The supply chain value of pod and pgi food products through the application of blockchain

The agri-food industry is one of the largest in the world and includes all the activities aimed at the production, processing and distribution of food products. Food, culture and fashion are among the elements that characterize Italy in the world. The Mediterranean diet, its products and its dishes are imitated in every part of the globe with “Italian sounding" products. The economic data for 2017 show that the PDO and PGI production in Italy have a value of 15.2 billion euro, equal to 18% of the total turnover of the national agri-food sector. On the export front, the Made in Italy quality production continues to grow, reaching € 8.8 billion in 2017, accounting for 21% of Italian agri-food exports. The complexity and the value of the agri-food chain are the reasons behind the technology sector, and in particular of blockchain-based projects. The focus on the food market must be sought in the challenges it faces such as the fight against fraud and counterfeiting, food security and the redistribution of value along the supply chain. It is not only the need for transparency, however, that makes the agri-food sector an ideal ally of blockchain technology. Historically, the food production sector and, in particular, agricultural products, have been characterized by the presence of small and medium-sized producers, characterized by their low bargaining power. Within this context, the blockchain can play a leading role in the exchange of goods and services that make it possible to democratize the supply process, making the relationship between small farmers and big buyers fairer. The main elements that motivated the research on the Blockchian Partenership Iinitiative were to reduce the information asymmetry, trying to decrease the distance between producers and consumers, and making the “value” of the supplì chain of quality products PDO quality and PGI through the Distributed Ledger Technologies, therefore in the supply chain there are some phases of the process that are not officially codified, which represent a gap to be filled to protect the consumer.