RFID technology will allow the army to manage storage facilities, implement ongoing monitoring of fuel stocks and track equipment transferred from storage facilities to the field. The army said it is also deploying the technology to cut logistics costs and ensure that equipment and supplies aren't "disappearing."

A request for suppliers is expected to be issued by May.

Gradual introduction of RFID tags will initially seek to halt the siphoning of fuel by soldiers. The next stage will be to monitor fuel storage facilities.

The technology will eventually be introduced in central storage facilities where the wireless tags will be integrated with equipment in the field.