A new way of embedding radio frequency identification (RFID) tags into pack cases could reduce the cost of using the tracking technology, according to the companies involved in the project.

Domino ISG and Hide-Pack have joined together to develop what the two companies are calling 'smart boxes'  -- a technology that eliminates the need for a paper label by
incorporating the RFID inlay within the packaging medium.

Paul de Blois, Hide-Pack's vice president and general manager, said the key to making RFID affordable is by integrating the technology into the manufacturing process of the packaging medium.

"Hide-Pack is an environmentally-sustainable approach to RFID that reduces capital costs, improves labour productivity, maintains the package recyclability, and improves the reliability of the RFID tag," he stated.

RFID has long been touted as the future of logistics for all companies by allowing retailers and suppliers to track goods throughout the supply chain.

However high prices for tags and systems has held enthusiasm at bay. Privacy concerns have also limited its use at the consumer level. Mandates from such giant retailers as Wal-Mart and Metro are slowly forcing processors to make investments in the system

The new packaging uses the Hide-Pack system of embedding an RFID inlay within the structure of a package, corrugated case or folding carton, so that the inlay is not visible from the outside or the inside of the package.

The layers of packaging adhesive encapsulating the preserve the inlay's performance under detrimental conditions such a condensation resulting from cold storage and immersion in water, the two companies claimed.

"Hide-Pack allows suppliers to scale RFID compliance across multiple SKUs (stock keeping units) and improve supply chain visibility," the two companies stated in releasing the product.

By eliminating or reducing the need for RFID printers and applicators, Hide-Pack claims it has simplified RFID adoption.

In-line RFID readers and antenna create a smaller footprint for encoding, verifying and validating Hide-Pack enabled boxes, the companies claimed.

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