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Ministry of Transport of the Russian Federation, Morsviazsputnik and A.P. Moller-Maersk signed memorandum of understanding for development of international trade blockchain platform for integration of cargo transportation

Friday, June 7, 2019

On June 5, 2019 in St. Petersburg: the Ministry of Transport of the Russian Federation, Morsviazsputnik and A.P. Moller-Maersk (Denmark) signed the Memorandum of understanding. According to the signed Memorandum the Russian Federation will participate in the process aimed at creation and operation of the developing international trade blockchain platform for assuring integration of national, international and transit cargo transportation.

The parties also agreed on the concept development of future introduction and adaptation of the international trade blockchain platform in the Russian Federation on results of the pilot project which was implemented on the basis of the Big port of St. Petersburg, representative office of A.P. Moller-Maersk in St. Petersburg, with the involvement of the Federal Customs Service and some other federal executive authorities, stevedoring companies, etc.

"The Memorandum will give start to the new project which will make the industry of logistic transportations more open and transparent and will help all the participants involved in the process to obtain all the necessary information on containers’ movement when passing customs and during other logistic procedures", - said Yury Tsvetkov, Deputy Minister of Transport of the Russian Federation - the Head of Federal Maritime and River Transport Agency.

TradeLens blockchain platform will also use smart contracts technology and is developed to replace labor-consuming paper document flow. TradeLens has already gained the recognition in the industry, more than 100 companies, sea administrations and customs services have been already connected to this platform in the world.

Introduction of TradeLens blockchain platform means the creation of a consolidated digital space which unites all participants in the supply chains: traders, transport companies, ports, carriers, state agencies, etc.

Maersk CEO  Soren Skou commented: "All the parties which are responsible for documents flow such as: customs authorities, banks, public authorities. -  will be involved in this platform … The Memorandum which we have signed today grants to us the right to contact the Russian banks and also to connect them to this platform. We would like that all the banks participating in the global trade ideally participate in it".

Morsviazsputnik General Director Andrey Kuropyatnikov noted: "All the participants of cargo transportation chain including producers of goods, shipowners, charterers, ports, operators of sea terminals and customs services, -  will gain from the international trade blockchain platform. The potential of blockchain platform use, its architecture protected from unauthorized access and full transparency makes it to be an ideal management tool in the sphere of cargo transportations".

Note:

The Ministry of Transport of the Russian Federation  is the Russian ministry responsible for developing public policies and legal regulations regarding commercial aviation, sea transport, inland waterway transport, railroads, road transport, urban metro systems, and commercial transport vehicles. The ministry is also responsible for surveying and mapping and naming geographic features. It is headquartered in Moscow.

Maersk (A.P. Møller-Mærsk) the Danish company specializing in sea freight transportation and in providing service to port terminals. The headquarter is located in Copenhagen, its subsidiaries and offices which employ about 79 thousand people operate in more than 135 countries worldwide. For 2018 Maersk is the world leader in the sphere of container transportations obtaining 17.8% share of the market.

Morsviazsputnik is the national operator of Inmarsat mobile satellite communication system in the territory of the Russian Federation. Being in the front line of mobile satellite communication in the territory of the Russian Federation for more than 40 years, Morsviazsputnik offers its subscribers a full portfolio of services in the field of communications, IT-technologies, navigation and monitoring of mobile objects. The enterprise is a subordinated organization of Federal Maritime and  River Transport Agency of the Ministry of Transport of the Russian Federation, participates in the implementation of the national projects.