FRIDAY, March 29, 2024
nationthailand

Indorama Ventures pilots blockchain transaction with partner in Australia

Indorama Ventures pilots blockchain transaction with partner in Australia

Indorama Ventures (IVL) has through its subsidiary Indorama Holding successfully executed a blockchain-enabled letter-of-credit (LC) transaction with Techwool Trading using the Contour blockchain platform.

The blockchain transaction, completed on a single shared application called Contour, involved a shipment of scoured wool shipped by Techwool in Australia to IVL in Thailand.

HSBC acted as the issuing and advising bank for both sides.

This transaction shows that blockchain technology will help digitise trade and is commercially and operationally viable. Trade transactions via blockchain technology allow all parties to review documents in real-time, which reduces cost, risk and lead times.

Krisda Phatcharoen, country head of commercial banking at HSBC Thailand, said the bank believes the use of advanced technology will serve businesses well, especially in the restrictive environment brought about by the Covid-19 pandemic.

Rajesh Banka, CEO of IVL’s wool business said: “Contour-enabled trade transactions have offered an insight into how the technology has the potential to revolutionise conventional trade finance and reduce time frames and risk involved in cross-border trade. IVL will continue to pursue this technology with HSBC as a fit with our digitalisation transformation project.”

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