Chemical manufacturer SABIC to use blockchain to track product shipments

Petrochemical company Saudi Basic Industries Corporation (SABIC) has entered into an agreement with technology company Finboot to build a blockchain-based platform.

SABIC management expects blockchain to reduce transaction costs and speed up the exchange of data between stakeholders by reducing the amount of paperwork. The company also expects the platform to simplify the material certification and reporting process.

Finboot CEO Juan Miguel Pérez Rosas is confident that Finboot MARCO software will transparently track materials from where they are produced at Plastic Energy to delivery to SABIC, where they are converted into Trucircle ring polymers. The blockchain will track the delivery of finished polymers to Intraplás’ packaging factories. Blockchain will ensure the immutability of the data entered into the system. They will be available to suppliers, customers and regulators. The goal of the project is to explore the technology’s ability to track supply chains, from the extraction of raw materials to the manufacture of products and their delivery to end customers, the Finboot chief said.

“SABIC is open to the introduction of innovative technologies that can provide functional solutions for customers. Our vision for a circular economy for polymers requires a complete transformation of value chains and partnerships. Therefore, we are ready to use the huge potential of the blockchain,” said Waleed Al-Shalfan, vice president of polymer technology and innovation at SABIC.

Recall that in 2021, the Japanese trading company Marubeni also began to use the blockchain to track the supply of chemicals and plastic. According to a study by Blockdata last year, 81 out of 100 large companies are showing interest in blockchain and distributed ledger technology (DLT).