A new security nanoparticle promises to deliver permanent authentication of products to combat counterfeiting, illegal substitution and poor quality mixing of bulk materials.

A new ‘chemical barcode’ may guarantee that what customers are paying for is what they get. When buying a brand-name product, it is often said that you are paying for the label. Ideally, inherent within the price of the label is the high level of quality on which the manufacturer has built a reputation. Unfortunately, this is not always the case. Theft of intellectual property by way of the counterfeiting industry is increasing at an alarming rate of 10 to 15 per cent a year. It is estimated that every year, counterfeit products comprise five to seven per cent of global commerce, costing the economy several hundred billion dollars. However, science is on the case, and a new cutting-edge Australian technology, DataTraceDNA®, is showing considerable promise as a way to close down the counterfeiting business. DataTraceDNA is a unique chemical substance that can be incorporated into the molecular structure of a product to identify and authenticate it in a manner similar to a barcode. Developed under a Research Agreement between CSIRO Molecular and Health Technologies (CMHT) and the Sydney-based company DataDot Technology Limited (DDT), the technology has recently resulted in the formation of a joint venture between the two groups to produce and market the product. The ‘chemical barcode’ consists of a group of chemicals that can be integrated into the composition of any material. When the material is illuminated under light of a particular frequency, a unique emission spectrum is detected by a hand-held reader. That is, an individual pattern invisible to the naked eye can be assigned to a product to identify it as authentic. The numerous combinations of patterns generated by DataTraceDNA provide enough variation for overlap between products not to be a concern. In addition, the complexity of the chemical barcode makes it extremely difficult to decipher, preventing counterfeiters from reproducing the authenticity code. Ian Allen, chief executive officer of DDT, recognised the need for secure authentication and identification technology in the bulk products and commercial industry. “Every year manufacturers lose millions of dollars from their designs and products being illegally replicated and sold fraudulently,” Mr Allen says. “In addition, costs associated with warranties for counterfeit products or parts further add to a manufacturer’s losses.” DDT initially tried to apply its identification technology MicroDot, which has been successfully used in the automotive industry, to bulk products like timber and cement. However, the MicroDot was not able to withstand the raw and exposed environment of such products. “The MicroDot works well when used for automotives because it is protected by adhesives. For the coarseness of a bulk product like cement, a more robust material is needed,” Mr Allen explains. This need led DDT to set up a collaboration with CMHT, as the division is known for its forensic markers in high-security identification. Following the May 2005 filing of a provisional patent for DataTraceDNA by CMHT and DDT, the joint venture company DataTraceDNA Pty Ltd was launched in September. CMHT commercialisation manager Dr Geoffrey Houston describes the partnership as perfectly complementary. “Science needs to have an application, while industry needs innovation. CSIRO is very strong in the area of innovation, but we need a venue to market these discoveries. DataDot is a very productive company with an international profile and a strong marketing department. “DataDot identified a critical need in the market of bulk-product production efficiency and commercial identification, while CMHT was able to develop a technology that could fill this need.” DataTraceDNA is chemically inert and tough enough to persist in any conditions. “With these developments, DataTraceDNA can be added to a wide range of materials and products to ensure process and logistics control, inventory control, quality control, pollution control and for establishing the authenticity of products and materials,” Dr Houston says. The commercial applications of DataTraceDNA are vast, with benefits reaching beyond the manufacturers to the consumer. Counterfeit pharmaceuticals – that is, products claiming to be a reputable therapeutic drug but in fact containing little or no active ingredient – make up 10 per cent of the pharmaceutical industry. This sector is rapidly growing with the ease and anonymity offered by online trade. Incorporation of DataTraceDNA into the packaging of pharmaceuticals would provide reassurance to consumers that what they were prescribed and what they are taking is the same product. Like the certain benefits of incorporating a chemical barcode into the molecular structure of a product, so too are the certain benefits of incorporating strong scientific resources into business. “CSIRO is the Australian Government’s internationally renowned research organisation with over 6500 scientists and engineers. If they can’t resolve a scientific concern, who can?” Mr Allen asks.