Conveyor belt with a rip detection sensor and method of manufactiring such a belt

A conveyor belt (32) includes a plurality of identification transponder chips (42, 44) embedded into the belt (32) at spaced intervals. At least one conductive loop is embedded adjacent to and in electromagnetic coupled relationship with each transponder chip (42, 44). The chip induces an identification signal into its respective conductor loop that is detected by a detector head (46, 48) and is cross-referenced by control circuitry to a specific loop and location on the belt (32). A second detector head (46, 48) may be mounted and coupled to the loop to monitor loop integrity by detecting or failing to detect the responsive identification signal from each transponder (42, 44). Embedded transponder elements may further be utilized for wear rate monitoring and identification of exact locations in the belt (32).