SQF Product Identification

This glossary term is part of the SG Systems Global regulatory & operations guide library.

Updated January 2026 • SQF product identification, lot coding, labeling and status control, one-up/one-down traceability, internal product status, FEFO/FIFO, recall readiness, packaging verification • Primarily Food & Beverage Manufacturing & Distribution (SQF Edition 9 programs, audit readiness, traceability discipline)

SQF Product Identification is the disciplined, audit-ready way a facility assigns and maintains unique identity for raw materials, WIP, rework, and finished goods so product can be traced, controlled, and verified throughout production, storage, and distribution. Under the SQF Code, “product identification” is not just a label on a box—it’s the system that ensures product identity is consistent, unique, and linked to lot/batch coding, status (hold/release), and traceability records so you can execute a rapid, credible recall or withdrawal when needed.

Most sites think they “do product identification” because they print labels with a SKU and a date. That’s not what auditors are looking for. SQF product identification means you can prove three things, reliably and fast: (1) you can uniquely identify product and its manufacturing lot, (2) you can link that identity to inputs and processing history (one-up/one-down and internal genealogy), and (3) you can control product status so nonconforming or held product cannot leak into shipment or production. When any one of those is weak, “product identification” becomes a false sense of security.

Tell it like it is: in an SQF audit, product identification is tested when the auditor asks you to pick a finished case and prove where it came from, what went into it, where else it went, and whether you could recall it quickly. If your system relies on tribal knowledge (“we know which lot that is”) or inconsistent codes (“we sometimes use shift codes”), you will struggle. A strong SQF product identification program is standardized, enforced, and integrated into day-to-day operations—not a binder procedure you dust off once a year.

“SQF product identification isn’t a label. It’s your ability to prove identity, status, and traceability under pressure.”

1) What SQF means by “product identification”

In SQF language, product identification is the system that ensures a product can be uniquely identified and traced through all stages. That includes:

• Unique lot/batch coding: product identity includes a lot code that ties to a defined production run and time window.
• Physical identification: identity appears on containers, totes, cases, pallets, and documentation.
• Status identification: product is marked as held, quarantined, released, or rejected, and the status is enforced.
• Traceability linkages: identity links to inputs and outputs for one-up/one-down and internal genealogy.
• Record retrievability: you can retrieve the records quickly during audits and mock recalls.

Product identification is not just compliance text. It is operational capability.

2) Why product identification is central to SQF audits and recalls

SQF audits pressure-test your ability to control and trace product. Product identification is the anchor point. If auditors can’t trust your lot codes and labels, they can’t trust your traceability. If you can’t trace quickly, you can’t demonstrate recall readiness.

Practical reasons identification matters:

• Recall speed: you must identify where affected product went and what inputs it used.
• Hold effectiveness: you must prevent shipment or use of nonconforming product.
• Customer confidence: retailers and customers increasingly require standard traceability identifiers.
• Mass balance: you must reconcile what went in with what came out during trace tests.

In other words, product identification is the “addressing system” for your entire food safety and quality posture.

3) Scope map: what must be identified (raw, WIP, rework, finished)

SQF product identification scope goes beyond finished goods. If you only label finished cases, you will fail traceability tests because you can’t prove internal movements and transformations.

The more internal your traceability, the easier recall becomes.

4) Lot code structure: building a code that is unique and usable

Lot codes fail when they are ambiguous. A strong lot code is:

• Unique: never repeats across relevant time horizons.
• Decodable: meaning can be understood (or mapped) consistently.
• Stable: generated by rules, not by operator creativity.
• Linked: ties back to system records that define what the lot represents.

Common lot code elements include date/time, line, shift, product code, and batch sequence. The key is consistency and a documented “lot definition.” If “lot” means “one day of production” in one area and “one kettle run” in another, traceability becomes inconsistent and auditors will find it.

5) Labeling requirements: where identity must appear physically

Identity must appear where product moves. That typically includes:

• raw material containers (drums, bags, totes),
• WIP containers and tanks (tags or labels linked to electronic records),
• rework containers (clearly marked and segregated),
• finished units/cases/pallets, and
• shipping documents (BOL, ASN, or equivalent).

Labels should support scanning to reduce errors. When labels are manual, misreads and transcription errors increase. That’s why scan validation and label verification matter in modern SQF programs.

6) Status control: hold, quarantine, release, reject (and enforcement)

SQF product identification includes status control—because identity without status is incomplete. If you can identify product but cannot prevent held product from shipping, your system is not controlled.

Defensible status controls include:

• Quarantine at receipt: inbound lots are not eligible until acceptance checks are complete.
• Hold logic: product can be placed on hold for deviations, allergen concerns, temperature issues, or customer complaints.
• Release authorization: only authorized roles can release product; status changes are audited.
• Physical segregation: hold areas are segregated and clearly marked.
• System enforcement: WMS/MES prevents picking or consumption of held lots.

Status control is one of the easiest audit wins when it is enforced and visible. It’s also one of the easiest audit failures when it exists only as stickers and spreadsheets.

7) Traceability linkage: one-up/one-down and internal genealogy

SQF traceability expectations generally require that you can trace one step forward and one step back (one-up/one-down) and, in many systems, demonstrate internal linkage as well. Practical linkage includes:

• which supplier lots were used in a finished lot,
• which finished lots a supplier lot contributed to,
• how WIP lots were transformed and split/combined, and
• where finished lots shipped (customers, DCs, carriers).

Internal genealogy (end-to-end) is what makes recall fast and credible. See end-to-end lot genealogy.

8) Mass balance and yield: reconciling inputs to outputs

Auditors often test traceability using mass balance logic: do your records reconcile? If you claim 10,000 lbs of raw material was used, does the output plus waste make sense?

Mass balance requires:

• consistent unit-of-measure controls,
• scrap and rework tracking,
• yield reconciliation by batch/lot, and
• clear recording of process losses.

If your system can’t reconcile, auditors interpret it as weak traceability or weak record integrity. That’s why product identification must tie into consumption and yield evidence.

9) Rework identification and controlled re-use

Rework is where SQF traceability programs often fail. Rework must be identified as its own lot, linked to origin, and controlled in use. If rework is dumped back into production without identity, you create “mystery inputs” that destroy traceability.

Key controls:

• assign a rework lot ID and label it clearly,
• record origin (which lot/batch produced the rework),
• define allowed uses and limits (where and how much rework can be used), and
• ensure rework lots carry correct allergen status and hazard attributes.

See rework traceability for the controlled model.

10) Mixed lots, commingling, and partial pallets

Real warehouses have mixed pallets and partials. SQF product identification must handle these without losing lot identity.

Controls include:

• case-level lot coding when pallets are mixed,
• pallet ID linkage to contained cases and lots,
• rules for commingling (when allowed and how it’s documented), and
• inventory movement discipline so mixed lots remain traceable.

If mixed-lot handling is informal, you can’t execute a precise recall—you will default to broad holds and customer disruption.

11) FEFO/FIFO and expiry dating overlays

SQF product identification interacts with expiry controls because lot identity often includes expiry/BB dates. Operationally, you need:

• expiry/BB dates printed and stored consistently,
• FEFO rules applied during picking to reduce expiry waste, and
• alerts when product approaches expiry or when WIP aging rules are breached.

See FEFO and expiry control. In audits, FEFO isn’t always required explicitly, but it is often examined as part of inventory control and traceability discipline.

12) Packaging and case/pallet identification (GS1, SSCC)

Many SQF-certified sites use GS1 identifiers for cases and pallets. Even when not required, they can strengthen traceability and reduce errors.

Key practices:

• use standardized case labels (e.g., GS1-128) where required by customers,
• use SSCC for pallet identity and link it to contained lots,
• ensure label printing is controlled and verified, and
• ensure pallet IDs are scanned at ship confirm to preserve chain-of-custody.

Identity at case/pallet level makes recall and customer inquiries faster because you can trace at the same level customers handle product.

13) Verification: scan checks, label verification, and exception alerts

Product identification must be verified, not assumed. Verification controls include:

• scan validation rules (format, check digits, expected context),
• label verification at packaging (ensure lot/date codes match run),
• movement exception alerts (prevent wrong-zone and wrong-status moves), and
• barcode scan failure escalation (prevent “manual entry as default”).

Verification is what makes product identification credible in audits. Without verification, identity is just ink.

14) Records and evidence: what you must produce during an SQF audit

SQF auditors will test identification by asking you to demonstrate traceability. You should be able to produce:

• lot coding procedure and examples on product,
• receiving records linking supplier lots to internal lots,
• production records linking input lots to output lots,
• WIP and rework identification records,
• warehouse movement and status records (hold/release enforcement),
• shipping records showing one-up (where product went), and
• mock recall records showing speed and completeness.

Auditors care about retrieval speed. If it takes hours to find records, you don’t look recall-ready.

15) KPIs: measuring identification integrity and recall readiness

Identification quality is measurable. Useful KPIs:

These KPIs help you demonstrate continuous improvement and detect weaknesses before audits do.

16) Mock recall execution: how identification is tested in practice

Mock recalls are the real test of product identification. A mock recall typically asks you to pick a finished lot and trace:

• all inputs and their suppliers (one step back),
• all customers and shipments (one step forward),
• quantities involved (mass balance), and
• time required to retrieve and verify records.

If your identification system is strong, mock recalls are boring. If it is weak, mock recalls become frantic hunts across spreadsheets and binders—and that’s exactly what auditors want to see you avoid.

17) Failure patterns: how SQF product identification gets faked

• Inconsistent lot codes. Different shifts use different logic; traceability becomes ambiguous.
• Identity not enforced at WIP. WIP tanks/totes are “known” but not labeled; internal linkage breaks.
• Rework as mystery input. Rework added without lot identity; genealogy becomes fiction.
• Status not enforced. Held product still ships; hold system is decorative.
• Manual entry dominates. Codes typed instead of scanned; transcription errors rise.
• Mass balance ignored. Inputs/outputs don’t reconcile; auditors interpret as weak records.
• Mock recall theater. Records can be found only because people “know where they are,” not because the system is controlled.

The fix is operational discipline: standardized codes, enforced scanning, controlled rework, and system-enforced status gating.

18) How this maps to V5 by SG Systems Global

V5 supports SQF Product Identification by unifying lot identity, status, and traceability into enforceable workflows across receiving, production, warehousing, and shipping. In practice, V5 can:

• generate and enforce standardized lot codes tied to defined lot rules,
• link supplier lots to internal lots at receipt and maintain chain-of-custody events,
• enforce hold/release and quarantine gating so nonconforming lots cannot be consumed or shipped,
• capture end-to-end genealogy across WIP transformations (see lot genealogy),
• control rework identification and usage limits,
• support FEFO allocation and expiry overlays, and
• produce mock recall outputs quickly by linking shipping records to lot/case/pallet identifiers.

These controls align naturally with V5 WMS (movement, picking, shipping), V5 MES (batch and WIP identity), and V5 QMS (holds, deviations, dispositions). For the integrated platform picture, start with V5 Solution Overview.

19) Extended FAQ

Q1. Is product identification just printing a lot code?
No. It’s the system of unique identity, status control, and traceability linkages across raw/WIP/finished, with enforceable rules and retrievable records.

Q2. What’s the most common SQF identification gap?
Rework and WIP. Many sites label finished goods well but lose identity inside the plant, which breaks traceability and mass balance.

Q3. How does SQF identification relate to recall readiness?
Identification is what makes recall possible. If you can’t uniquely identify lots and link them to shipments and inputs, you can’t execute a fast, credible recall.

Q4. Do we need GS1 labels to pass SQF?
Not always, but many customers require them. Regardless of GS1, you must have consistent lot and shipment identification that supports traceability.

Q5. How do we prove the program is real?
Run a mock recall. If you can trace a lot back and forward quickly with consistent records and mass balance, your identification system is working. If it takes hours and tribal knowledge, it isn’t.

Related Reading (keep it practical)
SQF product identification becomes durable when paired with enforceable traceability (one-up/one-down and end-to-end genealogy), strict status controls (quarantine and hold/release), controlled rework (rework traceability), and recall drills (mock recall performance). For packaging accuracy and trace capture, add label verification and scan enforcement so identity is verified, not assumed.