A new blockchain solution for international logistics and trade has been launched by Maqta Gateway, an exclusively owned subsidiary of maritime industry developer Abu Dhabi.
Being the first of its kind in Abu Dhabi, the blockchain solution called ‘Silsal’, Arabic for ‘chain’, will make it possible for real-time monitoring of cargo and paperless documents while bringing time effectively and improve on the general efficiency of international trade on a decentralized ledger.
The blockchain solution was launched to connect exporters and importer in an industry that is known to be hostile to digitization and by cutting down on the need for manual paperwork, communication and physical trips with faster, real-time data transfer over a decentralized ledger.
It is high time for the international shipping industry to have interference with the World Economic Forum (WEF) guessing that blockchain technology could possibly cut down on about 20 percent of the overall physical transportation cost, reducing cost by an estimated $1 trillion in international trade.
“[B]lockchain is a key step in the digitalization of trade,” said Dr. Noura Al Dhaheri, CEO of Maqta Gateway, adding:
“Through Silsal, we will be offering the trade community secure and integrated access to blockchain technology, with the added value of cost and time savings through real-time track and trace, reduction in paperwork and ease in extracting vital information to receive live updates.”
It will also be possible for the platform to effectively encrypt and safely secure and safely protect all relevant transport document including the bill of lading, booking, delivery and transport orders.
Created by the Digital Innovation Lab of Maqta Gateway, the blockchain was initially put to trial with specific customers of Abu Dhabi Ports before launching and will go through a commercial rollout to load forwarders and their customers at first. Next, the technology will be made available to the rest of the trade community as a ‘complementary tool’ together with the present Maqta’s Port Community System, a move that will enable fast-track adoption.