The Product Information Committee (PIC), a subdivision of the International Trade Data System (ITDS), has recommended a method to obtain more precise product classification and description information. The Global Trade Item Number (GTIN) has been proposed to help identify any product or service that can be priced, ordered or invoiced at any point in the supply chain, enabling other government agencies (OGAs) as well as consumers to quickly identify the data elements surrounding a specific product. This information would be captured in the Global Data Synchronization Network (GDSN), a network of certified data pools that enable product information to be captured and exchanged in a secure environment conforming to global standards. The following are some proposed benefits that surround this idea of the GTIN standardized identification system:
• Faster cargo release
• Cheaper importation costs, as only those high risk GTINs will be detained
• Better cargo management as OGA’s target inspections on high risk products
Although the next steps are to move to Customs and Border Protection (CBP) regarding the proposed GTIN, the Food and Drug Administration (FDA) has already incorporated the GTIN for healthcare with enforcement beginning in 2012. It is anticipated that other organizations and agencies will soon follow.
With the new proposal of the GTIN, organizations involved in the global trade industry should consider moving toward automation. An electronic global database, with the ability to store multiple data elements and identification numbers will become more advantageous as new regulations and enactments become enforced. With the influx of individual standardized systems along with the various entities involved in a supply chain, more information will be required with each transaction, further illustrating the necessity of a global classification database that will encompass all data elements.
