New Delhi: Seventy five percent of all branded consumer goods in India are compliant with GS1 standards.
But post the July 1 deadline decided by the members of Retail Association of India, no supplies in the FMCG sector will be accepted without GS1 barcodes or the 13-digit identity code that gives product details.
Even retailers like Shopper's Stop and Apna Bazaar will have to comply with these standards for cost benefits and better inventory management.
Supply chain and logistics accounts for 8-10 per cent of operating costs.
COO at GS1, Arjen Maarleveld says, "The key is to keep track of how much inventory you need at a time. If this process is fine tuned this can help bring down your inventory costs."
According to retailers like Wills Lifestyle, Nilgiris, Food World and Pantaloons who are using GS1 barcoding, complying with these standards ensures 15-20 per cent more efficiency in the supply chain.
So its not surprising that players like Reliance and Bharti who are planning to do a retail foray touched base with Arjen Maarleveld during his recent visit to India.
Correcting every wrong invoice generated, costs about Rs 1000. It's the aim to save such wastage of resources at every node of supply chain that's making these players comply with GS1 standards.
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