The Port of Veracruz will host a blockchain project to be run by decentralized logistics platform dexFreight and Texas A&M Transportation Institute (TTI), according to a statement.
It will be tested primarily blockchain’s potential for improving the safety and security of freight transportation within the port communities.
dexFreight’s platform, which will be used in the project, will incorporate smart contracts built on industry-standard tokens that allow payments to be exchanged for verified shipment milestones.
Whereas dexFrieght is providing the technology experience, TTI will contribute its supply chain expertise and logistics analysis to the project.
What is blockchain and what potential does it have for logistics? Find out a Port Technology technical paper
The Port of Veracruz transports 1.12 million TEUs a year, which makes it the third busiest container port in Mexico. Its ambition is to handle more than five million TEU by 2030.
Speaking about the project Baruc de la Fuente, administrator for Veracruz Customs, said: “The project and the Port Community System are critical in improving trade efficiency at the port and being competitive.
The aim of the Port Community System is to reduce the time and effort it takes to securely export and import containers through the port and provide much better service to the customers.”
Juan Ignacio Fernandez, director of Veracruz Port Administration, said blockchain technology adds “openness, neutrality and transparency to the Port Community System.”