Chinsay, a provider of contract digitalisation solutions in the commodity and freight markets, has completed the first fully digitalised iron ore trade.
This was done through a trial achieved in partnership with Rio Tinto and Cargill’s Metals business on Chinsay’s Intelligent Contract Platform (ICP).
ICP allows companies to digitalise pre-trade processes early in the deal lifecycle, creating an agreed contract dataset that can be seamlessly integrated with other operational systems, functions and processes, enabling transparency and traceability across the supply chain.
The solution prepares clients for the use of technologies such as blockchain, ML, AI and electronic trade documentation solutions.
In using ICP, Rio Tinto and Cargill collaborated on a single platform to dramatically reduce the time it takes to create, issue and approve commodity contracts from several days to under two hours.
The digitalisation of this fundamental trade process creates the opportunity to automate and deliver post-trade efficiencies by linking front-, middle- and back-office functions.
“This is a technological milestone for the industry, and we are delighted Rio Tinto and Cargill Metals chose to partner with us and use our ICP as the core technology to create this advance,” said Chinsay CEO Colin Hayward.
“We are constantly collaborating with clients, market participants, tech vendors and industry consortia to extend digitalisation further along the commodity trade lifecycle,” Hayward said.
Lee Kirk, managing director for Cargill’s Metals business, said the ICP has the potential to benefit the entire ferrous industry.
“This is a great example of how we can leverage advancements in technology to benefit from increased speed, transparency and efficiencies that enable us to serve our customers and suppliers better,” Kirk said.