CHICAGO (Reuters) – The world’s four largest agribusinesses are working together to standardize and digitize international grain trades using technologies such as blockchain and artificial intelligence, the companies announced on Thursday. Archer Daniels Midland Co, Bunge Ltd, Cargill Inc [CARG.UL] and Louis Dreyfus Co [AKIRAU.UL], known collectively as the ABCDs of global grain trading, said the effort would make international commodities trades more efficient and transparent and reduce costs. The aim is to replace a system that relies on paper contracts and invoices and manual payments with an automated electronic system, the companies said in a joint statement. The first area the companies are targeting is automating grain and oilseed post-trade processes, according to an emailed statement from all four companies to Reuters. It is a specific problem they are trying to make simpler and cheaper: 275 million emails are sent annually by commodity traders to process 11,000 shipments of grain transported on the ocean, they said. “Many aspects of agricultural trading are highly manual and costly: paper documents, facsimiles, manual retyping of data, and so on,” the companies said. “And many transactions still utilize hard copy transfers of documents. The companies did not disclose further details of the effort… continue reading
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