SABIC and partners pilot blockchain technology for circular plastic feedstock traceability
20 Jul 2022 --- SABIC is introducing a pilot project with technology company Finboot, advanced recycling pioneer Plastic Energy, and packaging specialist Intraplás, to investigate the possibilities of blockchain technology in supporting the end-to-end digital traceability of circular feedstock in customer products.
The project intends to create additional transparency and digital traceability for certified circular feedstock used in SABIC’s Trucircle solutions.
Juan Miguel Pérez Rosas, CEO of Finboot, comments: “This pilot will significantly contribute to the development and progression of a circular economy while setting the example for best practice for the global manufacturing sector.”
Carlos Monreal, founder and CEO of Plastic Energy, adds: “The pilot has the potential to make a big impact in the value chain, providing a new level of traceability and transparency for recycled plastics and demonstrating how advanced recycling can play a valuable role in the circular economy of plastics.”
Overcoming tracing feedstock challenges
Tracing the journey of feedstock through the petrochemical value chain is currently difficult. To improve this process and support the delivery of its circular feedstock to customers – part of SABIC’s Trucircle portfolio and services – SABIC has launched this pilot project to demonstrate the feasibility of using a blockchain-based, value-chain IT application.
The project is the “first of its kind” in the industry to trace the product from feedstock production to converter, going further than previous industry applications of blockchain in end-to-end tracing. The platform offers reduced costs, time and improved data integration for all value chain partners.
The companies say the blockchain technology ensures that all data gathered remains immutable.Another key benefit of blockchain technology in the delivery of more [environmentally] sustainable solutions is its ability to validate [environmental] sustainability proof points and organizations’ ESG credentials.
This validation is of significant benefit to all value chain members, including external parties, as it reduces the administrative efforts associated with the certification process of materials. It is also a more reliable process due to the reduced risk of human error.
Blockchain tech advantages
Waleed Al-Shalfan, VP of polymers technology and innovation at SABIC, says: “We implement innovation and technology that can help us to deliver more [environmentally] sustainable solutions to our customers.”
“Our vision to create a circular economy for plastics requires a total transformation of the value chain and pioneering partnerships with partners both upstream and downstream.”
“Blockchain technology holds potential for the provision of our Trucircle products to customers, and therefore for our commitment to supporting customers in their [environmental] sustainability ambitions.”
Finboot’s Macrosoftware solution acts as middleware layer and it will track the thermal anaerobic conversion oil produced by Plastic Energy from its recycling process, the delivery of this oil to SABIC for conversion into its Trucircle circular polymers, and the delivery of the polymers to Intraplás for conversion into packaging solutions.
The companies say the technology also ensures that all data gathered remains immutable while shared across suppliers, customers and regulators – providing transparency, auditability and accountability in a complex industrial ecosystem.
Marisa Alves, chief procurement officer at Intraplás, adds: “As a global provider of packaging solutions, Intraplás has the clear ambition to make [environmentally] sustainable packaging broadly available to the market, without compromising the environment and food safety, something that boosted the participation on this important project with our supplier and long-term partner SABIC.”
Edited
By Natalie Schwertheim
