New Global Blockchain Alliances Vie for Ocean Cargo Supply Chain Dominance

CargoX is launching CargoX Smart B/L platform today, claiming that it is the “first open, neutral blockchain platform” in the shipping industry for real-world commercial use.

Numerous global companies are already using the solution, spokesmen added.

This includes Swiss global logistics specialist Fracht AG.

Tech consultancy companies such as DBA Group from Italy and Actual Group from Slovenia also comprise regional logistics companies embracing the platform.

This news comes in the wake of last week's announcement by nine leading ocean carriers and terminal operators who signed a formal statement of intent for a Memorandum of Understanding (MOU) to form a consortium to develop the Global Shipping Business Network (GSBN). This, too, is an open digital platform based on distributed ledger technology.

The participants include ocean carriers CMA CGM, COSCO SHIPPING Lines, Evergreen Marine, OOCL, and Yang Ming; terminal operators DP World, Hutchison Ports, PSA International Pte Ltd, and Shanghai International Port; and software service provider CargoSmart.

This new platform is designed to establish a digital baseline that aims to connect all stakeholders, including carriers, terminal operators, customs agencies, shippers, and logistics service providers to enable collaborative innovation and digital transformation in the supply chain.

Conspicuous by its absence is the Danish ocean carrier giant, Maersk Group, which has been working with IBM on its own blockchain service for the past year.

Lionel Louie, chief commercial officer of CargoSmart, told SCMR in an interview that he could not comment on why Maersk was not joining GSBN, but offered this observation:

The consortium's leading members intend to collaboratively develop the platform and establish standards to facilitate the seamless sharing of documents and data across all stages of the shipping lifecycle.

“GSBN participants will collaborate in working groups in different areas and invite industry experts as needed to contribute and co-create solutions to create value for all industry players,” he says.

For example, today, carriers and terminals have different definitions of milestones in the supply chain. One example is the actual time of arrival (ATA). Terminals measure it as the date and time when a vessel is berthed and carriers measure it as the date and time when a vessel has arrived at the port area.

“The consortium provides a forum for the stakeholders to discuss and mutually agree on a standard or clarify the labeling,” adds Louie. “This will create value by supporting all parties to reach consensus on a common set of definitions for business decision making.”

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