Improving Transparency for Agricultural Supply Chains
Improving Transparency for Agricultural Supply Chains
INATrace is a digital open-source solution that puts people first. With the aim of improving the economic situation of smallholder farmers, INATrace focuses on the traceability of global supply chains. Better payment for producers at the beginning of the supply chain can only be secured if it becomes clear how little they receive for the raw material produced compared to other actors.
Data on the supply chain, such as what prices are paid, which processing steps take place and which actors are involved, is stored digitally and, if desired, can also be viewed by consumers via a QR code.
In addition, the INATrace App allows for the mapping of field polygons and farmer profiles. With the integration of FAO’s WHISP Tool, a first deforestation check can be conducted. . Thus, the data collected through INATrace plays a valuable role in meeting due diligence requirements of the new EU Deforestation Regulation (EUDR), making it a key tool in the compliance process.
Valuable experiences from pilot projects in Rwanda and Honduras show that INATrace can already be used flexibly – even beyond coffee supply chains. In Rwanda or Costa Rica, pilot projects used INATrace for Macadamia and Pineapple value chains. The open-source code enables INATrace to be uniquely customized, allowing for the addition of new features tailored to specific needs.
New laws demand transparency in supply chains
With the introduction of the German Supply Chain Due Diligence Act (LkSG), the EU Deforestation Regulation (EUDR), and the upcoming Corporate Sustainability Due Diligence Directive (CSDDD), companies in the processing, wholesale, and retail sectors are increasingly responsible for ensuring compliance with human rights and environmental protection within their supply chains. These regulations emphasize the importance of transparency, particularly at the earlier stages of global supply chains. In a market where traceability solutions remain fragmented, INATrace addresses the needs of stakeholders at the beginning of supply chains. By using INATrace, cooperatives can transition from paper or Excel-based systems to fully transparent and digital processes, while maintaining ownership of their data, thereby improving their negotiating power with buyers.
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