Deer Industry New Zealand

RFID-Enabled Traceability for New Zealand Deer Velvet

 

THE CHALLENGE: Velvet Export at Risk

Building Trust and Resilience in a Global Industry

New Zealand’s deer velvet industry is a cornerstone of the country’s agricultural innovation and export economy.

Deer velvet is the soft, growing antler tissue harvested from male deer (stags) before it calcifies into hard antler. It’s called "velvet" because of the fine layer of hair that covers the antler during this early stage of growth.

Renowned for its purity, ethical production standards, and high quality, New Zealand velvet commands a premium in global markets (up to 95% export) — particularly in Korea and China, where it is used in high-value health supplements and traditional medicines.

Yet with that global demand comes rising scrutiny.

For years, velvet was tracked using manual, paper-based systems. While effective in the early days, these systems became increasingly unfit for purpose as the industry grew, and international regulations evolved. Paper records were vulnerable to loss, duplication, human error, and even fraud. There was no real-time visibility into the supply chain and no unified digital system that could confidently and consistently demonstrate origin, animal welfare compliance, or food safety standards.

“The velvet industry is going great-guns and the value is increasing all the time because the product is going to high-value markets. Analysis shows that our paper and pen method of tracking velvet would cause sales to the sophisticated, high value customers to dry-up in the long term.”

– Catherine Sayer DINZ , December 2020, Times-7 Blog

At the same time, overseas markets became significantly more discerning:

·         Consumers and regulators began demanding full transparency into the supply chain—down to the individual farm.

·         Health food companies in Korea and China started requiring verifiable sourcing credentials to protect their brand integrity.

·         New Zealand’s own Ministry for Primary Industries (MPI) placed velvet under the National Chemical Residues Monitoring Programme, increasing compliance obligations.

·         The industry faced a critical risk: lose traceability, lose access to premium markets.

Deer Industry New Zealand (DINZ) recognised the stakes. A lack of digital traceability was no longer a back-office problem—it was a frontline export risk. If New Zealand couldn’t provide proof of integrity and compliance, sales to sophisticated, high-value markets would ultimately dry up.

We have realised that we need a sophisticated system that our farmers can use to show the market there is a common traceability structure in place that customers can trust.”

– Catherine Sayer, December 2020, Times-7 Blog

This wasn’t just about compliance. It was about securing the long-term credibility, competitiveness, and sustainability of the entire velvet industry.

DINZ needed a system that could:

·         Capture every movement of deer velvet from farm to market

·         Prove compliance with strict animal welfare and cold-chain standards

·         Enable rapid response to food safety or biosecurity events

·         Provide instant digital access to audit records and transaction histories

·         Be adopted industry-wide—from veterinarians and farmers to processors and exporters

This vision led to the creation of VelTrak— a fully electronic, web-based system that enables velvet to be tracked and traced from farm to market for regulation and authenticity.

The VelTrak software was developed by Rezare Systems, a New Zealand-based company specialising in agricultural technology solutions. Commissioned by DINZ, Rezare Systems collaborated closely with DINZ to create a bespoke digital tracking system tailored specifically for the deer velvet supply chain.

This partnership ensured that VelTrak addressed the unique challenges of the industry, such as the need for precise traceability from farm to market.

VelTrak builds on the great work done by farmers to upgrade their sheds and freezers to comply with the (MPI) Regulated Control Scheme (RCS).

But building a digital system wasn’t enough. It needed a physical tagging solution that could seamlessly link velvet in the real world with the digital records stored in VelTrak.

That’s where Radio Frequency Identification (RFID) came in.

 

THE 4ID SOLUTION: Delivering Resilience Through Smart Tagging

To bring the VelTrak platform to life, DINZ required more than just the digital system. It needed a reliable, high-performance physical tagging solution that could survive real-world conditions on farms and in processing facilities while enabling seamless digital traceability.

DINZ engaged 4id Solutions for this critical component. As a global leader in RFID converting and data-driven manufacturing, 4id was uniquely equipped to engineer, produce, and supply a tag that met the industry's strict performance, traceability, and compliance demands at scale.

The project called for more than just mass production. DINZ required tags that were built for the real world. The tags had to be:

  • Durable: Able to withstand extreme temperatures, moisture, and the handling conditions of the velvetting and processing environment.

  • Accurate: Manufactured in a strictly sequential order with 100% guaranteed supply integrity—no missing, duplicate, or out-of-order tags.

  • User-friendly: Compatible with scanning technology in use across the supply chain, including vet clinics, farms, and velvet buyers.

 

To meet these demands, 4id designed a bespoke tag incorporating a UHF RFID chip embedded between durable laminated layers and aggressive food-safe adhesive to enclose the tag around the sticks of velvet. The tag featured high-resolution variable data printing, precise GTIN sequencing, and robust adhesive engineered for the harsh environmental conditions typical of on-farm velveting such as freezers needing to reach a minimum of minus 15 degrees.

In the VelTrak system, every stick of deer velvet is uniquely identified using an RFID tag. Each tag is printed with a GS1 barcode and embedded with a UHF RFID chip. The barcode and RFID chip are linked to the same unique ID/GTIN (Global Trade Item Number), which is linked to a digital production file.

Why UHF RFID?

DINZ selected UHF RFID due to its superior scanning performance and scalability:

·         Batch Scanning: UHF tags can be read in bulk, making them ideal for high-throughput environments such as packhouses.

·         Longer Read Range: Allows for non-contact scanning from a distance, improving speed and efficiency.

·         Cloud Integration: Enables real-time data updates and traceability with VelTrak.

·         Scalability: Suitable for national deployment across the entire velvet supply chain.

“It became quite apparent that the only technology that would allow accurate stick level traceability in an efficient way was UHF RFID, because it can pick up multiples in one scan. Anything else I investigated, barcodes and so on, needed individual scanning and manual labour. From the intermediate buyers to the pack houses, that deal with a lot of product, there was no way they would have time for any individual scanning solution. The only way forward for them would be able to scan in multiples. Thus, UHF RFID was a key specification”.

– Catherine Sayer, December 2020, Times-7 Blog.

Excellence in Execution

From initial product development to full-scale rollout, 4id demonstrated a deep understanding of manufacturing precision, environmental challenges, and data-driven traceability. Key product development and output highlights include:

  • Custom Adhesive Development: A German-engineered adhesive doubled the contact surface and underwent rigorous testing for moisture, temperature, and cleaning resistance.

  • Refined Packaging: Tags were supplied in precisely sequenced packs of 50, with start and finish numbers clearly marked, streamlining handling for veterinarians and processors.

  • Production Upgrades: New machinery and enhanced operator training reduced processing time between 2021 and 2025.

  • Quality Assurance: The tags supplied as singles required a 100% guaranteed supply and sequential order always maintained.  A near-zero production loss rate (0.68%) and instant reprint of any non-compliant tags-maintained integrity prior to every shipment.

The result was a robust, highly traceable, and user-validated RFID tagging solution that aligned perfectly with VelTrak’s vision. For DINZ and the broader deer velvet industry, this meant more than efficiency—it meant protecting New Zealand's premium reputation through unmatched product integrity.

 

THE RESULT: A New Standard in Traceability, Compliance, and Market Trust

Now in its fourth year of deployment, 4id’s RFID-enabled velvet tags have become the trusted foundation of VelTrak—the most advanced velvet traceability platform ever implemented in the New Zealand primary sector. What began as a regulatory initiative is now delivering industry-wide digital transformation, underpinned by performance, precision, and accountability.

With VelTrak and 4id’s tags working in tandem, DINZ has achieved more than compliance—it has fostered a smarter, more resilient supply chain built for traceability at scale. Every stick of velvet harvested in New Zealand is now digitally connected to its farm of origin, and traceable from that point all the way through grading, packing, and international export.

This matters because of the nature of the packhouse process. After harvesting, velvet from different suppliers is frequently consolidated into shared bins as part of complex grading procedures. Without precise tracking, a contamination event at one farm could risk the commercial viability of thousands of sticks of velvet—resulting in broad recalls, lost product, and damaged confidence.

With RFID tagging and VelTrak’s cloud-based system, however, DINZ can isolate the issue: only velvet identified as originating from the source farm would be flagged, and only specific bins containing that farm's product would be removed. The rest of the supply remains traceable, saleable, and secure.

This functionality—near-immediate traceback, from buyer to farm to individual tag—is a game-changer for market confidence, particularly in the eyes of discerning overseas buyers.

Measurable Outcomes

  • Heightened Compliance: MPI regulatory adherence has improved through mandatory VelTrak registration and digitised auditing.

  • Elimination of Paperwork: Manual records and paper-based Velvet Status Declarations (VSDs) have been replaced by secure digital records.

  • Simplified On-Farm Workflow: By shifting scanning duties to buyers and packhouses, the system reduces the burden on farmers.

  • Targeted Recalls: Enhanced traceability means rapid isolation of specific product groups in the event of a food safety alert.

  • Iterative Design Refinement: Ongoing seasonal feedback from DINZ and velvet producers drives continuous product improvement, such as…

  • Reinforced Export Strength: DINZ’s commitment to animal welfare, food safety, and transparency is now verifiable and visible to international markets.

Through world-class tag performance, responsive design iteration, and seamless integration with VelTrak, 4id Solutions has enabled not just compliance, but transformation. The result is a more efficient, transparent, and globally competitive velvet industry—positioned to lead in both integrity and innovation. The result is a more resilient, trustworthy, and globally competitive industry.

 

Quantifiable Results from VelTrak and 4id RFID Tag Implementation include:

  • Mandatory Adoption: As of the 2021 velvet season, all New Zealand deer farmers are required to register with VelTrak and utilise the new black UHF RFID tags to sell their velvet. This move ensures that only compliant farms participate in the supply chain, enhancing overall traceability. Map of Ag+3Farmers Weekly+3deernz.org+3

  • Real-Time Tracking: VelTrak provides a cloud-based, instantly accessible, real-time traceability system that identifies the journey of each stick of velvet from farm to exporter market. This capability is crucial for rapid response in case of food safety incidents. The RAIN Alliance

  • International Market Acceptance: Major health food companies in South Korea have welcomed VelTrak because it provides them with the proof of integrity needed to protect the reputation of their brands. deernz.org

  • Regulatory Compliance: VelTrak builds on the work done by farmers to upgrade their facilities to comply with the Ministry for Primary Industries' Regulated Control Scheme (RCS), ensuring that the velvet meets stringent animal welfare and food safety standards. deernz.org+1deernz.org.nz+1

Through reliable tag performance, responsive design updates, and flawless integration with VelTrak, 4id Solutions has become an essential enabler of New Zealand's world-class velvet traceability system. The result is a more resilient, trustworthy, and globally competitive industry.

 
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