BEYOND the BLOCKCHAIN Out-Of-The-Box Thinking by Agri-Companies, Development Cooperations and Tech Startups

BEYOND THE BLOCKCHAIN Out-of-the-box thinking by agri-companies, development cooperations and tech startups FOR COOPERATIVES COLOPHON INTRODUCTION SMALL FARMERS, BIG DEAL Agriterra is the initiator of In the third edition of the Mauritshuis conventions, the ‘Small Farmers, Big Deal’ Agriterra brought together companies concerned campaign. We professionalise with farmers’ organisations and cooperatives. cooperatives and farmers’ organisations worldwide. This Our goal was to show the business opportunities gives the farmers themselves that family farmers in developing countries have better prospects, which in to offer. Across Asia, Africa and Latin America, turn allows them to become many small-scale farmers are facing a reduced better partners to the agri and volume of production. Building strong chains food businesses interested in with cooperatives, like we did with seed and cooperations. sourcing companies, can help us solve this problem. SPECIAL THANKS TO Chris Addison Technological developments like blockchains Marten van Gils are increasingly helpful to involve small-scale Ad Rietberg Marieke de Ruyter de Wildt farmers. However, scaling up the many available, Sjaak Wolfert successfully piloted solutions, for phytosanitary Michaël Wilde assistance or digital payments for example, is hindered by the costs. Not to mention access to CONTACT (phone) connectivity and digital literacy skills. smallfarmersbigdeal.nl ‘We think the answer lies in involving the whole Twitter: @sfarmersbigdeal value chain in a common production plan and [email protected] bundling their solutions, as well as involving the farmers themselves.’ We need to earn the CONCEPT & DESIGN farmers’ trust, to show them there are financial Food Cabinet opportunities for them. And we need ambitious cooperatives to lead the way. FINAL EDITING Janno Lanjouw Elysia Brenner This magazine offers concrete examples where Agriterra can add value: from involving farmers TRANSLATION in the development of new internet applications, Het Vertaalcollectief train and advise farmers on subjects such as connectivity, digital literacy skills, privacy and PHOTOGRAPHY data ownership. We also explore how farmers Nichon Glerum can be involved in the development of (Mauritshuis convention and applications for the Internet of Things – an portraits) opportunity for farmers to start a movement to put farmers’ interests first. Through out-of-the- ILLUSTRATION Visuele Notulen box thinking by agri-companies, development cooperations and tech startups, Agriterra is © Agriterra 2018 setting the stage for a new phase in our ‘Small farmers, big deal’ campaign. Kees Blokland, Agriterra 2 CONTENT 4 BEYOND THE BLOCKCHAIN 6 REFLECTING ON THE HACKATHON SPRINT SESSIONS 8 HOW SAVING WITH BLOCKCHAIN TOKENS CAN FIGHT POVERTY AND HUNGER IN AFRICA 10 THE REVOLUTIONARY POTENTIAL OF THE INTERNET OF THINGS 11 PRECISION AGRICULTURE FOR SMALLHOLDER FARMERS WHAT IS A BLOCKCHAIN? A blockchain is a database with four important characteristics: 1. The blockchain is open to all contributors; 2. Data in the blockchain cannot be altered once the data is entered; 3. Data is distributed evenly without one particular controller and 4. Everyone has access to the same information. The whole blockchain system is built around trusting computational power. The system shows where data comes from and who the owner of that specific data is – that’s the key. This allows the participants to verify and audit transactions inexpensively and creates interesting possibilities for agriculture and transparency in supply chains. 3 BEYOND THE BLOCKCHAIN On Monday 14 May, Agriterra organised the third edition of the Mauritshuis Convention in The Hague. Food specialists, tech developers, farmers, NGOs, startups, retailers and government representatives gathered to explore the area of blockchain technology. It was a chance to share knowledge, explore opportunities and make an effort to strengthen the connection between the agricultural and tech sectors. Connecting farmers and technology There are many applications that can Helen Kranstauber, founder of Food be used at a pilot level, but taking it to Cabinet and moderator of the event, the next level requires larger budgets. opened the event by advocating for Blokland advocates for a business-driven conversation and transparency as the approach: ‘We would like to develop an necessary ingredients to connect the applied blockchain project, bringing two worlds. Next, Kees Blokland, director all parties in a chain together in one and founder of Agriterra, was invited on business case to build one technology stage, where he stressed the urgency of package of different services for farmers.’ the event and explained Agriterra’s role in it: ‘Agriterra facilitates partnerships One simple application between Dutch businesses and farmer Next, Hans Docter, Director of Sustainable cooperatives. We advise, train and Economic Development in the Dutch exchange.’ Ministry of Foreign Affairs, explained how the power of technology and Establishing a connection and good innovation has been placed centre stage. communication with farmers in ‘It is a powerful tool for development. developing countries is challenging Administrative assistance, for example, and requires lots of paperwork and previously involved many people and lots handwork to get data into the system. of paperwork, but now can be executed Reducing these costs is very important.’ using one simple mobile application.’ 4 What about privacy? Who owns the data entered in the blockchain? And is the instrument solely meant to build trust? According to Wilde, ‘We face a huge number of environmental and social challenges in our journey towards a more sustainable food system. We need to consider them in every business choice we make. Besides, there is no sustainability without transparency.’ And, luckily, transparency is what blockchain is Docter noted that the agricultural all about, Wilde said. ‘That’s why we are sector has been slightly affected by particularly interested in going down this technological developments like this, road.’ but farmers still don’t have enough access to smart technologies, especially De Ruyter de Wildt chimed in to help in developing countries. ‘Inclusion and define what exactly a blockchain is – fairness are important when reducing according to her, a database with four poverty. Technology and blockchain characteristics: it is open, cannot be systems can make a difference!’ altered, distributed evenly without one particular controller and gives everyone You snooze, you lose access to the same information. ‘The After these interesting insights, the whole blockchain system is built around, Fountainheads took us on a quick not trusting each other, but trusting theatrical journey exploring the future computational power. The system shows and all the technological opportunities where data comes from and who the that lie ahead. Times are changing and owner of that specific data is – that’s it is up to you whether you embrace the the key. Working with blockchain unknown or continue your business as layers shows that you, as a brand or usual. ‘Take calculated risks and start organisation, have nothing to hide.’ today. You snooze you lose, so get up and move.’ ‘ There is no sustainability All about transparency Michaël Wilde, Sustainability & without transparency.’ Communications Manager at Eosta, and Marieke de Ruyter de Wildt, founder of Michaël Wilde The Fork, discussed what blockchain Sustainability & Communications technology means to them. It is clear Management at Eosta that blockchain technology is complex and takes time to implement. Important questions still have to be answered. 5 REFLECTING ON THE HACKATHON SPRINT SESSIONS Throughout the day it became clear that blockchain technology brings many challenges, but also opportunities. Start experimenting and keep it simple. That is exactly what the attendees did during the sprint sessions. In three groups the professionals explored the link between blockchain technology and the world of coffee, potatoes and fruits & vegetables. Can we put coffee in the ‘It is our belief and experience that blockchain? blockchains help establish trust in chains ‘The longer the chain, the more complex again.’ Fairfood’s blockchain system and wasteful,’ Marten van Gils of Fairfood maps and records the journey of a began his sprint session. This is also the thousand coconuts. Each coconut was case in the food industry, which accounts sold with a code the customer could for 1/3 of all energy consumption in the use to learn about the entire production world. How do you make a sustainable process. The result: a transparent and choice when you have no idea what you traceable chain and liveable wages are consuming or where your food for small farmers. The perfect pilot, comes from? encouraging the creation an open-source, Wordpress-like blockchain toolkit. ‘We discussed the added value, the functionality and conditions for such an open-source toolkit, using the coffee market as an example,’ Van Gils shared. ‘Time-saving was considered most valuable. However, throwing all the data on one pile is not enough. The most important functionality was the ability to analyse the data and provide insights.’ Van Gils concluded, ‘Everyone seems to want an open-source code, but what about competitors? Is everyone willing to cooperate? Events like this are refreshing, confronting and informative. They help you look at your project from a different perspective.’ He emphasised the need to keep exploring, especially

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