GS1 to roll out next-generation barcodes by 2027 to boost transparency

Business Standard

19-05-2025

GS1, the non-profit standards organisation that develops barcodes, is preparing to replace the current system with next-generation formats such as QR Codes powered by GS1 and GS1 DataMatrix. The global rollout is expected by 2027 and aims to improve product traceability and supply chain transparency.
The announcement was made at GS1's General Assembly held in Mumbai on Monday. The organisation said the transition will enable businesses, consumers and regulators to access product-specific information—including expiry dates, sourcing data and recall notices—through a single scan.
GS1 operates in 118 countries and supports over 2 million businesses. Its barcodes are scanned more than 10 billion times daily. As a neutral, not-for-profit entity, GS1 develops and maintains open standards used across retail, logistics, healthcare, agriculture and other sectors.
'In the next phase, every product will carry barcodes that provide structured data rather than just price and identity,' said Renaud de Barbuat, President and CEO of GS1 Global. 'The focus is on improving identification, traceability and information-sharing.'
In India, GS1 standards are already used in national programmes such as FASTag, Ayushman Bharat and ROHINI (a hospital registry). GS1 India, the local affiliate, is working with the government and private sector to expand the adoption of advanced barcodes across healthcare and retail.
S. Swaminathan, CEO of GS1 India, said the upgraded barcode version could help track the movement of medicines, medical devices and agricultural goods through standardised labelling. The organisation is working with health agencies to integrate the system into Ayushman Bharat for inventory management and cost tracking.
India is one of GS1's fastest-growing markets. The organisation cited India's scale, digital transformation and the government's efforts to strengthen the drug supply chain as key factors in making the country central to GS1's Vision 2030 roadmap. The roadmap includes unifying global operations, modernising identification systems and enhancing infrastructure to support digital commerce and logistics.
According to the GS1 management board, India's significance lies in both its manufacturing base—particularly in pharmaceuticals and medical devices—and its expanding consumer market. GS1 stressed the need for Indian supply chains to align with global standards as international trade becomes more interconnected.
The new barcode system is being positioned as a tool to verify product authenticity in sectors such as pharmaceuticals. Hospitals and pharmacies will be able to scan a medicine pack to confirm its origin, manufacturing date and batch number. GS1 said this can aid in product recalls and reduce the spread of substandard or counterfeit drugs.
The transition from traditional 1D barcodes to 2D formats like QR Codes will occur over the next two years, with full implementation planned by 2027. GS1 is working with stakeholders to ensure that systems are upgraded to read and process the new codes. These barcodes are also compatible with smartphone cameras, allowing broader accessibility without the need for proprietary scanners.
The upgraded barcodes will be structured to support integration with technologies such as artificial intelligence and blockchain, especially for applications requiring secure and multi-party data sharing.
Mark Batenic, Chairman of the GS1 Global Board, said coordination between local affiliates and central teams is underway to develop consistent implementation guidelines for both developed and emerging markets. The new standards will remain open and technology-neutral to ensure scalability.
GS1's Vision 2030, also presented at the General Assembly, outlines plans to unify operations under the 'One GS1' framework and expand its identification systems' use in digital commerce and logistics.
The organisation does not develop or sell commercial products but provides the infrastructure for global data exchange. It remains funded through membership fees and related services, not through product sales.
Current barcodes will remain valid during the transition. Businesses will be required to update packaging, point-of-sale systems and inventory management software to support the new standard.