Blockchain company VeChain joined mayor financial players Mastercard and Alipay as firms backing the new Asia Pacific Provenance Council. Already the new consortium has secured millions of dollars of funding to develop a supply chain tracking system in the region with ever larger growing trade.
The pilot programs include the tracking and authentication of such products as food and wine, all whilst using blockchain solutions. The major prize to be had are to be accepted to track the $76 billion of exports from Australia to China.
Whilst Mastercard will be responsible for trade financing outside of China and Alipay Australia for goods headed to China, it will be VeChain (or Mastercard’s Provenance system) that will track the products on the public blockchain.
CEO of VeChain, Sunny Lu commented: “the implementation of blockchain technology certainly contributes to buffering the immediate economic impacts of the pandemic for enterprises, and will help improve productivity by unleashing more resources and growth opportunities.”
Australia – China tensions
In 2019 alone, Australia’s share in the value of exports to China reached a record 38%, larger than any other country.
In recent weeks however there have been tensions between the two nations as the Australian call for an international investigation into the corona pandemic continues to put pressure on its relations with China. The Australian Foreign Minister even urged Beijing not to heighten the ‘economic pressure’ over the issue.
China of course sees no need for such an investigation. The Chinese ambassador to Australia warned in an interview that Chinese consumers may decide to boycott Australian products and universities because of the matter.