PARIS, (Reuters) – Glencore Agriculture Limited has joined a project launched last year by other global grain merchants to use new technologies to raise efficiency in trading operations.
The initiative was announced last October by the so-called ABCD grain majors – Archer Daniels Midland, Bunge , Cargill and Louis Dreyfus Company.
It was later joined by COFCO International, the overseas trading arm of Chinese state-owned food group COFCO.
In a joint statement on Thursday, Glencore and partners said that, after studying digital solutions such as blockchain and artificial intelligence, next steps would include selecting technology providers and developing a pilot covering bulk soybean shipments from Brazil to China.
The partners have underlined potential gains in moving away from paper documents and emailed-based communication prevalent in grain trading towards faster digital processes.
Glencore Agriculture is jointly owned by diversified commodity group Glencore and two Canadian investment funds.