Lion And Dropchain Partner For Australian, New Zealand Booze Brandsbr>
DropChain, a Singapore start-up using blockchain technology to address the need for transparency and traceability in global food and beverage supply chains, has signed an agreement with Shanghai Great Lion Food & Beverages Management Co., Ltd, a subsidiary of Lion Pty Ltd.
It is a leading beverage and food company with a portfolio that includes many of Australia and New Zealand’s favorite brands, such as Little Creatures Australian craft beer and Wither Hills New Zealand wine. Under the agreement, Lion’s beer & wine products will be among the first to pilot DropChain’s product-tracking protocol.
The lack of transparency and accountability in supply chains enables a market for food fraud, estimated to cost $40 billion annually worldwide. Using a game incentive mechanism underpinned by blockchain technology, DropChain rewards various stakeholders along the supply chain for contributing information on the make-up and movement of products on the platform.
The platform makes the same set of information accessible, allowing for verification of authenticity, notification of food contamination or recalls and, conscious, ethical food consumption.
“Supply chain traceability has been an ongoing conversation for decades because existing solutions fail to align incentives for all stakeholders; it is fundamentally a human problem. We cannot trust the labels on the shelves, or food on our tables as a result of this,” said Billy Chan, CEO and Founder of DropChain.
Chan also founded China-based Foowala in 2015, recently rebranded as part of DropChain, an alcohol distribution network that processes data to help retailers with inventory management.
Lion China has been retailing their beer & wine products on the Foowala platform since 2016. Foowala’s network presents the first deployment opportunity for DropChain, while Chan’s knowledge and experience in retail will inform DropChain’s roadmap.
Shanghai Great Lion Food & Beverages Management Co., Ltd is a subsidiary of Lion Pty Ltd, an Australian food and beverage company with brands, breweries, distributors and retailers across worldwide markets, generating over AUD 4.1bn (USD 2.91b) in annual revenue in 2017. The company has established Little Creatures craft beer bars in Hong Kong, Shanghai, Beijing, and recently opened Little Creatures Singapore, a brewpub that will bring Australia’s most-loved craft beer brand to the city.
“Chinese consumers buy our brands because they believe in the quality of Australian & New Zealand products and want an authentic experience. We look forward to piloting DropChain to build consumer trust & engagement,” said Eugene Chew, Regional Director, Greater China.
DropChain has already spent years building strong relationships with the hundreds of brands on formerly-known Foowala. Lion China will assist in the development of Dropchain and provide access to product, distributors & supply chain. Through this collaboration, DropChain can better understand the pain points along supply chains, as well as prototype and validate their model within a limited distribution channel.