DiMuto launches Track & Trace blockchain platform with deal to digitise four million durians in the upcoming durian season for Thailand’s largest durian exporter
The Singapore-based startup is the first in the world to transform fresh durians into traceable digital assets
DiMuto’s Track & Trace solution provides a whole new level of visibility to Queen Frozen Fruit’s supply chain partners, minimising trade disputes while building trust and collaborative commerce within the durian trade
This increased transparency solves one of the biggest issues faced by the fresh fruits industry – access to traditional bank financing; opens up new trade finance avenues for businesses
Enables trade financing partner, Havenport Investments, to confidently quantify and mitigate financial risks associated with the fresh fruits industry, which are often deemed to be onerous
Singapore, 11 July 2019 – DiMuto, a trade technology service that provides end-to-end supply chain visibility for global businesses, has closed a deal with Thailand’s largest fresh durian exporter and frozen durian producer – Queen Frozen Fruit (Queen) – for the upcoming durian season. DiMuto will tag, track and trace around four million fresh durians from Thailand to China, Japan and other parts of Asia.
The Singapore-based startup is the first in the world to transform fresh durians into traceable digital assets. Under the deal, DiMuto is expected to turn four million durians into traceable digital assets from now to December 2019, enabling each durian to be uniquely tagged, photographed, tracked at each stage of the supply chain. DiMuto’s Track & Trace blockchain platform seamlessly integrates with supply chain workflows and existing systems to create traceability and accountability for each of the durians, from farms, factories, cold chain to distribution channels and end consumers.
Data is encrypted and loaded onto the distributed digital ledger, enabling Queen and its trade partners to obtain end-to-end, 24/7 visibility to the entire supply chain, from creating trade contracts, monitoring packing status, product receipt confirmation to customer feedback. This in turn allows Queen to share verified documents and data with its partners on a single platform, reducing trade disputes over quality and strengthening trust with its customers and trade partners.
The increased transparency solves one of the biggest issues faced by the fresh fruits industry: access to traditional bank financing.
“Securing funding from banks has always been a challenge in the fresh fruits industry as risk managers cannot see what is happening behind the scenes. Due to the disconnected visibility in the supply chain, the industry is paying a heavy cost for trade disputes, food safety breaches and wastage. DiMuto’s overarching goal is to address these challenges by creating trust, demystifying global trade and fuelling the growth of this industry. In the process, we aim to level the playing field for the underbanked SMEs in the industry by opening up new trade finance avenues for them,” said DiMuto’s Founder and Chairman, Mr Gary Loh.
With the full supply chain visibility provided by the Track & Trace blockchain solution, DiMuto’s trade finance partner, Havenport Investments (Havenport), can now conduct more accurate credit assessment and extend trade financing to more quality businesses.
Havenport has started providing trade financing to Queen, which has 14 fresh durian packing houses across the country, and four factories to produce Thai tropical fruits for domestic sales and exports to over 30 countries. In 2018, Queen was responsible for over 10 million durians exported to international markets and its total company revenue amounted to US$271 million.
“Our collaboration with Queen establishes us as a key player in the global fresh fruits industry, and our partnership with Havenport is testament to the assurance we can provide to empower fund managers to venture into industries previously considered to be too much of a risk,” added Mr Loh.
The partnership between Havenport and DiMuto could potentially extend beyond the fresh fruits industry, as Havenport plans to expand its trade financing portfolio by leveraging on the DiMuto’s technology where possible.
“With Havenport’s institutional-style process and risk management, our starting point for our investment solutions has always been to look at risks. DiMuto’s blockchain technology is an excellent solution for us to quantify and isolate the risks of related trades, and be in a stronger position to attribute liability. This will enable us to confidently provide trade financing to a wider range of quality and profitable businesses, especially those that have traditionally been unable to obtain bank financing. In particular, we focus on businesses that are uncorrelated to the volatility of the broader equity and bond markets,” said Mr Patrick Tan, Managing Partner, Havenport.
Established in 2018, DiMuto has captured global growth momentum with the support of key produce industry leaders in Asia and the Americas. It has also formed strategic partnerships to empower trade financing in the fresh fruits industry, and to build global industry benchmarks for trade blockchain solutions. Beyond durians, DiMuto is set to apply its technology to other produce categories, such as longans, mangosteens and avocados. During its three-month product trials between March 2019 and June 2019, DiMuto has tagged 1.2 million fruits (durians, apples, avocados, lemons and oranges) for various industry players in the US, Thailand, Mexico, Australia and China.
Above: Fresh durians in the packhouse ready to be tagged
Above: Unique QR codes assigned to each durian by DiMuto
Above: DiMuto’s Digital Asset Creation (DAC) service to digitise each durian into an immutable digital asset on the Track & Trace blockchain platform
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About DiMuto
DiMuto is in the business of creating trust. We provide global supply chains with a trade technology platform built on 4Ts: Tracking, Tracing, Transparency and Trust – thus demystifying global trade and enabling collaborative commerce.
The DiMuto Track & Trace blockchain platform creates end-to-end trade visibility and forms building blocks for further value creation in trade financing, product marketing and data analytics. Since 2018, DiMuto has successfully tracked and traced over millions of pieces in produce and millions in dollars of trade value on our platform. We work with a global portfolio of clients in over seven countries and five continents.
DiMuto is founded by executive chairman Mr Gary Loh, who is also the Executive Chairman of First Alverstone Group, and the Vice Chairman and Non-Executive Director of SunMoon Food Company Ltd.
About Havenport
Leveraging its strong heritage in institutional and retail asset management, Havenport is today an asset management and wealth services company integrating its asset management, wealth management and capital management expertise to create innovative investing, wealth and capital solutions for our clients and business partners.
Since its establishment in 2010, the firm has been serving the investing needs of sovereign wealth funds, global pension funds, banks, financial advisors and individual investors. Its mission is to create income and growth producing opportunities for passive investors, delivered in a secure and risk conscious manner. For more information, please visit www.havenport.com.
For media queries, please contact:
SEAH Kah Teik
Email : dimuto@kreab.com
HuiMin LEE
Email: huimin@dimuto.com
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