New European Union Geographical Indications Regulation Enters Into Force
Regulation No. 2024/1143 on Geographical Indications for Wine, Spirit Drinks and Agricultural Products, as well as Traditional Specialities Guaranteed ("Regulation") was published in the Official Gazette of the European Union ("EU") on 23 April 2024 and entered into force on 13 May 2024. The Regulation combines the geographical indication registration procedures and rules for wine, alcoholic beverages and agricultural products, which were regulated by three different regulations, in a single legal text. The Regulation repealed EU Regulation No. 1151/2012 and amended EU Regulations No. 1308/2013, 2019/787 and 2019/17531.
1. Objective
The Regulation aims to strengthen and extend geographical indication protection, mainly through a common and uniform legal text for geographical indications relating to wines, spirits and agricultural products. The Regulation increases the powers and responsibilities of producer groups, sets new rules on sustainability practices, clarifies the rules on the use of geographical indication products as an ingredient of another product and improves the online protection of geographical indication products. In the postRegulation period, the Commission will continue to administer geographical indications, while the European Union Intellectual Property Office ("EUIPO") will continue to provide technical assistance and maintain the geographical indication register.
2. The main regulations envisaged by the Regulation
The most important rules introduced by the Regulation will be discussed below.
- The powers granted to producers of geographical
indication products have been expanded
With the development of technology, market conditions and consumer demands have changed rapidly. The quality and sustainability of products have become much more important. Therefore, stricter regulations and market inspections are needed to monitor the quality and safety of geographical indication products.
Under the Regulation, producers of geographical indication products will be able to prevent or counteract any commercial practice that harms the image and value of their products, including the alteration of the value and prices of marketing practices. Furthermore, to increase consumer transparency, it has been accepted that the name of the producer must appear on the packaging of agricultural products with a geographical indication in the same field of vision as the geographical indication. On the other hand, it is regulated that the name of the producer must always appear in the same field of vision as the geographical indication on the packaging of alcoholic beverages with a geographical indication.
- Processed Products and Packaged Foods
For agricultural products and wine, the Regulation recognizes that a geographical indication may be used in the name or on the label or advertising material of a product used as a component of a processed product in only three cases:
- The processed product does not contain other products comparable to the ingredient indicated by the geographical indication;
- The ingredient indicated by the geographical indication is used in quantities sufficient to confer an essential characteristic to the relevant processed product; and
- Where the percentage of the ingredient indicated by the geographical indication in the processed product is indicated on the label.
In this context, it is envisaged that producers of geographical indication products and producers of prepackaged food may enter into an agreement on "the technical and visual aspects of how the geographical indication of the ingredient will be presented on the label of the prepackaged food, elsewhere than in the list of ingredients or in advertising material".
The main purpose of these regulations is to ensure that the use of geographical indications is in accordance with fair commercial practices and to prevent the reputation of the product bearing the geographical indication used as an ingredient from being undermined, diluted or damaged.
- Sustainability and Environmental Awareness
In line with the EU's green transformation policies and sustainable development goals, some new rules have been introduced with the Regulation to reduce the environmental impacts of geographical indication products and increase the awareness of social responsibility. As climate change directly affects the production conditions of agricultural products, the protection and support of geographical indication products is seen as an important issue in ensuring the sustainability of rural economies.
With the Regulation, the concept of sustainability envisages not only environmental regulations but also economic and social regulations such as improving working and employment conditions, supporting young people and new producers of products protected by geographical indications and promoting local agricultural production.
Furthermore, the term "mountain product" is explicitly regulated in the Regulation as an optional quality term. This term can only be used in relation to (i) products originating from mountainous areas and used both as raw materials and as feed for livestock, and (ii) in the case of processed products, where the processing also takes place in mountainous areas.
- Digitalization and Intellectual Property
Application and registration processes have been accelerated and made more transparent and efficient with digitalization. Geographical indication applications can be made and monitored online and bureaucratic procedures have been reduced with the Regulation.
To increase the promotion and sale of geographical indication products through digital channels and e-commerce platforms, new regulations and practices are envisaged for the protection of these products in the digital environment. To reduce threats to the reputation and market position of geographical indication products due to the increase in the number of counterfeit products, stricter control measures and enforcement mechanisms have been introduced to monitor the market performance of products and prevent infringement of geographical indications. In this context, the Regulation also applies to products sold through distance selling.
Closure of domain names that illegally use geographical indications or blocking of access to such domain names through geo-blocking is regulated. It is also envisaged that a domain name alert system will be established by the EUIPO. - Simplified Processes
With the new regulations, the registration and control processes of geographical indications have been simplified from being long and complex to being more accessible for producers, and bureaucracy has been reduced. Chapter 2 of the Regulation provides for a single and simplified registration procedure for applicants established in an EU Member State or a third country.
A strict deadline of six months has been introduced for the examination of geographical indications. The procedure consists of two stages: (1) the national phase, which includes the examination of the application for registration and a possible opposition at the local level; and (2) the EU level phase, for which the Commission is solely responsible. The application for registration can only be submitted to the competent national authority by an applicant producer group, i.e., "an association of producers of the same product whose name is proposed for registration, irrespective of its legal form". Each EU Member State must ensure that the application for registration is published after examination and must establish a national opposition procedure whereby only persons with a legitimate interest resident or domiciled in the relevant EU Member State may oppose the application for registration within a maximum of one month from the date of publication. In this way, it is aimed to ensure a common standard in the geographical indication application and registration system.
3. Conclusion
As a result, the Regulation envisages significant changes with the aim of modernizing the EU's geographical indication system, aligning it with sustainability objectives, increasing its competitiveness in the global market and providing greater transparency and protection to both producers and consumers. Thanks to this reform, Europe's cultural and gastronomic heritage will continue to be protected more effectively by supporting local economies. The Regulation will also set a more transparent, efficient and sustainable example for Türkiye in the protection, promotion and supervision of geographical indication products.