The Proposed of a Smart Traceability System for Teak Supply Chain Based on Blockchain Technology

Abstract

For Cambodia, Lao PDR, Myanmar, Thailand, Vietnam, and around 70 nations in Asia, Africa, Latin America, and Oceania, teak is one of several developing valued hardwood species that has been grown progressively in established forests. Thailand is the second-largest area of natural teak forests and the logging ban is still in force and it has strong political support. The problem of smuggling teak timber and illegal activities or illegal planting areas due to its high value has a long history in Thailand. Nowadays, a traceability system for agricultural commodities is mandatory requirement in all supply chains. This paper discusses the traceability method for identifying the validity of teak wood within the Teak Supply Chain with Distributed Ledger Technology (DLT). DLT is also called Blockchain Technology (BCT) and has the core characteristics of preserving a disseminated archive, digital encryption, traceable data and block material that cannot be absolute, which is appropriate for use in the teak supply chain and could offer a remedy. Ethereum DApp is suggested for use in this paper. Supply chain stakeholders understand that using blockchain technologies and the communication of data stored in the blockchain supply chain can guarantee that data cannot be compromised. Based on the experiment result that the traceability system with DLT is relatively supported to helps stakeholders of the teak supply chain to complete their traceability system capabilities for the benefit of teak timber and legality of teak.