Study: Importers Could Benefit Financially From RFID Technology

ByJohn S. McClenahen Financial benefits exceeding $220 per container could accrue to importers using radio frequency identification sensors to improve cargo security, suggests an analysis done by BearingPoint's Inc.'s Global Trade Management Practice for the U.S. Trade and Development Agency. Benefits include greater predictability and timeliness of shipments, reduced safety stock and inventory carrying costs, increased profits as a result of improved in-stock product rates, reduced costs related to theft and pilferage, improved customer service, and lower costs related to U.S. Customs' trade security measures. The demonstration project that was analyzed involved containers shipped from Laem Chaban, Thailand, to Seattle during September and October of last year.