The RFID industry has benefited endlessly from the RFID labeling of tens of billions of cigarettes in the UK
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Recently, many European media reported the news that British cigarettes are labeled with RFID tags. It is reported that all cigarettes sold in the UK must be affixed with RFID chips from October 1st. Through RFID technology, officials of the British Tax and Customs Administration A handheld device can be used to detect the authenticity of a pack of cigarettes, and it can also determine whether tariffs have been paid. In order to achieve the government’s goal of controlling smuggling, tax evasion and counterfeiting in the tobacco industry. See the news report of RFID World Net:The UK requires all cigarettes sold in the UK to embed RFID chips
The British government has made Britain an ideal country for smugglers due to the high taxation of British tobacco. According to TMA (Tobacco Manufacturers Association), in 2006, a total of 2 billion counterfeit cigarettes were sold in the UK, accounting for 3% of the total cigarette sales of 67.5 billion pounds. Illegal smuggling of cigarettes caused a loss of 3.5 billion pounds in British taxes each year, and the tobacco industry 800 million pounds of revenue was lost. “This program provides an instant verification method,” a TMA spokesperson said. TMA worked with the government to guide the project. He added that the current process of sending suspicious cigarettes to the laboratory for authenticity identification is very time-consuming and costly. RFID technology is expected to save a lot of tax losses for the British government.
European countries are deeply troubled by cigarette smuggling and counterfeiting
The economic benefits and demonstration effects that this project brings to the RFID industry will be huge. If the project is fully implemented, the annual consumption of RFID tags will reach tens of billions. The project will also surpass China’s second-generation certificate project and become the world’s largest single-product RFID tag application project. China’s second-generation ID card project will issue a total of 800 million new second-generation ID cards with embedded RFID chips to its citizens by the end of 2008. This was previously considered the largest RFID single-product project in the world. Nearly 10 billion boxes of cigarettes are consumed in the United Kingdom each year. According to regulations, each box must be affixed with an RFID label. At the same time, for inspection and logistics needs, RFID labels are also required to be affixed on large cigarette packages. According to reports, after attaching RFID tags, the additional cost of each pack of cigarettes is about 10 pence (about 1.5 yuan). It is roughly estimated that the tags and related reading and writing equipment required for the project will bring more than 1 billion pounds to the RFID industry. Sales revenue. In addition, don’t forget that RFID tags are consumables, and the annual demand of the tobacco industry is rigid. The huge number of applications will reduce the application cost of RFID tags and help promote the development of the RFID industry. In the future, if consumers also want to check the authenticity of cigarettes in real time, this leads to the development of embedded RFID readers in mobile phones.
The demonstration significance of this project is undoubtedly huge. 1. The ROI goal of the project is very clear. To eliminate tax evasion and counterfeiting in the tobacco industry, it is expected to recover a large amount of losses for the British government every year (Illegal cigarette smuggling causes a loss of 3.5 billion pounds in British taxes each year, and a loss of 800 million pounds in revenue from the tobacco industry. Pounds), the project investment is expected to require more than one billion pounds, but the project’s use of RFID tags is huge. With the increase in tag production capacity of the RFID industry and the rapid development of RFID technology, this cost will drop quickly. Successful RFID projects will greatly promote potential RFID users who are hesitant. Second, the application of RFID technology to common daily necessities will play a good role in the popularization and education of RFID technology in society. Third, the role that RFID can play in the project is: anti-counterfeiting, logistics, and traceability. For potential users of RFID technology, it is an excellent model study case. Fourth, if it succeeds, then other countries in the world with conditions will follow suit. This will cause a frenzy of RFID applications.
Of course, the project also has certain difficulties and challenges, which require the cooperation of the British government and the project’s technology suppliers and cigarette manufacturers to solve them. 1. There is a layer of tin foil inside the cigarette box, which belongs to metal. As we all know, metal will have a great interference effect on the reading of RFID tags. If RFID tags are affixed to each package, how can this problem be completely solved here? The relevant person in charge in the UK told the media that it is not yet possible to disclose the providers of tags and readers. Previously, experts from the British IDTechEx investigation agency suggested that chipless RFID tags (SAW surface acoustic wave tags) are more appropriate. Second, this project requires a huge RFID inspection network, and the cigarette supplier network is also located in various countries. How to ensure the success and ROI of the project is a big challenge. Third, will it bring about privacy issues? Will these problems become obstacles to the project? RFID World Net will continue to pay attention to the development of the British RFID cigarette project.
RFID technology is considered by experts as one of the ten most promising technologies in the 21st century due to its excellent recognition performance. It can be applied to various aspects of society such as industrial production, company management, military activities, and daily life. With the increasing development of RFID technology and the increasing attention and support of RFID technology by governments of various countries, we believe that the time when the RFID application “blowout” is not far away.
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