The work aims to put forward a new location algorithm of laser yards on beer bottle cap integrated with image matching, morphology and Hough transform, with respect to the complicated background of beer bottle cap in the process of producing beers and the problem of difficult location and recognition of electronic supervision codes engraved by laser. Firstly, an anti-arbitrary rotation image matching method was used to achieve accurate positioning of the locator. Secondly, binarization, morphological operation, edge detection, contour extraction, Hough transform and so on were carried out on the locator image. Finally, accurate positioning of the character was achieved. The experimental results showed that this method could give good positioning of arbitrary angle rotation locator and had higher veracity and robustness, and the image positioning accuracy was as high as 97%. The algorithm has properly solved such problems as difficult location and recognition and low accuracy of location and recognition due to complicated background in the process of producing beer packaging and recognizing the electronic supervision codes engraved by laser.