Australian companies Security Matters Limited and Global Bevco Plt Ltd have formed a 50:50 joint venture to complete the development of a patented wine anti-counterfeit and adulteration system.
The Israeli technology comprises an invisible, liquid-based barcode system, a proprietary reader to identify these codes and a blockchain record to store and protect ownership data. The solution will apply to wines globally, helping to solve regulatory issues surrounding wine provenance, quality and production methods.
“In simple terms, we introduce a trace of a unique marker that effectively represents the DNA of the product right down to the batch number that can be read by a proprietary analyser at every stage of the supply chain,” said Haggai Alon, SMX Founder and CEO.
Peter Yates, Director of Global Bevco said: “The sale of counterfeit wine is a significant threat to the industry that occurs at all price points and is particularly prevalent in China. Moreover, it is a social problem that deprives communities of the value they have created, especially growers of premium products.”
The joint venture will be targeting the FMCG market and specifically the alcohol industry. According to the European Union Intellectual Property Office’s 2016 report, counterfeit wine and spirits cost USD3.18 billion in direct sales across EU every year.
Though this technology may help identify authenticity of wines, it was not announced if the same could be applied to other beverages such as beer and spirits.
Contraband alcohol and illegal production of alcohol are serious issues in Malaysia that have caused deaths. The safest channels to buy alcohol are from legitimate retailers such as supermarkets and authorised distributors.