Safety & Traceability in Cosmetics

DApp that improves efficiency for manufacturers and distributors and provides richer product labeling and documentation for consumers

Technology (Solution design) - 20yrs

Chemist and product safety specialist - 20yrs

Chemico Group Pilot

Chemico Group is an ISO-9001 and 14001 certified chemical management supplier specializing in integrated solutions for the entire chemical lifecycle - from procurement to on-site inventory management, distribution to environmentally conscious disposal. Founded in 1989, the veteran-owner, minority-owned company generates more than $150 million in annual sales, and employs more than 500 persons across North America, During its 30-year history, Chemico has experienced positive growth every year since inception. The company is expanding services to Europe and South America.

https://vimeo.com/199232553

Product Safety and Traceability

Properly managing labels on cosmetic and personal care products is critical to the success of any brand. Labels are the most visible part of the regulatory compliance process and are essential to the manufacturer, distributor, and consumer when it comes to the safety of cosmetics and personal care.

Consider the implications... You, your significant other, and children at some point throughout the day use one or more of cosmetic/personal care products including but not limited to: soaps, lotions, toothpaste shampoo, deodorants, nail polish, perfumes, etc ...

Cosmetics are defined by the FDA as articles that are rubbed, poured, sprinkled, sprayed on or introduced into or applied to the human body… for cleansing, beautifying, promoting, attractiveness, or altering appearance [FD&C Act, sec. 201(i)].

How do you know the products you are applying are safe for yourself and your children? The average consumer doesn't know. Which is why companies of value and integrity go to great lengths to abide by product safety regulations making sure the products they are manufacturing and distributing are safe.

There are many considerations for the manufacturer, distributor and consumer when cosmetics/personal care products are involved.

Value Chain Considerations

For Companies

• Comply with regulatory requirements
• Maintain brand integrity
• Reduce costs/fines
• Improve supply chain efficiency
• Greater transparency in the manufacturing process
• Enhance traceability
• Better communication along the value chain
• Sustainability

 ***Example of potential fines assessed for misidentified products.
Legislative Decree N° 204 of December 4, 2015 contains information about the rules on penalties for infringement of Regulation (EC) N ° 1223/2009 on cosmetic products.

Article 7: Identification within the supply chain

The identification requirements in the supply chain from the person responsible / supplier at the request of a competent authority.

If these obligations are not respected, you have to pay a fine of 10,000 to 25,000 EUR

https://www.ceprasrl.it/EN/sectors/chemicals-compliance/cosmetics/consulting-cosmetics/main-penalties.xhtml

For Distributors

• Reduce cost (paperwork)
• Improve efficiency
• Better tracking
• Better communication between manufacturers and retailers
• Better transparency in the delivery process
• Better understanding of hazardous materials contained in products being transported
• More expedient deliveries

***Example of costs that are incurred if products are not classified properly

The classification of your goods may seem like a relatively insignificant part of the shipping process. After all, you're just labeling what you send. But doing so incorrectly can create multiple problems.

https://www.jbstrans.com/3-problems-caused-by-misclassification-of-your-cargo

For Consumers

• Better understanding of the product's journey
• Ability to make more informed choices before final purchase
• Closer relationship with brands and products
• Access to important information about the materials contained in products
• More visibility into product claims

***Example dangers of manufacturers not protecting consumer wellbeing.

The "No Per- and polyfluoroalkyl substances (PFAS) in Cosmetics Act" was introduced in the US House and Senate.

There are adverse health effects associated with exposure to PFAS , including liver damage, thyroid disease, decreased fertility, high cholesterol, obesity, hormone suppression and cancer.

New studies found high levels of markers for toxic PFAS substances in 52% of 231 makeup products purchased in the United States and Canada.

****What we are Proposing:****A comprehensive cosmetic/personal care product value chain and traceability solution on the Cardano blockchain that realizes the above considerations for manufacturers, distributors and consumers. The cost to all three marketplace actors can be reduced significantly by bringing more efficiency, transparency and sustainability to the overall value chain.

Road Map

01/2022 - Analysis and Planning Manufacturer / Distributor Requirements Gathering

02/2022 - Refine and Model System Design / Risk mitigation

03/2022 - Audit System Design

05/2022 - UX UI / Design and Prototyping

06/2022 - Development

09/2022 - Testing

11/2022 - Deployment

12/2022... - Maintenance

Link to Full Proposal: https://docs.google.com/document/d/18egwhK3wWq9XnE44DHcfh5wqb5kRIhUdpfZKk1MZV04/edit?usp=sharing

Budget (Complete Solution):

• Team Fees - $5366 (Fund 7) | $70000 (Full project)
• Requirements Analyst: $9163 (Fund 7)
• System architect: $13342(Fund 7)
• Full stack developer: $0 (Fund 7) | $65000 (Full project)

Ask:

The ask for fund 7 is for first four months of project

Deliverables:

*****Architecture

** Definition document

** Vision

** Communications plan