In each thriving sector, counterfeiting is the most important challenge facing stakeholders, and for an industry such as wine production, this crime takes millions of dollars from wine producers. However, new methods to combat counterfeiting are also being devised.
For Shanghai Waigaoqiao Direct Imported Goods Ltd partnering with VeChain in its second phase of running the W.T.P., is its way of getting rid of counterfeits. The firms have partnered to onboard Penfolds 407 wine bottles onto its Wine Traceability Platform (W.T.P.). However, to fight counterfeits, the wine bottles will be tagged with N.F.C. chips which customers will use to get the wines provenance records.
By scanning the N.F.C. labels, customers obtain essential information that is verified by independent auditors and can obtain any information about the Penfold bottle and verify its authenticity.
Although in its previous phase, W.T.P. had 20 different wine products available in various stores, this time around Penfolds 407 will only be available in three stores. The three stores are Waigaoqiao International Alcohol Exhibition & Trading Center Store No 77, D.I.G. Flagship Store No. 460 and Sen Lan Shang Du Store No. 2988.
Apart from having third-party auditors working alongside Vechain, two governmental bodies are in place to monitor the performance of the Wine Traceability Platform. Besides bagging on W.T.P. to fight counterfeits, the platform will also help increase wine sales. W.T.P. will boost customer confidence in wine products from Penfolds, which will increase sales.
As W.T.P. phase two goes on, other stakeholders in the wine sector are also active in the space with different projects up and running. At the forefront, there is audit firm Ernst & Young, which has put its Ethereum-based blockchain solution in use to track the authenticity of European wine in Asia. On the other hand, there is Chinese alcohol wholesaler, and marketer has fronted a blockchain platform using lasers to fight counterfeits. Although these are different firms working towards the same goal, these projects show how blockchain can revolutionize how business is done in the wines sector.