How Does Blockchain In Pharma Industry Work?


The Pharmaceutical distribution chain in this 21 st century has grown immensely, but still lagging behind in technologies and management systems to simplify the process. Hence blockchain can provide, significant benefits. Blockchain in the Pharma industry provides real-time information to all the users in the supply chain to prevent fraud and to enhance patient safety.


Manufacturer Adds QR code

Once the Drug is manufactured the manufacturer will add the QR code to it, which contains item name, item stamp, location, manufacturing, and expiry date. Then that information will be stored on Blockchain, enabling stakeholders to track those drugs transparently with a hash ID added to the blockchain.

After that, the drug will be shipped with a temperature sensor to the distributors via IoT-enabled vehicles to enable cold-chain shipping. This vehicle also sends the real-time location to the blockchain, which enables stakeholders and government agencies to find what time the drug was delivered and received.

Delivery of Drugs to Hospital by Distributors

After receiving the drugs from the service provider, the distributor will cross check the details with the help of hash ID stored on Blockchain and even can trace back that information. once the validation was done the distributor will sign the transaction digitally and added to Blockchain. 

Then the Drugs will be sent to hospitals/Pharmacies when the signed transaction triggers the smart contracts.

Pharmacist's drug verification 

Here Pharmacist too can track the drug details with the hash ID. The transaction will be considered invalid if any distributor sells counterfeit drugs with a fake ID to pharmacists and patients. The transaction cannot be done without a private key too.

Once the Transaction is valid and it will be further added to the blockchain as a legal deal.

Patients Buy and Verification of Drug

Patients can check out the drug whether it is safe or not by scanning the QR code attached to packing using the mobile app. Those details will be fetched from blockchain through QR code. 

Once they are satisfied they can give rating and feedback to the drugs and that feedback will be again stored on Blockchain. All these data on the blockchain are maintained by consensus-driven, transparent and immutable. 


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