b'Given the global nature of agricultural value chains, ensur- tion while mitigating the potential risks.ing that all supply chain actors are involved and aligned is alsoA great source of information on blockchain technology is likely to be difficult. Blockchain is a tool for securely and effi- OECDs Annual Blockchain Policy forum [footnote 6]. Last year ciently sharing information between stakeholders but it doessaw panels on blockchains potential in agricultural supply chains not in itself verify that the information written and committedand the role of blockchain in supporting international coopera-to the blockchain is accurate. Therefore, Blockchain technolo- tion and technical assistance [footnote 7].gies require a network of trusted stakeholders and an institu-tional framework of harmonised rules that ensures the input ofES: HOW CAN BLOCKCHAIN ENHANCE ECONOMIC high-quality data into the ledger.DEVELOPMENT AND WHAT WOULD BE THE BENEFITS The high investment costs required to set up and main- FOR FARMERS/ CONSUMERS? tain such a system can restrict the adoption of digital solutions,CM:As a relatively nascent technology, blockchains constitute especially in times of economic recession or in countries wherea new frontier in technological innovation with the potential to financial resources are already constrained.create new economic opportunities. There are a number of areas An enabling policy and regulatory environment for infor- where the application of the technology offers economic benefits mation sharing and cross border data flows is critical. As manyincluding improved efficiency and productivity.countries may have already started developing some form ofAs blockchain technology is a tool to support traceability digital system for the collection and storage of information onand transparency, it can play an important role in providing seed certification, the integration and interoperability of theseconsumers with assurance that the products they are purchasing systems also presents a challenge.have been produced safely and sustainably. For farmers, it can help secure demand by providing greater visibility over their ES: WHAT IS THE OECD DOING TO STIMULATE THE USEactivities and support the more equitable distribution of value OF BLOCKCHAIN TECHNOLOGIES?along the value chain. CM:The OECD established the Global Blockchain Policy CentreDistributed ledger technology can further encourage eco-in 2018. The Centre serves as an international reference point fornomic development by expanding business opportunities for policy makers and supports the co-ordination of OECD work onsmall and medium enterprises (SMEs). For example, blockchains blockchain and other distributed ledger technologies.can facilitate new methods of SME financing, specifically by The OECD conducts research on the best practices anddemocratising access to funds outside of venture capital and policy implications of distributed ledger technology, primar- other traditional financing mechanisms.ily in financial markets, supply chain, and the public sector, asBlockchain also has the potential to increase the participa-well as on general aspects of DLT that remain relevant acrosstion levels of SMEs in international trade by lowering barriers applications. These aspects include smart contracts and block- to entry, providing access to trade finance and facilitating trade chain-based digital identity. In addition to the Organizationstransactions. By introducing trust and efficiency in the lending growing body of work in the blockchain space, the OECD pro- process, blockchain can enable SMEs to obtain credit outside vides high-level guidance to governments on the usage of distrib- of traditional trade financing instruments like letters of credit uted ledger technologies. The OECD strives remain technologyissued by major banks, which are often costly, complex, and pose neutral in its policy recommendations. Our goal is not to promotea heavy administrative burden. Blockchain-based trade finance blockchain, but to help governments create a policy environmentplatforms can therefore create opportunities to export or expand that both encourages blockchain innovation and experimenta- into new markets that were previously inaccessible for SMEs. Footnote 1: http://www.oecd.org/going-digital/ Footnote 2: https://www.oecd.org/finance/OECD-Blockchain-Primer.pdf Footnote 3: https://www.oecd.org/fr/environnement/new-digital-technologies-to-tackle-trade-in-illegal-pesticides-9383b310-en.htm Footnote 4: Smart Contracts are self-executing programs recorded on the blockchain that enable automation.Footnote 5:Tokenisation is the process of taking an item, whether it is a seed lot, an image or some information, and turning it in to anon-sensitive piece of data. This token has no meaning or exploitable value in itself but serves as a reference to the original item.Footnote 6:This years Forum will take place on the 16-20 November 2020.Registration is now open https://www.oecd.org/finance/oecd-blockchain-policy-forum.htm .Footnote 7: Video recordings of the session can be found here: https://oecd.streamakaci.com/blockchain2019/ 28IEUROPEAN SEEDIEUROPEAN-SEED.COM'