Maqta Gateway, a wholly owned subsidiary of Abu Dhabi Ports, created its own blockchain solution for international trade and logistics. The blockchain-based technology is called ‘Silsal’ (Arabic for chain) and Maqta Gateway hopes that it will improve efficiency in the logistics and shipping industry. Silsal will be a digital ledger that people involved with trade can record and receive details on transactions with higher levels of security, transparency and efficiency. The company will first offer Silsal to freight forwarders and their customers before expanding to rest of the trade community as a complementary tool to Maqta’s Port Community System (mPCS). Their customers include shipping agents, traders, custom brokers, freight forwarders and clearing agents.
Silsal will give the industry the ablility for real-time cargo tracking and will improve the efficiency of international trade by creating paperless documents. The World Economic Forum (WEF) has estimated that blockchain technology could save 20 percent of the expenses from physical transportation and could cut costs by up to $1 trillion in global trade. “Technology is a crucial driver for the future of the shipping, logistics and trade industry and blockchain is a key step in the digitalization of trade,” says CEO of Maqta gateway Dr. Noura Al Dhaheri. There will be many eyes watching as Maqta Gateway tries to successfully implement the technology. The CEO of FedEx has spoke about blokcchain technlogoy being used in the shipping industry calling it the next digital frontier for global supply chains.
Security of the information being shared between trade actors and their customers is the biggest takeaway from this new blockchain application. Through the use of Silsal there is no longer a need for passwords, which are susceptible to being stolen. Dhaheri commenting on this stating, “Not only have we introduced our own blockchain offering, but we have also invented our own form of digital identity. This will eliminate the need for access through passwords which can often be a security risk.”