Global aid and development organization Oxfam has developed a blockchain solution to help rice farmers in Cambodia earn fairer wages. With the initiative “Blockchain for Livelihoods from Organic Cambodian Rice, the farmers should have the opportunity to follow their crop. This is to ensure that the farmers receive a certain share of the final price for their harvest.
The “Blockchain for Livelihoods from Organic Cambodian Rice” pilot project, also known as Blocrice, focuses on the province of Preah Vihear in the north of the country. Mainly all contracts that close farmers with traders, groups, and sellers along the supply chain are to be digitized and stored using blockchain technology. For example, the price traded first, the total trading volume and the final price are stored and can be compared with each other.
The pilot project will initially involve 50 farmers who will be able to track their harvest through this mechanism. Oxfam hopes to help the peasants to empower themselves and to negotiate more equitable terms for themselves in the future. The negotiation mass should be the data stored on the blockchain.
Cambodia As a Favourable Location for Blockchain Adaptation
Experience shows that new, disruptive technologies such as blockchain are rather easy, especially in low-developed countries. Since there is a lack of mature and viable administrative structures in many developing countries, the adaptation of the Blockchain is finding fertile ground.
In the case of Cambodia, too, this rule of thumb applies. In most cases, farmers suffer from dire poverty. This also goes back to exploitation and unfair pay by industrialized nations. Often, lack of protection mechanisms on the part of the state is responsible.
“The mere fact of being registered as actors on the Blockchain platform means that people play a role. Blocrice will give them a platform to strengthen themselves,”