The Russian Ministry of Transport is collaborating with IBM and Maersk to develop TradeLens, a pilot blockchain shipping solution project, reported by Russian financial media Kommersant on Tuesday, Feb. 26

According to the media outlet, the Ministry of Transport and its subsidiary is planning to sign a memorandum of understanding with Maersk. This is one part of the development of an international trading blockchain platform Tradelens for cargo transportation integration. The project, which will be implemented in the Big port of St. Petersburg, one major port in Russia.

Launched by IBM and Maersk in August last year, TradeLens will utilize smart contracts technology and a decentralized network to connect various supply chain participants such as transport firms, shippers and traders. The technology is forecasted to cut the operational costs up to an amount of 10 billion roubles (~$152 million).

The project has obtained approval from the Russian Federal Security Service (FSB). The FSB also noticed the importance of getting Russian enterprises to partake in global projects as the US sanctions continue to be imposed. The trial is reported to be launching in the second half of 2019.

As The Crypto Sight reported on Feb.16, Russian shipping firm Infotech Baltika is going to develop a blockchain-based system for several ports, including St. Petersburg.