SunMoon invests in Blockchain for transparency, traceability in supply chain

• SunMoon is working with Singapore startup DiMuto to build a Blockchain platform that promotes food safety, product authenticity and resolves supply chain inefficiencies.

• The platform, said to be the first of its kind in Asia, empowers SunMoon stakeholders such as B2B and B2C customers to trace product origin and authenticity.

• DiMuto’s underlying technology also promotes collaboration among all stakeholders through transparency of product flow, live data and settlement information, and helps scale up SunMoon’s Network x Geography x Product business model exponentially and efficiently.

SunMoon Food Company, a global distributor and marketer of fresh fruits, vegetables and fruit-derived products, will apply Blockchain technology to its global supply chain to reap the benefits of food safety, data transparency through product traceability, the tracking of movement product flow and movement of goods.

The benefits derived for SunMoon B2B stakeholders mean that Blockchain technology will potentially bring more distributors around the region to join SunMoon’s network, expanding its Network x Geography x Product (NxGxP) business model. The model currently has 15,000 points of sale serving over 100 million households in 11 countries on three continents, with over 100 product types under the SunMoon and Ecofresh brands.

This development is also expected to encourage B2C consumers to buy more SunMoon fruits and products as customers are better assured of their origin and quality.
 
SunMoon Deputy Chairman and CEO Gary Loh says, “We are pleased to take the lead in efforts to improve food safety. Blockchain addresses consumer concern over food safety as it enables real-time tracking of a fruit’s origin from farm to fork. With Blockchain, we also strengthen our ability at the B2B level to buy and sell any fruit from and to anyone, anywhere, with no trust issues. This technology adds another building block to our technology platform and integrates seamlessly with our NetSuite ERP system.”

Blockchain allows the transparent sharing of data, recording transactions among multiple parties and improving the traceability of goods. It can apply to activities like transactions, data capture, contract management, and more along the chain. With transparent, decentralised records, and data protected by cryptography, it allows information to be recorded uniformly and consistently. The quality of goods can be captured and monitored reliably along the supply chain.

Using the DiMuto platform: 

➢ Fruits will be tagged with proprietary Internet of Things (IoT) codes or radio frequency identification (RFiD) tags, barcodes and similar technology so that every item can be tracked digitally. This eases SunMoon’s process in settling disputes among buyers, sellers and consumers using immutable information stored in DiMuto’s platform.

➢  The platform gives the relevant authorities a “live” record of all data in accordance to their terms, enabling improved operational processes, such as faster customs clearance.

Additionally, the ability to track information and goods through DiMuto’s platform is expected to place SunMoon in a better position to secure more capital funding.

DiMuto, developed in collaboration with Singapore-based Ascent Technologies, 1Citadel and Ceito, is wholly owned by First Alverstone Capital Ltd (FACL). FACL is a Singapore-based private equity firm helmed by Loh and his wife Selena Cheng, the MD of FACL.

Loh, who is also FACL Chairman, adds: “First Alverstone is happy to see its investee companies like SunMoon enjoy the synergies of being part of a private equity’s bigger ecosystem."