Towards Trust Enabled Commodity Market for Farmers with Blockchain Smart Contracts

Abstract

This paper presents a conceptual model for an online agricultural commodity market that empowers farmers with a better price determination mechanism through collective marketing and Blockchain smart contracts. The model makes collective marketing possible by generating Many-one-Many relationships between farmers, farmers' groups, and buyers. While collective marketing improves farmers' bargaining position leading to higher rates, trust enabled by Blockchain smart contracts facilitates farmers to establish deals with buyers who offer the best rate transforming the commodity market into a sustainable market.