FDA Suggests RFID to Protect Drug Supply
The FDA's decision to ramp up their requirements for tracking drugs creates both great opportunities and risks for those in the RFID industry.
On the one hand, if executed well - it could create a huge market opportunity for RFID technology manufacturers and a clear pathway for more efficient, safe and cost-saving inventory management systems for the pharmaceutical industry. Consumers, too, could benefit from safer, less expensive drugs.
However, there are also risks. Since pharmaceutical companies provide drugs to government markets too-- the VA, DoD, CDC-- poorly executed strategy could create different technology standards depending on who they are tracking for.
There are also signifigant questions about who controls the tracking data - and who is legally liable for its accuracy and completeness. If someone takes contaminated drugs because a chip reader missed a stage in the distribution process that could have alerted consumers of a problem - who can be sued? The drug company, the hardware manufacturer, the software company managing the data, the government?
There is also the risk of turning potential political allies into opponents. Drug stores and other retailers are likely to get very concerned about RFID labeled products if some state governments are successful in passing legislation requiring them to post RFID warning signs and be liable if items leave the store with live tags.
Imagine the reaction from the privacy community about people finding out you are leaving the drug store with Viagra!
Those in the health care sector and the RFID industry need to be working together to help develop policy answers to solve these problems.
