Digitalisation is already a part of our normal daily lives, not only in Europe but worldwide. It is also becoming increasingly important in the sourcing of spices and herbs. New trends include the use of sensors, digital tools and online activities to make the whole supply chain more transparent and sustainable.

Monitor digital trends from the farm to the fork in the spice and herb supply chain

The spice and herb supply chain is long and comprises many steps. Various digital innovations are increasingly being used at each of these stages. Sourcing starts at the level of the farmer where smart applications and precision agriculture are increasingly being used. It then continues at the level of the processor where many advanced process technologies are being developed. Export operations are tracked using digital traceability solutions. Finally, consumers have access to more information about spices and herbs they eat by using scannable QR codes.

• At the level of the farm, precise methods are employed to reduce the use of pesticides and to use irrigation and fertilisation more efficiently. Advisory services such as digital support tools and automatic weather stations are increasingly being used. As many advanced technologies require small producers to make large investments, low-cost smartphone applications are being developed in spice- and herb-producing countries.
• At the level of the processor, new technologies, equipment and databases enable precise measurement of the main quality parameters for certain products. This improves transparency and control over quality and food safety issues. In the spices and herbs sector this involves monitoring parameters such as moisture, density and seed size, as well as controlling contamination with foreign bodies. Process automation and artificial intelligence are also key trends.
• At the level of the sector, lots of data is collected to establish quality parameters and gather market data. For example, leading laboratory testing companies such as Eurofins Genomics use next generation sequencing to establish the authenticity of products. This DNA fingerprint database contains unique identifying characteristics (the “fingerprints”) of foodstuffs and makes it possible to obtain proof of authenticity, which was not previously available.
• Online trade events have become a solution for the temporary ban on large physical events due to the COVID-19 pandemic. Several leading trade fair organisers started organising online platforms and events in 2020. For example, instead of the physical trade fair SIAL in Paris, online events such as ANUGA@Home, SIAL Innovation or SIAL Insights online, have been held. Food Ingredient Europe organised the digital FI Connect matchmaking event.
• Online food sales grew significantly during the COVID-19 pandemic in 2020 and 2021. Exporters of spices and herbs still sell most of their products in the traditional B2B way, but many of them are switching to online marketing. Some of the large traders and processors have established online sales platforms. Olam Spices, one of the world’s largest processors and traders of spices and herbs, is one such example. However, most spice companies still use online sales platforms mainly for domestic transactions, rather than for export shipments.
• During transport blockchain technology is increasingly being used to reduce the costs of intermediaries. Blockchain systems allow each stakeholder in the supply chain to view the progress of goods throughout the supply chain, monitor the container movement in real time, and see the status of the customs documents. In addition to tracking the goods, blockchain technology can be used to encrypt important documentation (e.g. regarding quantities or prices and contracts).
• At the consumer level many mobile applications now help consumers make better informed food choices. Online shopping has taken off due to the COVID-19 pandemic. Although online shopping is used primarily for local purchases, some spice and herb products can now be bought directly from the source. For example, Biobhutan’s website enables consumers to buy directly from the origin and pay by credit card. Finally, producers use QR codes on their retail packaging to inform consumers about the place of origin and farmers, and to show greater transparency.

The most important digital trends throughout the supply chain of spices and herbs will be examined in more detail in the following chapters.

Helping farmers use available phone apps and smart agriculture for better yields

These days, many farmers worldwide are already using digital technologies with the help of smartphones, sensors, drones and satellites. These technologies provide a range of solutions for producers of spices and herbs, such as remote measurement of soil conditions, better water management, forecasts of pest and disease emergence and crop monitoring. The most important fields of farming digitalisation include precision farming, decision support tools and robotics.

A recent project (launched in April 2021) that focuses on digital agriculture is SpiceUp. This project combines advanced satellite technology, the internet, and information technology to support black pepper producers in Indonesia. The programme is funded by the Netherlands Space Office and involves several partners. The lead organisation of the SpiceUp consortium is Verstegen, one of the largest Dutch spice processors and traders.

One of the results of the project is the development of the SpiceUp smart phone application for pepper farmers. This app supports different actors in the black and white pepper chain, such as farmers, buyers, agricultural input providers, financial institutions and governmental organisations. For example, the app gives farmers customised advice on water management, fertilisers and agricultural techniques. Farmers also receive alerts regarding the pests and diseases specific to their crop or region, based on weather forecasting.

The app enables spice collectors to use farmer QR codes to collect specific data regarding farm size, pepper variety, and yield, for example. Via the geodata intelligence platform, SpiceUp provides pepper buyers (collectors and processors) with information about soil and weather suitability (specific to the pepper variety and its needs), good agricultural practice, and traceability info of the pepper produced by farmers in the specific buyer’s network. The market price can be accessed and used as input for farmers’ transactions.