Agribusiness giant Bunge and Thai conglomerate Charoen Pokphand Foods (CP Foods) have teamed up to test a blockchain-powered traceability platform for shipments of deforestation-free soybean meal.
The two companies have so far shipped three vessels totalling 185,000 metric tons of soybean meal from Brazil to Thailand, with the products fully traceable from farm origin to final delivery.
"This marks a significant milestone for CP Foods to achieve 100% deforestation-free supply chains by 2025," said Paisarn Kruawongvanich, chief executive officer of Bangkok Produce Merchandising, a CP Foods subsidiary.
The soybean shipments comply with the companies' socio-environmental supplier verification protocols and have grown in high-priority regions with zero deforestation since 2020, aligning with CP Foods' sourcing standards.
In addition to traceability, the blockchain platform also provides customers with information on the carbon footprint of the volumes sold and whether the farms have adopted regenerative agricultural practices.
"Adding a layer of blockchain technology improves the transparency in end-to-end traceability that Bunge has been doing for some years," said Rossano de Angelis Jr, Bunge's vice president of agribusiness in South America.
The partnership comes as global food and agriculture companies face increasing pressure from consumers and regulators to improve the sustainability of their supply chains, particularly when it comes to commodities like soy that have been linked to deforestation.
Bunge currently monitors more than 16,000 farms covering around 20 million hectares in South America, using satellite technology to identify changes in land use and soybean planting. Over 97% of the soy it sources in Brazil is deforestation and conversion-free.
"This ability to increase end-consumer confidence in soy projects is only possible thanks to the robust supplier's socio-environmental verification and monitoring system that we have structured over the last decade," de Angelis added.
The ongoing collaboration between Bunge and CP Foods aims to further automate the connection between their supplier management and monitoring systems with the blockchain-powered traceability platform.
For Bunge's distribution director in Asia, Mohit Purbey, the project exemplifies the company's ability to create tailored sustainability solutions for its customers.
"It is also an example of how Bunge can create tailored solutions to help our customers fulfil their own sustainability commitments," Purbey said.
