The global wine industry is expected to expand significantly in the upcoming years, much to the delight of oenophiles all over the world. A report by Mordor Intelligence states that the wine industry is likely to grow with a CAGR of 5.8% before 2025. However, it is not all good news for wine lovers as this has also led to an increase in the number of forged wine bottles making their way into the market.
Practices of counterfeiting and tampering with wine bottles have been followed throughout the ages for as long as wine has ever existed, but it is undoubtedly an issue that should no longer be left unaddressed. Now more than ever, it has become imperative to adopt effective solutions to wine counterfeiting, and to tackle the problem head-on.
Why is the global wine industry in trouble?
In recent years, there has been a sharp rise in the circulation of adulterated and counterfeit wine around the world. Usually, the customers who purchase expensive fine wine, particularly through auctions, tend to end up on the receiving end of forged bottles. According to statistics, 20% of the fine wine in the worldwide market is fake. The wine counterfeiting trend not only diminishes the value of authentic wine brands, but it also prevents customers from enjoying the products that they actually paid for. Moreover, counterfeit wine is generally concocted using toxic chemicals and preservatives that can cause negative impacts on the drinker’s health.
Why is wine traceability important?
In general terms, a product is traceable when it is possible to verify chronologically its origin, location, and the ways in which it has been put to use. Checking the contents of every single bottle in the market is not practical, as an opened bottle of wine is not fit for sale. The better alternative is to trace the bottle’s history all the way back to its origin so as to ensure that there was never any room for forging. Therefore, when it comes to fine wine, traceability is crucial.
Why choose blockchain technology to deal with counterfeiting?
There is barely an industry that has been left untouched by technology, and the wine industry should be no different. Dealing with counterfeit wine does not necessarily have to be a monolith task that is more trouble than it is worth. Choosing the right technology to deal with counterfeiting can take authentic brands a long way in throwing all the fake wine bottles right out of the global market.
The advancements that have been made in blockchain technology so far makes it possible to keep the entire lifecycle of a wine bottle completely transparent. Blockchain technology allows brands to create digital identities for their bottles and upload all the related information in a nearly flawless manner.
In general, authentic wine bottles are only approved for sale when they pass several official checks before they hit the shelves. Blockchain technology takes things a step further by recording all such relevant information online. As long as there is a clear record of the wine bottle’s journey readily available online for the concerned parties to cross-check, it becomes challenging for counterfeiters to create new loopholes. From the vineyard to the customer’s table, brands can efficiently keep a stern eye on the wine bottle.
Why Authlink?
Though blockchain offers the best solutions to deal with counterfeit wine, it is also crucial to choose the right brand that makes the most of the technology. With Authlink’s technology, each product gets its own unique digital identity, under which all the vital information regarding the products can be monitored.
Wine brands will also have complete control over product provenance, thereby equipping them to tackle counterfeit and grey market-related issues with better efficiency. Such a system benefits all the parties involved, and also ensures that customers get to indulge in the wine experience they deserve.
Originally published at https://authlink.com on December 9, 2020.
