RFID is very much needed in Pharmaceutical Supply Chains 

According to the Office of Compliance at the Food and Drug Administration, 80% of active pharmaceutical ingredients in the U.S. today come from manufacturing facilities outside of the United States.  The number of pharmaceutical ingredients produced at foreign facilities doubled between 2001 and 2007.  What previously was an American drug supply is now a world drug supply.  Why did this happen?  Cost pressures drove manufacturing costs overseas where overhead costs and labor are less expensive.  Therefore, pharmaceutical drugs that many of us rely on every day and pick up at Walgreens and CVS come from a foreign manufacturing facility. 

What is the problem with this? 

The problem is that drugs are now manufactured in countries that are less developed than ours and most foreign manufacturing facilities have never been inspected.  In fact, field inspection exams are happening less and less.  Because of this, and the distance that the drugs must travel to get here, there is a lot of room for drug tampering, substitution and theft.

What is a solution to this?

A solution to pharmaceutical supply chain safety is RFID tracking systems.  RFID could effectively trace a product from the manufacturing site all the way to a U.S. pharmacy.  Traceability, accountability and corporate responsibility will ensure that our drug supplies are safe.  In fact, the FDA is offering rewards in the form of “go points of entry” to pharmaceutical companies who develop and utilize secure supply chain systems.  These pharmaceutical supply chain RFID solutions are available and are customizable.  My hope is that pharmaceutical companies will put RFID technology into practice in the world drug supply chain to keep us in safe hands.

Many thanks to Brian Hoskins for the photograph.