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EU prefers GPS over RFID for cargo tracking

Philippines: The Bureau of Customs (BoC), Philippines proposed Radio Frequency Identification (RFID) technology for tracking of cargo but the European Union (EU) did not accept it and is still keen to back GPS technology, BusinessWorld reported. The EU currently has a partnership with the bureau for trade-related technical assistance to improve the flow of goods between the country and Europe.

Earlier, Rozzano Rufino B. Biazon, Commissioner of BoC, said that the customs bureau is currently studying the possibility of implementing the cheaper – although less sophisticated – RFID system to run alongside the GPS system, with the view of replacing the latter, should it prove to be an unnecessary expense. Under the proposed system, RFID chips will be implanted on cargo, while RFID readers will be installed in the country’s ports and warehouses. This will allow the bureau to register which shipments leave its ports, what time they depart and what time they arrive at their destination.

Guy Ledoux, head of the delegation of the EU to the Philippines, said, “I understand that Biazon is eager to be fully briefed on the merits of how the GPS technology can be applied for trans-shipment in order to compare it with alternative technologies.” He added that the EU is ready to provide the bureau with further analysis and evaluation of the GPS method.

“The Bureau of Customs aims to make transit shipments more efficient and effective, reducing costs and increasing security through tracking  ranshipments. The EU’s Trade-Related Technical Assistance supports the Bureau in this endeavour through technical assistance and expertise,” he explained.

The Customs bureau, responsible for a fifth of state revenues, is programmed to collect PHP 320 billion (PHP: Philippines Peso) this year. The government has forecast that it will only manage PHP 276.4 billion though, due to lower trade in the global markets.

Source: BusinessWorld