Radio Frequency Identification Technology for Logistics, Tagging and EPC

Why the Slow Growth in South Africa?

Wednesday, February 20, 2008

The slow adoption of RFID in Africa presents various opportunities for vendors, according to new research by Frost & Sullivan posted online this morning.

Most important: the availability of green field opportunities that have not yet been exploited but are perfect for early mover advantage.

Other research tidbits that caught our eye:

  1. Despite the availability of a variety of RFID opportunities, there are several factors hindering its expansion, for example, several companies in Africa are small or medium enterprises with low volumes of production.
  2. RFID is costly for such businesses to implement. As a result, many sectors continue to use alternative solutions such as bar codes.
  3. The technology is also ineffective if operated under certain conditions. For example, transponders do not function well when tagged on metallic objects or watery surfaces. This poses difficulties for manufacturing and other industries that use a variety of metallic objects.

 [end] 

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