Blockchain Supply Chain Market

Growing demand for transparency and traceability drives market growth

The increasing requirement for transparency and traceability in supply chain management is driving the market CAGR for blockchain in the supply chain market. Traditional supply chain management systems are frequently plagued by transparency and traceability difficulties, such as counterfeiting, fraud, and a lack of visibility. These difficulties can cause considerable losses for enterprises, as well as harm to consumer trust and brand reputation. Blockchain technology, by offering a secure and transparent platform for tracking and tracing products along the supply chain, can help address these concerns.

The technology enables the construction of a tamper-proof and unchangeable record of all product transactions and occurrences, from the point of origin to the point of consumption. This gives organizations real-time visibility into their supply chain, allowing them to identify and address issues as they arise.

By offering a safe and transparent platform for confirming the authenticity of items, blockchain technology can also assist reduce the danger of fraud and counterfeiting. This can assist firms in protecting their brand reputation and consumer trust, as well as preventing losses due to fraudulent activity.

Another driver of the blockchain in the supply chain business is the technology's cost and time efficiency. Traditional supply chain management systems are frequently complex and involve several intermediates, resulting in delays, errors, and expensive prices. By eliminating the need for intermediaries and offering a safe and transparent platform for all transactions, blockchain technology can help streamline the supply chain. Walmart, for example, has deployed a blockchain-based supply chain management system that allows it to track the origin and movement of products in real time.

Walmart has reduced the time it takes to track food products from six days to two seconds, allowing the corporation to increase supply chain efficiency and cut expenses.

Blockchain technology can also assist to reduce the cost of supply chain management by doing away with the need for middlemen. The technology enables firms to transact directly with one another, eliminating the need for a middleman. This can assist minimize transaction costs and increase supply chain efficiency.

Moreover, growing demand for long-term supply chain management. Businesses are under increasing pressure to implement sustainable practices and limit their environmental effect. Blockchain technology can assist businesses in accomplishing these objectives by offering a transparent and secure platform for tracking and tracing the environmental impact of their supply chain.

As an example, IBM has created the IBM Food Trust, a blockchain-based platform that allows businesses to track the origin and movement of food goods along the supply chain. The tool gives organizations real-time visibility into their supply chain's environmental impact, allowing them to discover areas where they may lower their environmental footprint.

Blockchain technology can also assist businesses in meeting their sustainability objectives by allowing them to manage and trace the use of sustainable materials and goods throughout their supply chain. The technology can provide a transparent and secure platform for confirming the origin and authenticity of sustainable products, assisting businesses in meeting the growing consumer demand for sustainable products.

Cost efficiency is a critical driver in the Global Blockchain in Supply Chain Market Industry. By streamlining processes and reducing intermediaries, blockchain technology can significantly lower operational costs. For instance, companies like Maersk have reported substantial savings by utilizing blockchain for shipping documentation, which reduces paperwork and processing time. Furthermore, the elimination of fraud and errors contributes to overall cost savings. As businesses increasingly recognize the financial benefits of blockchain, the market is expected to witness a compound annual growth rate of 39.19% from 2025 to 2035, indicating a strong shift towards cost-effective supply chain solutions.

Security concerns in supply chains are prompting a shift towards blockchain solutions. The Global Blockchain in Supply Chain Market Industry offers robust security features that protect sensitive data from tampering and unauthorized access. By employing cryptographic techniques, blockchain ensures that transactions are immutable and verifiable. For example, companies in the pharmaceutical sector are increasingly adopting blockchain to prevent counterfeit drugs from entering the supply chain. This heightened security not only safeguards brand integrity but also complies with stringent regulatory requirements. As organizations prioritize data security, the market is projected to grow significantly, potentially reaching 55.3 USD Billion by 2035.

Traceability is becoming increasingly vital in the Global Blockchain in Supply Chain Market Industry, particularly in sectors such as food and pharmaceuticals. Blockchain technology facilitates end-to-end visibility, allowing stakeholders to track products throughout their lifecycle. For example, the use of blockchain in the diamond industry helps ensure ethical sourcing by providing a transparent record of each transaction. This capability not only enhances consumer confidence but also aids in compliance with regulatory standards. As traceability becomes a priority for businesses, the market is likely to expand, driven by the demand for reliable tracking solutions.

The necessity for regulatory compliance is a significant driver in the Global Blockchain in Supply Chain Market Industry. Governments worldwide are increasingly mandating transparency and traceability in supply chains, particularly in sectors like food safety and pharmaceuticals. Blockchain technology offers a solution by providing an immutable record of transactions that can be easily audited. For instance, the European Union has implemented regulations requiring traceability in food supply chains, prompting companies to adopt blockchain for compliance. As regulatory pressures mount, the market is expected to grow, with organizations seeking blockchain solutions to meet these evolving standards.

The Global Blockchain in Supply Chain Market Industry is experiencing a surge in demand for transparency across supply chains. Blockchain technology enables real-time tracking of goods, allowing stakeholders to verify the authenticity and origin of products. For instance, companies like Walmart utilize blockchain to trace food products, enhancing food safety and reducing waste. This transparency not only builds consumer trust but also aids in compliance with regulatory standards. As the market evolves, the emphasis on transparency is expected to drive the industry towards an estimated value of 1.46 USD Billion in 2024, reflecting a growing recognition of the importance of traceability in supply chains.

The Global Blockchain in Supply Chain Market Industry is poised for substantial growth, with projections indicating a rise from 1.46 USD Billion in 2024 to an estimated 55.3 USD Billion by 2035. This remarkable increase reflects the growing adoption of blockchain technology across various sectors, driven by the need for enhanced transparency, security, and efficiency. The compound annual growth rate of 39.19% from 2025 to 2035 highlights the market's potential as organizations increasingly recognize the benefits of blockchain in optimizing supply chain operations. This growth trajectory suggests a transformative shift in how supply chains operate globally.

By region, the study provides the market insights into North America, Europe, Asia-Pacific and Rest of the World. The North America held the majority of the market share in 2022. North America is recognized as having the most advanced infrastructure and technological adoption. The fundamental influencing element in this industry is the overall behaviour of the major blockchain technology solution providers. Companies across a variety of industries, including as manufacturing, healthcare, retail and consumer products, and logistics, provide an important opportunity for vendor growth.

Further, the major countries studied in the market report are The US, Canada, German, France, the UK, Italy, Spain, China, Japan, India, Australia, South Korea, and Brazil.

Figure 3: BLOCKCHAIN IN SUPPLY CHAIN MARKET SHARE BY REGION 2022 (USD Billion)

Source: Secondary Research, Primary Research, Market Research Future Database and Analyst Review

Europe Blockchain in Supply Chain Market accounts for the second-largest market share due to increasing adoption of blockchain technology in the region, particularly in the financial and logistics industries. Further, the German Blockchain in Supply Chain Market held the largest market share, and the UK Blockchain in Supply Chain Market was the fastest growing market in the European region

The Asia-Pacific Blockchain in Supply Chain Marketis expected to grow at the fastest CAGR from 2023 to 2032. This is because of its early acceptance of emerging technologies. Moreover, China’s Blockchain in Supply Chain Market held the largest market share, and the Indian Blockchain in Supply Chain Market was the fastest growing market in the Asia-Pacific region.

Leading market players are investing heavily in research and development in order to expand their product lines, which will help the Blockchain in Supply Chain Market, grow even more. Market participants are also undertaking a variety of strategic activities to expand their footprint, with important market developments including new product launches, contractual agreements, mergers and acquisitions, higher investments, and collaboration with other organizations. To expand and survive in a more competitive and rising market climate, Blockchain in Supply Chainindustry must offer cost-effective items.

Manufacturing locally to minimize operational costs is one of the key business tactics used by manufacturers in the Blockchain in Supply Chain industry to benefit clients and increase the market sector. In recent years, the Blockchain in Supply Chain industry has offered some of the most significant advantages to medicine. Major players in the Blockchain in Supply Chain Market, including IBM Corporation, Ripple, Chain Inc, Microsoft Corporation, Coinbase, Blockchain Tech Ltd, Earthport PLC, Abra Inc, and others, are attempting to increase market demand by investing in research and development operations.

The International Business Machines business (IBM), also known as Big Blue, is a multinational technology business headquartered in Armonk, New York, with operations in more than 175 countries. It specializes in computer hardware, middleware, and software, as well as hosting and consulting services spanning from mainframe computers to nanotechnology. IBM is the world's largest industrial research organization, with 19 research labs in a dozen countries. In 2021, IBM collaborated with Chainyard to create Trust Your Supplier, a blockchain-based supply chain management tool.

The platform's goal is to make supplier management easier by offering a safe and transparent platform for tracking supplier information including certifications and compliance.

Maersk A/S is a Danish shipping and logistics firm founded by Peter Mrsk Mller and Arnold Peter Mller in 1904. Shipping, port operations, supply chain management, and warehousing are all part of Maersk's business. In 2022, the corporation will be headquartered in Copenhagen, Denmark, with subsidiaries and offices in 130 countries and over 110,000 workers worldwide.In 2020,Maersk, the world's largest container shipping firm, collaborated with IBM to build TradeLens, a blockchain-based platform. The platform's goal is to digitize the supply chain and provide a secure and transparent platform for tracking cross-border commodities movement.