Radio frequency identification (RFID) wireless tagging last week overcame a major hurdle on the way to replacing barcodes in the supply chain when telecoms standards group ETSI announced it had granted spectrum approval for the technology in the UHF frequency. The new standard will harmonise RFID readers across EU countries.

Experts said that with a standard for global tags also effectively agreed, the adoption of the UHF spectrum would accelerate the adoption of RFID in supply-chain management. "Standards are the number-one issue holding RFID back," said Alys Woodward of analyst firm Ovum. "UHF has the best applicability to supply chains because it handles multiple reads. Instead of manual checking you can do the whole [logistical exercise of tracking goods] at once."

Martin Swerdlow, chief executive of RFID integrator IPI, said, "This is very, very important stuff and extremely good news." However, he warned that the US had allocated a more generous spectrum allowance to RFID and predicted that some interference was likely in Europe.

Anne Sharp, marketing communications manager at RFID equipment maker Printronix, said, "We've been in the early-adopter stage since [retailer] Wal-Mart mandated RFID from its biggest suppliers but we've passed the first stage now."

In a January survey by Vanson Bourne, 44 percent of European retailers and distributors said that it was important for RFID standards and frequency requirements to be clarified.

RFID users welcomed the standard approval. "This is yet another step towards adoption," said Andy McLean, business systems manager for applications at Safeway. "The more standards there are, the less you're going to find yourself out on a limb."

Zygmunt Mierdorf of German retail giant Metro said, "It adds momentum to our plans as we will be able to use UHF without having to obtain special licences."

Alan Estevez of the US Department of Defense said the spectrum approval would improve management and "increase our effectiveness in getting the right material to the right place at the right time".