Contour Partners With TradeLens To Digitally Transform Trade Finance Workflows
As per the latest news, Contour, a global digital trade finance network has reported its partnership with TradeLens, a blockchain-based supply chain platform focused on delivering a secure, safe & transparent transfer of electronic Bills of Lading (eBL).
This aforesaid Contour-TradeLens Partnership seems critical for the ecosystem as it consolidates direct access to significant ocean carriers with a structured trade finance network. No arrangement could provide a phenomenal solution like these kinds of partnerships where the corporates and banks can synchronize their trade finance services with the physical shipment and enjoy an interoperable, end-to-end paperless transaction.
The demand for these kinds of digital trade solutions has reached its peak and the biggest reason is the sudden outbreak of the global pandemic that exposed the vulnerability of global supply chains and highlighted liquidity requirements on SMEs. In international trade, a Bill of Lading is a critical document that shows that the shipment has been performed, and the banks are required to fund goods that are still in transit (by waterways). These digitally-transformed eBills will simplify and structure the entire trade finance process.
The TradeLens eBL improves the issuance, transfer, and surrender of original shipping documents by transforming this transfer of title process. This eBL arrangement is acknowledged by the business including sea transporters, banks, and regulators, and appreciates a supply chain ecosystem that delivers information exchange for over 65% of containerized trade. Direct incorporation with sea transporters enables a native issuance of a digital BL in an organized format as soon as it is released. This is how good logistic practices can help in global trade recovery.
The growing network of Contour enables all banks, financial institutions, and corporations to further develop digitization, speed, and transparency in their trade finance processes. The involvement of TradeLens in this initiative will further improve the solution. For example, while dealing in Contour’s digital Letter of Credit (LC) solution, both the buyers & sellers can agree on the terms of presenting eBL as a proof of shipment and eliminate the requirement of receiving, sending, and altering paper documents. This whole idea ensures the ultimate user experience, decreases workflows, and further develops turn-around time.
Carl Wegner, CEO at Contour explained, “Our association with TradeLens helps us complete our goal of introducing a truly global and digital trade finance ecosystem. With increasing difficulties in supply chains and markets across the world, digital transformation is essential to address many of these complexities. Through planned association with top industry players, we can improve the speed towards digitization and improve the trade finance industry standards.”
Kim Spalding, CEO of GTD Solution and the TradeLens platform stated, “We are glad to operate with Contour on the digitization and synchronization of banking and shipping document processes. Consolidating our ecosystems will improve the speed of using eBLs and introduce safe working procedures with reliable data from blockchain verified documents.”