THE ECONOMIC ASSESSMENT OF BLOCKCHAIN IN WORLD’S LOGISTICS AND SUPPLY CHAIN

Over the past few decades, the global trade and supply chain management environment has become increasingly complex. Integrating new technology is essential to support these trends of growth and complexity. The customs clearance process is a potential bottleneck in the trade environment and the nation’s supply chain management due to its intricate operations, numerous documents, and lack of transparency. These factors lead to inefficient time management, the risk of missing documents, and financial handling inefficiencies. This research explores the potential of integrating Blockchain technology, using smart contracts as the underlying infrastructure, to enhance the overall efficiency of the customs clearance process. The findings demonstrate that implementing Blockchain technology can improve the system's productivity by enhancing time management, reducing the likelihood of document mishandling, and improving financial flow. Additionally, the research indicates that the initial implementation cost significantly impacts the break-even point for Blockchain adoption. At the same time, increases in yearly maintenance and platform fees have a minimal effect and can be offset by improvements in other areas, such as enhanced security.