Chips with everything

16 August 2005

Electronic "chips", as the newspapers delight in calling them, seem to be everywhere currently. Recent national newspaper stories have highlighted trade union protests over workers being "forced" to wear tracking devices and hospitals using chipped wristbands to ensure patients receive the right treatment.

But what has this to do with packaging? Packaging Today's sister publication, RFID Solutions, recently co-hosted a successful conference with leading UK barcoding and RFID body GS1UK on progress with supply chain deployment of radio frequency identification (RFID) technology.

With more retailers joining the early pacesetters, the packaging community will soon have to think more seriously about the cost, practical and logistical implications of having to apply RFID tags on-line at high speed, particularly as, within 3-4 years, many individual FMCG goods could well be tagged.

One worrying conclusion from the conference, and our discussions with converters, is that few packaging companies seem to have any proper RFID strategy in place. Given today's tight margins, it is unsurprising companies are unwilling to implement potentially quite expensive new technology until they actually have to and can see a return. However, Packaging Today's advice is to think about RFID sooner, rather than later as, as many analysts say: "It is going to happen. It's no longer if, but when".

Accordingly, this issue includes an RFID focus (pp34-39), including a report on how Nestlé's German arm recently worked with Sato and UPM Rafsec to overcome some of the more challenging physical aspects of RFID tagging its FMCG goods.

For more regular coverage of the RFID scene, why not subscribe to RFID Solutions (visit www.rfidsolutionsmagazine.com for details). Our RFID stablemate will be staging a special RFID forum "RFID: What and Why?" at September's Packaging Innovation Show geared strongly at brand design and marketing personnel who need to better understand the RFID challenges and opportunities ahead.

The show, which organiser Reed Exhibitions claims is among the first UK packaging events aimed strongly at designers and marketeers, could hardly come at a better time, with more intense competition on the high street and a more fickle and diverse consumer base than ever. See story on page 7 for full details.

Jonathan Baillie




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