The Role of Smart Labels in Food Supply Chains

Global security technology company Giesecke+Devrient (G+D) has developed a new smart label designed to enable more effective tracking of agricultural products in supply chains. The label is particularly being used to monitor fruits and vegetables and aims to help agricultural stakeholders cope with the growing number of food recalls in the United States. Additionally, some food processors and distributors must comply with record-keeping and traceability measures mandated by the Food and Drug Administration (FDA), which will take effect in 2026 and enable faster detection of contaminated food in the market.

G+D Smart Label is designed as an adhesive label slightly larger than a credit card and converts any package into an Internet of Things (IoT) device that delivers advanced shipment visibility, security, and accountability. Sharath Muddaiah, Head of IoT Solutions Portfolio Strategy at G+D, stated that they hope these labels will serve as a cost-effective and simple solution that provides customers with a single point of contact for IoT solutions. The labels feature advanced technology sensors capable of tracking movement, temperature, and tampering, provide automatic proof of delivery, and can be used across many sectors, including agriculture. Food companies can use this data to address shipping challenges and gain a better understanding of their products' condition throughout the value chain.

G+D has been working in the IoT field since 2017 and sells SIM cards that connect devices to cellular networks in addition to smart labels. The company is also working toward creating an all-in-one solution for its customers. Other smart labels on the market can be cumbersome because they require return logistics for reuse, and customers face complications in troubleshooting as they depend on various companies for IoT hardware, connectivity, and software. Muddaiah emphasizes that the greatest advantage of the solution they offer is simplicity.

Radio frequency identification (RFID) has become a popular solution for providing distributors and food service providers with insights about products. Jon Gregory, Community Engagement Director at GS1, a supply chain standards organization, noted that more than half of the largest 27 food service companies are examining RFID. However, despite the emerging potential of this technology in the food industry, recyclability and cost concerns remain major barriers. Because food products have shorter shelf lives, the devices tracking them can only be used for a limited time.

In addition to their thin design, G+D's smart labels feature a non-rechargeable battery that works for up to 90 days. They are also single-use and do not require return logistics. Each label costs approximately $59.

Key Takeaways:

• G+D has developed a new smart label for tracking agricultural products in supply chains.

• The label features sensors capable of tracking movement, temperature, and tampering.

• It helps comply with the FDA's traceability requirements that take effect in 2026.

• The labels feature a non-rechargeable battery that operates for up to 90 days and are single-use.

• Each label costs approximately $59.

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News Link: https://www.supplychaindive.com/news/smart-label-tracks-food-giesecke-devrient/736608/

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