# Leveraging Blockchain and Consignment Contracts to Optimize Food Supply Chains Under Uncertainty
## 1 Introduction
In this regard, adopting new ideas on inventory management should be another important approach to increase profitability. The traditional supply chain concept has changed and advanced over time with changes in the environment and technological advancements. The constant advancement of technology and the rapid change in customer expectations have made supply chain management essential. Effective supply chain management that is consistent with the rapidly evolving environment and technology has become essential to the success and competitiveness of organizations. This paper will define the traditional supply chain, outline how it differs from modern supply chains, and outline the key phases it involves. A consignment contract is a legal contract pertaining to the consignment of goods between the consignor and the consignee. Under a consignment contract, the consignor gives the consignee custody of their products with the intention of selling them. But until the products are sold, the consignor retains ownership of them. The main components of a consignment contract are as follows:  
1. Parties Identification: The consignor, who is the owner of the goods, and the consignee, who is the party entrusted with selling the items, will be mentioned in the contract. 2. Products Description: A complete description of the products being consigned, including their amount, quality, and any related specifications, should be included as part of the contract. 3. Terms and Conditions: The agreement will list all of the consignment's terms and conditions, including how long it will last, where the goods will be kept or shown, and any limitations on the consignee's ability to change or modify the products. 4. Pricing and Payment: The contract may outline the good's pricing schedule as well as the consignor and consignee's split of sales proceeds. It could also specify the conditions and frequency of payments. 5. Responsibilities of the Consignee: The contract will include the consignee's responsibilities, which can include marketing and promoting the items, keeping them in excellent condition, and giving the consignor regular information on sales and inventory. 6. Insurance: The contract could include matters related to insurance coverage for loss, theft, or damage during the consignment period, depending on the nature of the materials. 7. Return of Unsold Goods: The conditions of the agreement of returning unsold goods to the consignor, together with any related expenses, may be outlined in the agreement. 8. Termination Clause: A clause explaining how to end the consignment arrangement and stating any costs or penalties that may apply should be included. In order to prevent miscommunications or disagreements, it is crucial that both parties comprehend and concur with the conditions specified in the consignment contract. It is advisable to seek legal advice when drafting or reviewing such contracts to make sure that both parties' interests are sufficiently protected and that the relevant laws are followed. Blockchain technology (BT) is one tool that could improve future food systems policies, traceability, and the flow and success of these supply chains. Blockchain technology (BT) can increase customer confidence, manufacturing efficiency, and product speed--all things the food industry could use right now. By facilitating faster and less expensive product deliveries, increased supply chain transparency and traceability, upgrading real-time trading partner coordination, and significantly improving record-keeping by all parties involved, BT can substantially enhance global food supply chains. A blockchain is a tamper-proof digital ledger that records trade transactions between many trading participants. For this distributed and decentralized system of record-keeping, food supply networks are the ideal fit. A huge, limitless number of trading partners may be able to conduct transactions secretly, anonymously, and securely thanks to blockchain record keeping. These exchanges can take place without a central a mediator.