The Food Safety Modernization Act (FSMA) Section 204 is set to reshape food traceability for grocery retailers. With the January 2025 compliance deadline approaching, retailers must establish end-to-end tracking for products on the Food Traceability List (FTL) —  capturing and retrieving Key Data Elements (KDEs) across Critical Tracking Events (CTEs) in less than 24 hours.

At first glance, FSMA Section 204 might seem like another regulatory hurdle. However, for forward-thinking retailers, it represents a strategic opportunity to strengthen supply chain resilience, enhance consumer trust and unlock new efficiencies.

The FSMA 204 challenge: rethinking retail traceability

Achieving FSMA Section 204 compliance means retailers must:

  • Overhaul operations: Implement new safety measures, conduct supplier audits, and upgrade technology for faster and more accurate traceability.
  • Establish chain of custody: Maintain real-time, end-to-end visibility across the supply chain to track product movement and respond swiftly to recalls.
  • Improve supplier collaboration: Work seamlessly with suppliers, logistics providers and distributors to standardize data sharing and eliminate blind spots.

Beyond compliance: FSMA Section 204 as a business transformation opportunity

Rather than viewing FSMA Section 204 as just a compliance requirement, grocery retailers can use it as a catalyst for supply chain transformation. Implementing robust traceability systems can:

  • Accelerate and simplify responses to product recalls, minimizing disruptions and financial loss
  • Enhance consumer trust by providing transparent product origins and safety assurances
  • Improve operational efficiency by streamlining data collection, automating compliance reporting and reducing manual errors
  • Build stronger supplier relationships through standardized data-sharing and real-time collaboration

Strategic approaches for FSMA Section 204 implementation

To make the most of FSMA Section 204, grocery retailers should focus on three key areas:

  1. Supplier collaboration: Retailers must ensure all partners align on data accuracy, traceability protocols and real-time information sharing to maintain compliance.
  2. Identifying and addressing bottlenecks: A fragmented supply chain creates delays and blind spots — adopting a connected, network-driven approach can help retailers pinpoint inefficiencies and act faster.
  3. Leveraging the network effect: FSMA Section 204 requires end-to-end traceability — retailers that move from siloed data systems to a multiparty supply chain network gain real-time visibility, automated workflows and proactive risk management.

How Blue Yonder helps retailers navigate FSMA Section 204

Many retailers rely on disjointed, manual processes to manage traceability — leading to slow recall response times and compliance risks. Blue Yonder’s supply chain network capabilities provide a future-proof solution for FSMA Section 204 by enabling:

  • End-to-end product traceability: capture and track KDEs and CTEs across the supply chain in real time
  • Agility and visibility: monitor and manage food safety risks proactively with AI-powered insights
  • A vast supplier and carrier network: connect with trusted suppliers and logistics partners for seamless data sharing
  • Precision in recall management: identify specific product lots, impacted locations and consumers, ensuring faster and more targeted responses
  • Beyond a point solution: Blue Yonder doesn’t just help with compliance — it transforms how retailers manage, optimize and scale their entire supply chain.

The bottom line

FSMA Section 204 isn’t just about compliance — it’s about redefining grocery supply chains for the future. Retailers that embrace advanced traceability technologies will gain a competitive edge, improve efficiency, and build stronger, more resilient supply networks.

Is your organization ready? Talk to an expert today to learn how Blue Yonder can help you go beyond FSMA Section 204 compliance and build a smarter, safer, and more connected supply chain.