Here’s how blockchain helps businesses to automate ESG reporting
Dimitra, an AgTech project, helps businesses meet ESG goals with new blockchain-based services.
As the adverse effects of climate change become more visible every day, the demand for sustainable practices is also soaring. Environmental, social and governance (ESG) considerations are no longer an optional part of corporate strategy but an essential requirement for companies to remain competitive and credible. 83% of consumers believe businesses should focus on finding ESG best practices.
In agriculture, the pressure for ESG reporting is amplified by increasingly strict regulations . The upcoming EU Regulation on Deforestation-Free Products (EUDR) requires all products entering the EU to be deforestation-free and applies traceable proof requirements to companies. Similarly, the US SEC’s recently adopted rules obligate businesses to disclose climate-related risks, and for large players, report greenhouse gas emissions.
Blockchain technology stands out as a powerful tool that can aid businesses with reporting requirements. Immutable and up-to-date data secures the accuracy of supply chains, building trust for all parties involved. And the decentralized nature of blockchain renders the technology an ultimate global solution for tracking and compliance. An agricultural technology (AgTech) business integrates blockchain and state-of-the-art technologies to offer comprehensive solutions to meet these demands.
Better ESG commitment with blockchain
Dimitra is an AgTech project that combines blockchain, artificial intelligence and Internet of Things (IoT) technologies to create solutions tailored to farmers and agribusinesses. It helps farmers, especially smallholder ones, to improve productivity, sustainability and traceability while complying with global environmental standards.
The AgTech project is home to an extensive Due Diligence Service (DDS) platform that streamlines reporting. By utilizing cutting-edge technology, the platform collects and analyzes data from farmers and automatically prepares risk assessments and due diligence reports. The DDS platform ensures agribusiness operations abide by key regulations like the EUDR.
An all-in-one app. Source: Dimitra
A leap forward in reporting efforts, Dimitra ESG is the ecosystem’s new service for ESG maturity mapping and policy implementation. It measures how effective a business is in its ESG commitments. The process incorporates artificial intelligence and blockchain for a comprehensive assessment. The service offers consulting and customized programs post-evaluation, helping businesses to keep up with ever-evolving ESG standards and regulations.
One of these programs, Dimitra’s carbon credit system, encourages reducing carbon emissions while helping businesses meet their ESG goals. The system enables farmers and businesses to earn and trade credits by adopting sustainable methods while improving the carbon credit market with transparent technology.
Supporting farmers with cutting-edge technology
Dimitra’s Connected Coffee platform is a supply chain solution that tracks each step of coffee production , ensuring the coffee produced meets the required standards. Smallholder farmers, often disadvantaged in complying with regulations, can provide proof about product origin, farming techniques and quality on Connected Coffee, thus avoiding losing touch with international markets.
Like all other platforms within the ecosystem, Connected Coffee offers smart farming capabilities by integrating IoT and artificial intelligence. Farmers can access real-time data from the field and improve productivity in a data-driven way. Customized recommendations help farmers to increase profitability while maintaining sustainability.
The platform serves more than businesses. Connected Coffee collaborates with local farmers to provide education about modern technologies, helping to improve agricultural processes in rural areas.
An ever-growing ecosystem
Dimitra joined forces with organizations like ARASCO and Alkaff to improve sustainability in agricultural markets and expand its impact worldwide. A more recent partner, Brazil-based ABRAFRUTAS will utilize Dimitra’s solutions to assess and enhance their ESG performance as well as provide tools for the greater fruit export industry.
“Our goal is to use AI, blockchain and Web3 technologies to solve real-world problems in agriculture,” says Jon Trask, CEO of Dimitra. “By providing access to global markets and tools that promote sustainable ways, solutions like Dimitra can help shape a future where technology and agriculture work hand in hand to meet the needs of both people and the planet.
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