Geographical Indications, a new strategy for products

valorization and international promotion

Stephane Passeri FAO/AFD Project on the Promotion of Rural Development

through Development of Geographical Indications at Regional Level in Asia

International Seminar on Consumer Preferences in

Rice 17 February 2015

Genesis of GI: in France, Europe and in the world

A need of protection for famous products First steps in France : 1905 : first law on GIs (appellations of origin) 1935 : creation of the current system of French GI (Appellation dOrigine

Controlees or AOC) ..and after, in the European Union .. 1970s : European regulations on wines 1992 : European regulation (EC) 2081/92 : GI for a wide range of agricultural

products replaced by the Council Regulation EC 510/2006 as from 31 March 2006 . Here GI are referred to as Protected Appellations of Origin (PDO) or Protected Geographical Indications (PGI)

In the world.. A number a multilateral treaties (since the 19th century) administrated by the

World Intellectual Property Organisation (WIPO), in particular the Paris Convention for the protection of Industrial Property and the Lisbon Agreement regarding the protection of Appellations of Origin and their international registration.

1994 : definition of GI in the TRIPS (Trade-Related Aspects of Intellectual Property Rights) agreements, in the WTO.

GI, an intellectual property right

The GI is a specific, distinctive intellectual property right Copyright and related rights. Trade marks. Industrial designs. Geographical Indications.

Patents. Plant Varieties Trade Secret, etc.

It is an intellectual property right recognised in over

150 countries (WTO TRIPS Agreement) It is a collective right of use.

WTO definition of GIs Art 22: Geographical indications are indications which identify a good as

originating in the territory of a Member, or a region or locality in that territory, where a given quality, reputation or other characteristic of the good is essentially attributable to its geographical origin

Obligation of protection by members Art 22 (para. 2) :

In respect of geographical indications, Members shall provide the legal

means for interested parties to prevent: (a) the use of any means in the designation or presentation of a

good that indicates or suggests that the good in question originates in a geographical area other than the true place of origin in a manner which misleads the public as to the geographical origin of the good;

(b) any use which constitutes an act of unfair competition within the meaning of Article 10bis of the Paris Convention (1967).

What exactly is a Geographical Indication (GI)?

A GI is the name of a region or locality (or associated to this locality) and designates a product which originates in that region or locality.

The GI, linked as it is to traditional practices, enjoys often a high reputation.

A GI cannot be created it just need to be legally recognised. It confirms the value of products which already exist.

GI: Relations between the product, the producers and the production area

Product with a specific name and reputation

(The consumers make a direct connection between the origin of the

product and its quality)

PRODUCERS' KNOW-HOW

(GI product are generally traditional product, with a

connection to the local wisdom and heritage).

PRODUCTION AREA (Due to natural conditions, the product is different from

the ones produced in different regions)

its quality

Five Pillars for a Geographical Indication Application

A BOOK of SPECIFICATION describes the goods and the production methods. The GI name shall be used only for goods produced in compliance with the specification

A "GI ORGANIZATION" generally an inter-professional organization which brings together producers, operators and traders of the product A DELIMITATION

of the production area. The GI name shall be used only by producers and operators within the delimated area

A CONTROL and TRACEABILITY SYSTEM which guarantee that all the goods sold under the GI name have been produced within the delimited area and according to the Book of Specification

A PROVEN LINK between the specificity of the good and its origin, based on natural, geographical, historical or human factors.

GEOGRAPHICAL INDICATION PRODUCT

7 Source: Department of Intellectual Property (DIP), Ministry of Commerce of Cambodia

Setting up the system first challenges

Dedicated Legislation.

Commitment on the part of professionals (producers, traders, etc.) as well as local authorities.

Joint definition of mandatory specifications

GIs approved by the authorities and independently controlled.

A GI, why ?

Value added, economical consequences on the supply and marketing chain

Protection of the geographical

denomination and product, control, traceability and

consumer protection Interest for producers, traders, rural development

and environmental aspects, biodiversity

The EU experience Benefits for the producers

GI = value premium = "ADDED VALUE" The price of a GI product is 2.23 times the price

of a comparable non-GI products (in average)

1.55

2.57

2.75

0.00 0.50 1.00 1.50 2.00 2.50 3.00

Agr prod. and food.

Spirits

Wine

Source: AND-International survey for DG AGRI (2012)

The EU experience Benefits for the producers

Source: AND-International survey for DG AGRI (2012) * 2010

GI = A SIGNIFICANT PART OF FRENCH/EUROPEAN AGRICULTURE France *: 677 GIs turnover : 20,9 billions

UE *: 2768 GIs - turnover : 54,3 billions

For the GI Regions or GI related localities

Organisation of social events inspired by the GI

Development of services (hotels, restaurants, guides, etc.)

Direct and indirect benefits linked to the GI for the development of the localities or region as well as for localities national and international reputation

GI : a strategy for the promotion of tourism

Tourists visits in the production sites

Consumption or purchases on site as well as free marketing of products for export through tourists

GI: A part of the countrys prestige Ex: Champagne is a symbole of France

14

The experience of South East Asia

GI sui generis protection for handicrafts

GI legal framework GI Legislations (all introducing GI protection for handicrafts) :

Malaysia: Geographical Indications Act 2000 (Act 602) and

Geographical Indications Regulations 2001

Indonesia: Chapter VII of the Law on Marks (Law n15/2001 on Marks) and Government Regulation No. 51/2007 regarding Geographical Indications signed by the President on 4 September 2007

Thailand: Act on Protection of Geographical Indication in 2003(B.E.2546)

Vietnam: the Intellectual Property Law No. 50/2005/QH11 enacted in nov.2005 and entered into force since 1 July 2006 replacing protection given by various texts

Lao PDR : The Law on Intellectual Property 2012, Ministerial Decision on the Implementation of the Law on IP concerning Geographical Indications , Sept 2012

Cambodia: Law on Geographical Indications, January 2014 -preparing guidelines and application forms as well as regulation on controls:

Examples of Asian GI

Indonesia (25): Arabica coffee Kintamani Bali, Jepara Carving Furniture, White

pepper Muntok, MPKG Gayo Arabica coffee, Tobacco Mole Sumedang, Horse milk Sumbawa, Kale Lombok, Sumbawa honey, Adan rice Krayan, Arabica coffee Flores, Bajawa Flores, Dieng Purwaceng, Carica Dieng, Kep vanilla. Alor, Arabica coffee Kalosi Enrekang, Ubi Cilembu Sumedang ,Patchouli oil Aceh, Arabica Coffee Java Preanger , Arabica Coffee Java Ijen-Raung Ijen-roar, etc.

Malaysia (35): Sarawak Pepper; Sabah Tea; Borneo Virgin Coconut Oil; Tenom Coffee; Sabah Seaweed, Bario Rice, Limau Bali Sungai Gedung, etc.

Vietnam (41) : Phu Quoc (fish sauce); Coffee Buon Me Thuot, Pomelo Doan Hung, Hoi Lang Son, fish sauce Phan Thiet, Orange Vinh, Tea Tan Cuong, Tea Shan Tuyet Moc Chau, Rice Hong Dan, Litchi Luc Ngan, Dragon fruit Binh Thuan,

Rice Tam Xoan Hai Hau, Litchi Thanh Ha,etc.

Cambodia: Khampot Pepper; Kampong Speu Palm Sugar.

GI: a concept in rapid expansion in Asia

Kampot Pepper (Cambodia)

- Kampot pepper GI registered on April 02, 2010 - Increase of production area: 32HT in year 2013 - Increase of price: 2009-2013

- From US$ 4/Kg to US$11/Kg for the black - From US$ 6/Kg to US$ 15/Kg for the red - From US$ 8/Kg to US$ 18/Kg for the white

17 2/18/2015

18

GI: a concept in rapid expansion in Asia

Khao Hom Mali Surin (Rice)

Sangyod Maung Phatthalung Rice

Khao Hom Mali Thung Kula Rong Hai (Rice)

Khao Jek Chuey Sao Hai (Rice)

Khao Leuang Patew Chumphon (Rice)

Trang Roast Pork Surat Thani Oyster

Thai GIs (64)

Sakon Dhavapi Haang Golden Aromatic Rice;

Kaowong Kalasin Sticky Rice;

Khao Kum Lanna

PresenterPresentation NotesHere are example of Thai GI products for agricultural and food products.Khao Hom Mali Thung Kula Rong Hai (Rice)Khao Hom Mali Surin (Rice)Trang Roast PorkSakon Dhavapi Haang Golden Aromatic RiceSangyod Maung Phatthalung Rice Chaiya Salted Eggs Khao Leuang Patew Chumphon (Rice)Khao Jek Chuey Sao Hai (Rice)Surat Thani Oyster

Chainat Khaotangkwa Pomelo

Phurua Plateau Wine

Nakonchaisri Pomelo

Kafae Doi Chaang (coffee)

Kafae Doi Tung (coffee)

Sriracha Pineapple

Phetchabun Sweet Tamarind

NangLae Pineapple

Chiangrai Phulae Pineapple

Phuket Pineapple

PresenterPresentation NotesHere are example of Thai GI products for fruit and industrial products. Nakonchaisri PomeloChainat Khaotangkwa PomeloPhetchabun Sweet TamarindSriracha PineapplePhuket PineappleKafae Doi Chaang (coffee)Kafae Doi Tung (coffee)Phurua Plateau WineChiangrai Phulae PineappleNangLae Pineapple

http://images.google.co.th/imgres?imgurl=http://variety.teenee.com/foodforbrain/img7/24402.jpg&imgrefurl=http://variety.teenee.com/foodforbrain/3347.html&usg=__KFEos_hHjE8ZI8c1DKv83LSPZQs=&h=439&w=400&sz=67&hl=th&start=7&um=1&tbnid=WQXrO-jGpo79dM:&tbnh=127&tbnw=116&prev=/images?q=%E0%B8%AA%E0%B8%B1%E0%B8%9A%E0%B8%9B%E0%B8%B0%E0%B8%A3%E0%B8%94%E0%B8%A0%E0%B8%B9%E0%B9%80%E0%B8%81%E0%B9%87%E0%B8%95&hl=th&um=1

Chiang Rai Phulae Pineapple (Thailand)

Source: Department of Intellectual Property, Ministry of Commerce of Thailand, 2012

Price Comparison year 2004 (before GI registration) now Price at Farm 8 baht/kg 23 baht/kg

Retail Price 35 baht/kg 100 baht/kg

PresenterPresentation NotesNow I will show you the case of Chiang Rai Phulae Pineapple. Chiang Rai Phulae Pineapple is a small pineapple, weight about 4 pineapple per kilo. It has an aromatic smell, sweet and crispy taste that you can bite through the core of pineapple. It produces in Nanglae district. It is a Phuket variety pineapple plant in Nanglae district. To change the planting area of pineapple from South to North, makes pineapple smaller in size and has a distinctive taste. Price comparison between the year 2004 (before registered as a GI) and year 2012 (now) is as followed. Price at farm goes from 8 baht per kilo to 23 baht per kiloRetail Price goes from 35 baht per kilo to 50 baht per kilo. And going to be 60 baht per kilo soon.

Lamphun Brocade Thai Silk

Mae Jaem Teen Jok Fabric

Chiang mai Celadon (Pottery)

Praewa Kalasin Thai Silk

Chonnabot Mudmee Thai Silk

Ban Chiang Pottery Yok Mlabri Nan 21

13 Handicrafts

PresenterPresentation NotesHere are example of Thai GI products for Handicrafts.Chiang mai Celadon (Pottery)Lamphun Brocade Thai SilkMae Jaem Teen Jok FabricPraewa Kalasin Thai SilkYok Mlabri NanChonnabot Mudmee Thai SilkBan Chiang Pottery

GI in India (215) : Darjeeling Tea, Kashmir Pashmina, Kangra Tea, Ganjam Kewda Flower, Udupi Jasmine, Navara Rice, Palakkadan Matta Rice, Malabar Pepper, Pokkali Rice, Wayanad Jeerakasala Rice, Wayanad Gandhakasala Rice, Kalanamak Rice and Kaipad Rice (2013-2014), etc. http://ipindia.nic.in/girindia/

Potential GIs

Lao PDR : Khao Kay Noy (little chicken sticky rice),etc.

Philippines

Myanmar

Bhutan

Cambodia: Battambong Rice, Svay Rieng Red Rice, Neang Am Rice, Etc.

GI: a concept in rapid expansion in Asia

Creation of National labels for GI

Ex: Thailand

The promotion of national products

Ex: Cambodia

Geographical Indication Control System of Thailand

Scheme Owner

=

Competent Authority (CA)

Department of

Intellectual Property (DIP)

DUTY :

1. Validation of Specifications and

Inspection method

(control manual)

2. Approve & Supervise CB

GI Board

External Control

By Control Body /

Certification Body (CB) DUTY : to perform GI control on

behalf of the CA

- on producers to verify compliance

with specifications laid down + check

the running of autocontrols

- on the group to check the running of the internal

controls. Internal Control

( GI Committee at Provincial Level ) DUTY : to check the running of auto control on the producers processors farmers industries.

Self Control / Autocontrol (Producers Processors / Farmers Industries)

DUTY : to control their product according to specification (manual) which can be modified by group members

Accreditation Body (AB)

Thai Industrial Standards Institute

(TISI)

National Bureau of Agricultural

Commodity and Food Standard

(ACFS)

DUTY : Accredits CB

According to :

-ISO Guide 17065

and

-Specific requirements

define by DIP

Consumer

Exporter

Retailer

Distributor

accreditation approval

PresenterPresentation NotesHere is the detail plan for our own National GI Control System. DIP will be Scheme Owner, you can also call us CA: Competent Authority, which is similar to INAO in France. Our duty will be;1. Validation of Specifications and Inspection method (Production manual)2. Approve & Supervise CB (Control Body /Certification Body)

Accreditation Body: AB will be Thai Industrial Standards Institute (TISI) and National Bureau of Agricultural Commodity and Food Standard (ACFS). The organization we will have an MOU with. Their duty will be; Accredits CB according to ISO Guide 65 and Specific requirements that is defined by DIP.The external control, CB, has a duty to perform GI control on behalf of the DIP.The Internal Control, GI Committee at Provincial Level, has a duty to check the running of autocontrol on the producers, processors, farmers, and industries.The Self Control / Autocontrol, means producers, processors, farmers, and industries, needs to control themselves. Their duty is to control their product according to specification (manual) which can be modified by group members.

After all goes through all these production control, GI product with the trust worthy quality and reputation and be delivered to consumers.

Lamphun Brocade Thai silk

The research paper commissioned de de Department of Sericulture of the Thai Ministry of Agriculture, studied the impact of GI protection of Lamphun Brocade Thai silk on socio-economic aspects to Lamphun brocade Thai silk s producers, silk enterprises and community ----Farmers/producers under GI earned an average income of 116621 THB, non-GI producers 58.882 THB ---Production costs of different types of silk fabrics between GI and non GI showed non significant differences ---Social effect: GI concept strongly affects communities , in particular regarding their participation in the community, family relationship, conservation of local wisdom and proudness Source : Queen Sirikit Department of Sericulture of Thailand

Impact of the GI Protection on Socio-Economic Aspects Ex: Lamphum Brocade Thai Silks Producers, Silk Enterprises and Community In Thailand

Khao Hom Mali Thung Kula Rong-Hai 12/02/2013 Class 1.6. Fruit, vegetables and cereals fresh or processed Packages must be labeled with the weight, the date of packing, the name of the mill or the name of the cooperative. Each package must bear the words and/or Khao Hom Mali Thung Kula Rong-Hai The Thai GI logo plus the EU logo (after European registration) are also mandatory

International registration

International registration

30

Pending Thai GI applications at the European Union : Kafae Doi Chaang (Coffee) ---- published Kafae Doi Tung (Coffee) ---- published Khao Sungyod Muang Phattalung (Rice)

Thailand GI Application in Vietnam Thai- Isan Indigenous Silk Yarn : registered on 18 September

2014

PresenterPresentation NotesWe also tried to register Thai GI in foreign countries, such as, Applied for GI protection in EU - Khao Hom Mali Thung Kula Rong-Hai (rice) is registered, in March 4th 2013- Kafae Doi Chaang (Coffee) and Kafae Doi Tung (Coffee) applied in May 2010

We are planed to applied Khao Sungyod Muang Phattalung for protection in EU. And Thai- Isan Indigenous Silk Yarn to apply for Vietnam GI Registration.

Promotion Local Market

Promotion in the Department Stores, local market, events and Exhibitions

Pictures: Department of Intellectual Property, Ministry of Commerce of Thailand

Overseas Exhibitions; France, Japan, Vietnam, Hong Kong etc.

GI Twinning project: Champagne + Lamphun Brocade Thai Silk

Promotion International Market

Pictures: Department of Intellectual Property, Ministry of Commerce of Thailand

PresenterPresentation NotesFurthermore, to support Thai GI as a quality brand in overseas market, here is what we did. Twinning products project between Champange, sparkling wine from France, and Lamphun Brocade Thai SilkParticipate in Overseas Exhibition; For example in France, Japan, Vietnam, and Hong Kong

FAO/AFD

Project on the Promotion of Rural Development through the Development of Geographical

Indications in Asia

The Project

Overall Objective: To increase incomes of smallholder farmers through the development of GI value chains, improved market access and increased recognition of GI by consumers The development goal looks at ensuring environmental sustainability

by contributing to develop sustainable approach into policies and strategies related to voluntary standards

Project Outputs Output 1: Development of a regional GI operational network for

dialogue, mutual exchange and regional recognition of GIs, including public and private stakeholders from various sectors involved

Output 2: Strengthened national institutions responsible for GI

development, protection and promotion, and effective public-private collaborations

Output 3: Commercial, promotional and communication initiatives Output 4: Strengthened value chains and GI organizations capable

of setting up and managing their GI products Output 5: Enhanced national and regional project coordination

including with other Development Partners

36

Protection in local

& Foreign Markets

Promotion

Enforcement

Legal Framework

Administration (GI Registration, GI organizations)

Control

GI System, a global perspective

STRATEGY (national regional)

COOPERATION / COORDINATION

SUSTAINABILITY

GI Ambassadors

For more information: Stphane PASSERI Project Coordinator FAO/AFD Project on the Promotion of Rural Development through Development of Geographical Indications at Regional Level in Asia FOOD AND AGRICULTURE ORGANIZATION OF THE UNITED NATIONS Regional Office for Asia and the Pacific (RAP) Office C-2A, Maliwan Mansion 39 Phra Atit Road Bangkok 10200 Thailand Tel: +66 2 697 4162 Fax: + 66 2 697 4415 Mobile : + 66 8 18117839 E-mail:stephane.passeri@fao.org As from March 2015, consult : www.GI-Asia.org

Geographical Indications, a new strategy for productsvalorization and international promotionGenesis of GI: in France, Europe and in the worldGI, an intellectual property rightWTO definition of GIsWhat exactly is a Geographical Indication (GI)?GI: Relations between the product, the producers and the production areaSlide Number 7Setting up the systemfirst challengesA GI, why ?Slide Number 10Slide Number 11Slide Number 12Slide Number 13Slide Number 14GI legal frameworkGI: a concept in rapid expansion in AsiaSlide Number 17GI: a concept in rapid expansion in AsiaSlide Number 19 Chiang Rai Phulae Pineapple (Thailand)13 HandicraftsSlide Number 22Potential GIsSlide Number 24Slide Number 25Slide Number 26Slide Number 27Slide Number 28Slide Number 29International registrationSlide Number 31Slide Number 32Slide Number 33The ProjectProject OutputsSlide Number 36Slide Number 37Slide Number 38GI AmbassadorsSlide Number 40