RFID Price Tag Too High For The Corrugated Box Industry

At present, the operational benefits of RFID will not offset the high cost of the technology, according to a study commissioned by the RFID Task Group of the Fibre Box Association(FBA). The purpose of the study was to estimate the net effect on a corrugated box manufacturer of supplying RFID-enabled corrugated containers.

FBA, whose members produce more than 90% of all corrugated boxes manufactured in the U.S., commissioned Forrester Consulting to study the impact of RFID on corrugated boxes as it is very likely that RFID tags will soon be requested on finished corrugated boxes. The conclusion of the study is that currently the cost of capital improvements required for the in-line tag application coupled with the operational problems such as removing boxes with defective tags are higher than any benefits received.

With RFID mandates from Wal-Mart, Target, Albertsons, Best Buy and the Department of Defense the time-frame for RFID complying is fast approaching. This FBA study provides information and strategies. For information on this study visit http://www.fibrebox.org.

The Fibre Box Association

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