VeChain’s blockchain + IoT solution to the 1st BAAS to enter China’s Tobacco industry by working with National level government body — State Tobacco Monopoly Administration and China Central Government owned China National Tobacco Corporation, via an exclusive partnership with NRCC.

When DNV GL committed to being strategic partners of VeChain, it didn’t do so lightly. Committing their business network and assurance services to develop solutions built on blockchain technology through VeChain to advance DNV GL’s digital solution presence is not a small task nor a small commitment. The exact scope of the partnership will be announced soon, however, work is imminent.

DNV GL, being the most trusted and professional entity for assurance, creates a global standard for the internal processes of large enterprises in terms of production procedures, production safety procedures, and quality assurance methods. A full list of DNV GL classifications and certifications can be found here. (https://rules.dnvgl.com/servicedocuments/dnv) Due to their global presence in assurance and certification standards, DNV GL’s network of companies extends over 80,000 worldwide.

Three months ago, DNV GL introduced a trusted “gateway” entity to VeChain, NRCC, or National Research Consulting Center, a top tier management, standard and IT consultant in China. (http://www.nrcc.net.cn)

We are excited to announce that under the guidance of DNV GL, VeChain has signed an exclusive strategic partnership agreement with NRCC to develop and implement blockchain related solutions across their business network.

One of the partnership’s focus is to develop solutions for China’s tobacco industry via their partnerships with the State Tobacco Monopoly Administration and the China National Tobacco Corporation.

VeChain will be providing proof of origin and anti-counterfeit technology to track Chinese produced tobacco products throughout the entire supply chain. This partnership came into place as China announced a crackdown on smuggled counterfeit cigarettes.

The other focus of this partnership is more long term strategic and significantly more disruptive. The current model of tobacco product distribution includes manufacturers, distributors, retailers and end users.

VeChain will work with tobacco regulatory bodies and manufacturers to create specific blockchain+IoT solutions to collect end user data so that manufacturers can utilize the data collected to management internal supply chain more effectively and to develop products which are more fitting to end users’ likings. This disruption can save increase transparency for regulators, save manufacturer costs, increase revenue, and eventually eliminate layers of distribution bottleneck.

China’s tobacco market accounts for roughly 30% of the world’s total consumption of cigarettes and is the world’s largest manufacturer of tobacco products measured in revenue. In the first half of 2017, China sold 24,752,000 cases of cigarettes (a standard case in China is 250 cartons), in the amount of approximately producing 772.712 billion yuan in sales.