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The EU-funded SMART project is looking to finalize the technological hurdles that have hindered the widespread acceptance of the data containing tags. Utilizing radio waves, the information can be shared at a distance.

The efficiency to the supply chain has enough potential to keep retailers, wholesalers and distributors using the system – but at arms length. Currently RFID tags are mainly used for palette tracking. While the business and technological hurdles are being addressed, issues of privacy are also at stake.

In October, RFID tags will start to make their way on to actual packaging as the SMART Project starts testing the ability to monitor stock levels and monitor promoted goods. Phase II of their testing commences in the first half of 2009 as they test an automatic discounting system for meat nearing an expiration date.