Drug Supply Chain Integrity Using QR Code with Blockchain-Powered Verification

Abstract

The growing concern of counterfeit and substandard pharmaceuticals presents a significant threat to public health and safety. Ensuring the authenticity and integrity of drugs throughout the supply chain is crucial to combat this issue. Blockchain technology, with its decentralized and immutable ledger system, offers a robust solution to enhance transparency, traceability, and security in drug production and resale. This paper explores a blockchain-based framework that enables real-time tracking of pharmaceuticals from manufacturing to distribution and eventual resale, ensuring that only authentic medicines reach consumers. By leveraging cryptographic hashing and distributed consensus, the proposed system records every transaction in a secure and verifiable manner, preventing unauthorized modifications or counterfeit infiltration. Unlike conventional centralized tracking systems, which are vulnerable to security breaches, the blockchain model decentralizes data storage, making it resistant to tampering. The system facilitates seamless verification of a drug’s journey, from production to distribution and resale, while also enabling patients to validate medication authenticity before purchase. Additionally, the framework incorporates a verifiable resale mechanism, allowing unused medicines to be returned and resold under regulatory supervision, thereby reducing medical waste and increasing accessibility to essential drugs. This blockchain- driven approach not only minimizes human errors and operational inefficiencies but also strengthens trust among manufacturers, distributors, and consumers. By integrating smart contracts for automated verification and enforcement of compliance, the proposed system establishes a transparent and secure pharmaceutical supply chain. The implementation of this solution has the potential to revolutionize drug authentication and resale, providing a significant leap forward in ensuring patient safety and regulatory adherence in the pharmaceutical industry.

Introduction

The pharmaceutical industry faces increasing challenges due to counterfeit and substandard drugs, which threaten public health, erode consumer trust, and cause financial harm to legitimate manufacturers. Traditional supply chains rely on centralized systems that are prone to manipulation, lack transparency, and are vulnerable to cyberattacks.

To address these issues, a blockchain-based drug authentication and resale system is proposed. This system uses decentralized, tamper-proof ledgers to track every transaction throughout a drug’s lifecycle—from production to resale—ensuring authenticity and safety.

Key Features of the Proposed Blockchain System:

• Unique Hash Codes: Each drug package receives a unique hash code at the manufacturing stage for complete traceability.

• Immutable Records: All transactions are securely recorded on the blockchain, making data unalterable and transparent.

• Real-time Verification: Stakeholders, including consumers, can verify drug authenticity through QR code scanning.

• Secure Resale Mechanism: Unused medications can be returned, verified, and safely redistributed through authorized channels, reducing waste.

• Enhanced Efficiency: The decentralized model improves operational speed, reduces fraud, and minimizes reliance on intermediaries.

Supporting Research Highlights:

• Durá et al. emphasized blockchain's ability to ensure data integrity and compliance using smart contracts and IoT integration.

• Chen et al. explored merging AI and blockchain for drug quality assurance and anomaly detection.

• Haji et al. demonstrated blockchain’s role in reducing pharmaceutical waste and increasing transparency in drug safety.

• Bandhu et al. showed how blockchain enhances regulatory compliance and prevents counterfeiting using smart contracts and environmental monitoring.

• Kumar et al. highlighted QR-based drug verification and AI-blockchain integration to improve supply chain transparency.

Current System Limitations:

• Centralization: Vulnerable to cyberattacks and data manipulation.

• Lack of Transparency: Patients and stakeholders struggle to verify drug legitimacy.

• Ineffective Resale: No reliable system for safely redistributing unused medications.

Experimental Results of the Proposed System:

• Faster Transactions: Authentication is almost instant.

• Enhanced Security: Tamper-proof records protect against counterfeiting.

• Improved Traceability: Real-time tracking boosts transparency.

• Verified Resale: Ensures only authentic drugs are reintroduced into circulation.

Conclusion

The implementation of blockchain technology in drug production and resale provides a highly secure and transparent approach to tracking pharmaceuticals throughout their lifecycle. By leveraging decentralized ledger technology, this system ensures that every transaction, from manufacturing to resale, is immutable and verifiable, significantly reducing the risks of counterfeit drugs in the market. Unlike traditional centralized systems, which are prone to data tampering and security vulnerabilities, blockchain enhances traceability, security, and efficiency by providing a real-time, tamper-proof record of drug movements. This guarantees that manufacturers, distributors, pharmacies, and consumers can trust the authenticity of medications they handle. The incorporation of smart contracts automates approval processes, reducing human intervention, minimizing errors, and improving overall operational efficiency. Additionally, the verifiable resale mechanism ensures that unused, safe medications can be returned and redistributed securely, reducing drug waste while maintaining regulatory compliance. Patients benefit from increased trust in the medicines they purchase, as they can track their origins and verify their authenticity. In conclusion, blockchain-based pharmaceutical tracking is a game-changing innovation that not only enhances drug safety but also builds a more transparent, efficient, and secures supply chain. This system has the potential to revolutionize the pharmaceutical industry, making drug authentication and resale safer, more efficient, and resistant to fraud. Future enhancements could include AI-driven predictive analytics to further optimize the supply chain and enhance real-time decision-making.

References

[1] Durá, Marta, et al. \"Blockchain for data originality in pharma manufacturing.\" Journal of Pharmaceutical Innovation 18.4 (2023): 1745- 1763. [2] Chen, Shilin, et al. \"Emerging biotechnology applications in natural product and synthetic pharmaceutical analyses.\" Acta Pharmaceutica Sinica B 12.11 (2022): 4075-4097. [3] Haji, Mona, Laoucine Kerbache, and Tareq Al-Ansari. \"Food quality, drug safety, and increasing public health measures in supply chain management.\" Processes 10.9 (2022): 1715. [4] Bandhu, Kailash Chandra, et al. \"Making drug supply chain secure traceable and efficient: a Blockchain and smart contract-based implementation.\" Multimedia Tools and Applications 82.15 (2023): 23541-23568. [5] Kumar, Gaurav. \"Pharmaceutical drug packaging and traceability: A comprehensive review.\" Universal Journal of Pharmacy and Pharmacology 2.1 (2023): 19-25. [6] Turki, Mariem, et al. \"NFT-IoT pharma chain: IoT drug traceability system based on blockchain and non fungible tokens (NFTs).\" Journal of King Saud University-Computer and Information Sciences 35.2 (2023): 527-543. [7] Gayialis, Sotiris P., et al. \"A review and classification framework of traceability approaches for identifying product supply chain counterfeiting.\" Sustainability 14.11 (2022): 6666. [8] Humayun, Mamoona, et al. \"Securing drug distribution systems from tampering using blockchain.\" Electronics 11.8 (2022): 1195. [9] Piatkowski, Timothy, et al. \"“They sent it away for testing and it was all bunk”: Exploring perspectives on drug checking among steroid consumers in Queensland, Australia.\" International Journal of Drug Policy 119 (2023): 104139. [10] Zhang, Jie, et al. \"A microbial supply chain for production of the anti-cancer drug vinblastine.\" Nature 609.7926 (2022): 341-347. [11] Abdel-Fatah, Sobhy S., et al. \"Boosting the anticancer activity of aspergillus flavus “endophyte of jojoba” Taxol via conjugation with gold nanoparticles mediated by ?- irradiation.\" Applied Biochemistry and Biotechnology 194.8 (2022): 3558-3581. [12] Pathak, Ranjana, et al. \"Tackling counterfeit drugs: the challenges and possibilities.\" Pharmaceutical Medicine 37.4 (2023): 281-290. [13] Raikar, Amisha S., et al. \"Advances and challenges in IoT-based smart drug delivery systems: a comprehensive review.\" Applied System Innovation 6.4 (2023): 62. [14] El-Sayed, Ashraf SA, et al. \"Production and bioprocessing of camptothecin from Aspergillus terreus, an endophyte of Cestrum parqui, restoring their biosynthetic potency by Citrus limonum peel extracts.\" Microbial Cell Factories 22.1 (2023): 4. [15] Nasim, Noohi, Inavolu Sriram Sandeep, and Sujata Mohanty. \"Plant-derived natural products for drug discovery: Current approaches and prospects.\" The Nucleus 65.3 (2022): 399-411.

Copyright

Copyright © 2025 Mrs. Brinda Bonsalin B, Mrs. V. Dhavamani , Mr. M. Mohamed Faisal. This is an open access article distributed under the Creative Commons Attribution License, which permits unrestricted use, distribution, and reproduction in any medium, provided the original work is properly cited.