Research Article | Open Access
A Transparent Milk Delivery System Utilizing Blockchain Technology
M Venkatesh, Mohd Aamer, Konari Naveen, Mohammed Sheizan, P Deepak
Pages: 1327-1339
Abstract
The dairy industry contributes significantly to our country's economy, accounting for 4% of the GDP
and providing income and livelihood to millions. Currently, over 2 million individuals are employed
across the dairy value chain, predominantly among smallholder farmers. These farmers rely on local
milk collection centers, which typically record milk delivery transactions manually in hardcopy
inventory files. Unfortunately, these records are vulnerable to tampering and deletion, enabling
collection centers to manipulate payments to farmers. This project explores the potential of
blockchain technology to enhance transparency, trust, and fairness in the milk delivery process for
smallholder farmers in rural areas of developing nations. Our objective is to design a farmer-centric
blockchain-based platform that safeguards farmers against unscrupulous middlemen who exploit their
lack of education and awareness.
In the traditional system, farmers sell their milk to third-party brokers or staff from the Integrated
Dairy Association (IDA), who log each delivery in manual reports or spreadsheets on centralized
servers. Due to the low literacy levels of many farmers, brokers often alter these records, resulting in
reduced payments and financial losses for the farmers. To address these issues, we propose migrating
inventory management to a blockchain-based server, which offers immutable data storage, ensuring
that records cannot be modified after they are entered. Blockchain operates on a decentralized
network that stores data across multiple nodes; if one node fails, data can still be retrieved from other
operational nodes. Each record is stored as a block or transaction, linked by a hash code, with new
blocks only added after verifying the integrity of existing ones. Consequently, data alteration becomes
impossible. By implementing blockchain technology, we aim to protect farmers from financial
exploitation by brokers, ensuring fair payments for their milk deliveries.
Keywords
Milk delivery platform, Blockchain technology, Fair payment.