UAE – Chemical manufacturing company SABIC in collaboration with Finboot, Plastic Energy and Intraplás has introduced a pilot project to study the use of blockchain technology in end-to-end digital traceability of circular feedstock in customer products.
The pilot project is aimed at investigating the possibilities of blockchain technology in supporting end-to-end digital traceability for so-called circular feedstock in customer products.
The companies say that tracing the journey of feedstock through the petrochemical value chain is currently a difficult undertaking.
SABIC claims its blockchain-based, value-chain IT solution, which will focus on its TRUECIRCLE portfolio of feedstock certified as circular by Net Zero Plastics, will be the first project of its kind in the industry to trace the product from feedstock production to converter.
The company adds that the platform will offer reduced costs and time, as well as improved data integration for all value chain partners.
In addition, SABIC says that blockchain technology will be able to validate sustainability proof points and organizations’ ESG credentials.
The company explains that this will benefit all members of the value chain, including external parties, as it reduces the administrative efforts associated with the certification process of materials while reportedly being a more reliable process due to the reduced risk of human error.
Waleed Al-Shalfan, Vice President of Polymers Technology & Innovation at SABIC, said: “Our vision to create a circular economy for plastics requires a total transformation of the value chain, and pioneering partnerships with partners both upstream and downstream.
“Blockchain technology holds exciting potential for the provision of our TRUCIRCLE products to customers, and therefore for our commitment to supporting customers in their sustainability ambitions.”
As part of the consortium, Finboot’s MARCO software solutions apparently act as a middleware layer and will track the TACOIL produced by Plastics Energy from their recycling process, the delivery of this oil to SABIC for conversion into its TRUCIRCLE circular polymers, and finally the delivery of the polymers to Intraplás for conversion into their packaging solutions.
The companies claim that this technology ensures that all data gathered remains immutable while shared across suppliers, customers, and regulators.
This provides transparency, auditability, and accountability in a complex industrial ecosystem, according to the companies.
Juan Miguel Pérez Rosas, CEO of Finboot, concludes: “We are excited to embark on this pilot as it will significantly contribute to the development and progression of a circular economy while setting the example for best practices for the global manufacturing sector.”
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