockchain in agriculture

Blockchain In Agriculture

Food is vital for human beings, that’s why buying high-quality products is very important for us. Of course, it’s better to purchase food from proven farms, especially if we speak about meat, fruits, and vegetables. Nowadays, new technologies are widespread in agriculture. For example, there are robotic applications that help increase agricultural productivity. In past, it was quite difficult to follow the way that products moved from farms to the market. Blockchain has changed almost all sectors including the agricultural field.

Blockchain Perspectives in Agriculture

Blockchain technologies are able to accelerate and simplify the decision-making process and, as a result, it will increase competitive ability. The development of the agricultural market is defined by two groups of factors:

  1. population growth and the growth of demand for food
  2. the growth in demand for high-quality organic products

The food supply for human beings requires the solution of two problems:

  • The organization of efficient logistics and funding of purchases
  • Food quality control and prevention of food adulteration

Blockchain technology can solve these issues because a unified environment for data exchange allows arranging the supply chain, e.g. establish contacts between suppliers, carriers, customers. By the way, for increasing purchases, you may want to try an agricultural CRM system. Moreover, it’s possible to use blockchain in the certification of manufacturing and food processing.

Blockchain Advantages in Agriculture

  • Transparent supply chain

    • There are a lot of consumers who are ready to pay for extra information about a product. Blockchain makes it impossible to falsify the certification. Nobody can change the record secretly. Label with a QR code can provide a client with all the data about the product. Everything will be shown on a consumer’s smartphone.
  • Fraud prevention

    • Blockchain makes it possible for one side to protect itself from fraudulent actions. As a result, unstipulated price reduction or increase will be out of the question.
  • Investments’ attraction

    • Initial Coin Offering or ICO is a new way for small farms to attract investments.
  • The power of smart contracts

    • It’s unnecessary for farmers to wait for payment any more. Smart contracts are written in the form of code and they are fulfilled automatically.
  • Blockchain-based stock exchange

    • Now blockchain is represented on stock exchanges. It means that farmers are able to trade futures contracts where the cost is fixed. So, a farmer will receive the indicated price and a buyer will not suffer from price fluctuations.
  • Agricultural cryptocurrency becomes real

    • Bitcoin is quite popular, so there is one more cryptocurrency that was created only for the agricultural sector. It’s called PavoCoin.

4 Use Cases For Blockchain in Agriculture

blockchain technology in agriculture, blockchain, blockchain technology, smart contracts, blockchain in agriculture

Tracking food origin and its safety

Buying an apple or a piece of meat in a supermarket, customers are not able to make sure that the products are safe. Of course, stores should have all documents and certifications, but a customer cannot say if it has any deleterious bacteria or not. Blockchain solves this problem and gives all information about the product.

Blockchain-based software will keep all records, e.g. when the apple was born, how it was feed, and so on. This knowledge will increase consumers’ trust and provide the ability to know what they eat.

Making preventions from possible raw material adulteration

Farmers need to have an opportunity to check the quality of the grain, seeds, and compound feedstuff that are used to breed healthy animals, fruits, or vegetables. Blockchain makes it easy for farmers to see what raw material they are going to buy.

Decentralization of companies

Large companies used to dictate the terms set prices and tell farmers what to grow. Now, blockchain gives small companies opportunities to become important participants in the agricultural market. For example, a small company buys a farm share and a farmer gives food only to this company during the season. Benefits are obvious. The farmer has stable work and funding, and the consumer has good products at a reasonable price.

Proper quality control using the Internet of Things

Quality is an extremely important factor and the Internet of Things can make its contribution. Irrigation amount, soil quality, and so on can be monitored with the help of special sensors and appropriate software. This information can be put in blockchain and, as a result, consumers are able to look through all this data.

Agriculture blockchain startups

I’ve prepared some successful examples that show the use of blockchain technology in agriculture. is a startup that was born in San-Francisco in 2017. This service makes tracking process simpler. Moreover, it detects humidity, ripeness, and temperature of the product. A farmer can improve the system of delivery because now there is a chance to know the condition of food at the destination.


This solution is based in Australia and helps create smart contracts. Also, AgriChain makes it possible for farmers to register the information about fertilizers and compound feedstuff they receive.


The company called Pavo is based in the US and has subsidiaries in a lot of countries. It created the PavoCoin system to help farmers monitor the process of crop cultivation. All information is kept on the blockchain that provides security.

As you can see, blockchain technology in agriculture has a lot of perspectives. The development of blockchain-based software will make your farming process better.

Author’s bio: Nataliia Kharchenko is a Technical Writer at Cleveroad. It is a web and mobile app development company in Ukraine. We are focused on helping startups, small, and medium businesses create competitive and winning software. I enjoy bringing a digital world closer to people and writing about technology, mobile apps, innovations, and progressive management models.

More on this topic: Smart Autonomous Farm Equipment


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