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RFID Enables Supply Chains Worth $900million

RFID has enabled supply chains carrying goods worth more than $900million annually in Singapore's manufacturing, logistics and fast moving consumer goods (FMCG) industries since May 2004. This was revealed by ...

Singapore, 30 March 2006 | For Immediate Release

IDA Expands RFID Frequency Allocation to Spur Further Adoption

RFID has enabled supply chains carrying goods worth more than $900million annually in Singapore's manufacturing, logistics and fast moving consumer goods (FMCG) industries since May 2004. This was revealed by Mr Chan Yeng Kit, Chief Executive Officer, at a seminar organised by The Logistics Institute - Asia Pacific. These industries have been one of the earliest to embrace Radio Frequency Identification (RFID) technology. Many of the companies have implemented projects to RFID-enable their operations, and help them track and monitor their supply chains.

Mr Chan added, "Infocomm technology has played a key role in differentiating Singapore as a logistics hub. The S$900million worth of goods handled by these supply chains underscores the growing importance of infocomm technologies in enabling the logistics supply chains in Singapore." Logistics companies such as NOL and YCH are also at various stages of implementing RFID to manage their trans-shipment supply chains which, when fully implemented, will handle goods worth hundreds of billions of dollars.

Significant Progress in the Development of a Vibrant RFID Industry

Two years ago, IDA launched a $10million RFID initiative to catalyse the development and adoption of RFID in Singapore. Since then, there has been significant progress. Singapore was the first Asian country to allocate RFID frequency in November 2004. A total of 27 companies have committed to invest more than S$30million in RFID projects, and 380 professionals have received RFID training.

The strong branding for Singapore as the RFID hub in the region has also led multinational companies such as NEC, IBM, NOL and Sun Microsystems to set up RFID centres in Singapore to service their customers in the region. Local companies like Tunity, GT&T and SmartID have also built up significant RFID expertise and made forays into the overseas market. There have been also greater capabilities in the area of RFID research and development.

Local Expansion and Regional Harmonisation of Frequency

IDA is expanding the RFID frequency allocation following industry feedback to cater to the increasing demand of RFID applications. From the existing bandwidth allocation of 923MHz to 925MHz, IDA will expand it to 920MHz to 925MHz - more than double the existing range. The power output limits will remain unchanged. With the expansion, more frequencies will be made available. RFID users, system integrators and equipment vendors can look forward to fewer errors when reading the RFID tags as their systems will be able to select those channels with less interference. This will allow them to deploy RFID readers closer together to give more comprehensive coverage in warehouses and distribution centres in order to avoid blind spots.

In the area of regional frequency harmonisation, IDA rallied ASEAN to agree in-principle to harmonise RFID spectrum allocations in the 860 MHz to 960 MHz range. IDA also pushed for and obtained approval for the draft Asia Pacific Telecommunity Recommendation on Spectrum for UHF RFID. This Recommendation will encourage member countries to harmonise their RFID spectrum allocation in the same range, and achieve interoperability of RFID in Asia. Logistics companies can look forward to tracking their goods seamlessly across countries in time to come, thereby increasing their business efficiency and allowing Singapore to be a logistics nerve centre.

Notes to Editors

1. Please refer to Annex A (68.80KB) for a sample list of companies who have benefited from the implementation of RFID.

2. The table below shows the existing and new frequency range.

Frequency Range Maximum Power Limit Usage
Existing
923-925 MHz
500 mW ERP

2 W ERP
No restrictions and not subject to licensing

For RFID devices only.Power levels above 500 mW are restricted to use inside or within the boundary of the user's building or premises. Licence is required.
New
920 - 925 MHz
(The planned effective date of this new regulation is mid-2006)
   

ISSUED BY CORPORATE & MARKETING COMMUNICATION DIVISION
INFOCOMM DEVELOPMENT AUTHORITY OF SINGAPORE

About Infocomm Development Authority of Singapore

The Infocomm Development Authority of Singapore (IDA) is committed to growing Singapore into a dynamic global infocomm hub. IDA uses an integrated approach to developing infocommunications in Singapore. This involves nurturing a competitive telecoms market as well as a conducive business environment with programmes and schemes for both local and international companies. For more information, visit https://www.imda.gov.sg/  

For media clarification, please contact:

Jenny Ng (Ms)
Manager
Corporate and Marketing Communication
Tel: +65 6211 1341
Fax: +65 6211 2227
Email: Jenny_Ng@imda.gov.sg

LAST UPDATED: 17 MAR 2023