This month, KAYA&KATO, member of the Textiles Partnership, started a cooperation project with IBM with the aim of developing a blockchain-based solution for the transparent documentation of their supply chain. The solution will provide complete transparency and traceability of garments down to the fiber for both companies and consumers. The German Federal Ministry for Economic Cooperation and Development (BMZ) supports the cooperation project.
In their press release, KAYA&KATO and IBM explain that the blockchain solution enables customers and partners to identify the source of fabrics and trace every step of production and distribution. The aim is to create transparency in the entire process from fiber to final product and to develop a nearly forgery-proof protocol for the traceability of ecological materials. Supply chain transparency and reliability of information are important parameters for sustainability management in the textile industry.
The transaction data, which can be accessed by all parties involved, is collected in blocks and stored as an unalterable, chronological chain. If the ownership of an asset changes, this is also automatically visible within the blockchain.
"We consider the intelligent combination of sustainability and digitalization as forward-looking. The project combines both aspects excellently and supports transparency within the supply chain. For KAYA&KATO, this has been the main reason for initiating the development of a blockchain solution. We are looking forward to the implementation and are excited to see the solutions developed in cooperation with IBM," says Dr. Stefan Rennicke, co-founder and managing director of KAYA&KATO GmbH.
Read the full press release.