1.1 The Scheme of Geographical Indications

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August 2012
Linked to the Land
Developing Ireland’s Local and
Regional food and drinks
I
Foreword
Linked to the Land - Developing Ireland’s Local and Regional food and drinks
“ Bord Bia and industry should make the optimal use of Ireland’s protected
Geographical
Indications, and to identifying further designations. Ireland has
not exploited this opportunity to any significant effect to date . “
(Food Harvest
2020, page 35 )
Europe has a long tradition of food and drink being linked to particular geographical
regions. A system for registering geographical indications is provided by Council
Regulations (EC) No 509/2006 and 510/2006 under the Common Agricultural
Policy. To date four Irish products have received such status.
This paper sets out the main issues in securing GIs, examines Ireland’s position to
date and the potential for registering more products as PDO, PGI or TSG in Ireland.
The paper is in two parts; Part I is an examination of the main policy issues and Part
II, a proposal for action to develop more Irish GIs in furtherance of the objective in
the Food Harvest 2020 report.
Food Industry Development Division
August 2012
I
Table of Contents
Foreword ............................................................................................................................................... II
PART IExamination of Policy Issues ................................................................................................. 1
1.1
The Scheme of Geographical Indications ......................................................................... 2
1.2
The Value of having a Geographical Indication ............................................................... 4
Producers....................................................................................................................................... 4
Consumers..................................................................................................................................... 4
Other Stakeholders ...................................................................................................................... 6
1.3
Critical issues for GI Production ........................................................................................ 7
Balancing costs ............................................................................................................................... 7
Building the Group and Establishing the Link ................................................................................ 7
1.4
Experience to date in Ireland ............................................................................................. 8
PART II POTENTIAL FUTURE DEVELOPMENT OF THE SCHEME IN IRELAND.............. 10
2.1
Food Harvest 2020 (FH2020) ......................................................................................... 11
2.2
Discussions on GI Potential .............................................................................................. 12
2.3
Recommendations ............................................................................................................. 12
2.4
Key Stakeholders ................................................................................................................ 13
DAFM ........................................................................................................................................... 13
Bord Bia ....................................................................................................................................... 14
TASTE Council............................................................................................................................ 14
Teagasc......................................................................................................................................... 15
BIM............................................................................................................................................... 15
Marine Institute (MI) / Seafisheries Protection Agency (SFPA) ......................................... 15
2.5
Priority Actions to be undertaken .................................................................................... 16
Annex A ............................................................................................................................................... 19
I
I
1.PART I
Examination of Policy Issues
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1.1 The Scheme of Geographical Indications
Within the European agricultural system different regions have over generations
produced cheese, wine and other products in a way that is unique and traditional to a
locality.
The Common Agricultural Policy protects such products through
Geographical Indications, which recognises food that is linked to a geographical
region, by reason of reputation, local ingredients or production methods, and
highlights this through an EU labelling system and logo mark products for
consumers. GI food products, including beer and wine but excluding spirits 1,
represent 2.5% of the consumer value of European food consumption and have an
estimated value of €14.2 billion (2007).
Agricultural products, drinks and foodstuffs can apply for GI status where a clear link
exists between the characteristics of a product or foodstuff and the defined
geographical area. The products need not be unique, but the characteristics of the
region- topographic, savoir-faire, reputation, and natural resources- must have an
impact on the characteristics of the product.
Geographical Indications are a type of intellectual property. PDO, PGI and TSG
designations, linked to a region or to a production method, are protected from
imitation and misuse of the name. The EU logo and recognition that these are quality
products may assist products to command a price premium. GI producers must
maintain the quality of the product, comply with scheme specifications and meet
control requirements.
Although GIs are associated with artisan production, both artisan and more
industrial producers may be eligible. Under the GI process, producers apply for
1
GIs for spirits are regulated by Regulation (EC) No 110/2008 of the European Parliament and the Council
~2~
registration of their standard methods, recipes and characteristics. In practice, this is
a group endeavour with trade associations and farmer groups putting forward an
application. However it is important to note that any producer, within the defined
geographic area, who meets the specifications, can avail of the GI, even if not a
member of the applicant group.
There are three types of Geographical Indicators;

Protected Designation of Origin (PDO) where the product must be produced,
processed and prepared in the geographical area and where the quality or
characteristics are essentially due to that area.

Protected Geographical Indication (PGI) where the product must be produced
or processed or prepared in the geographical area and where a specific quality
reputation or other characteristics are attributable to that area

Traditional Speciality Guaranteed (TSG) where the product must be
traditional (25 years/handed down through generations) or established by
custom.
~3~
1.2 The Value of having a Geographical Indication
In 2011 the European Court of Auditors reported on the operation of the
geographical indication scheme (2011). They found that the schemes have potential
to be a positive economic opportunity for the agriculture and fisheries sectors but
that lack of consumer awareness limits their impact. They recommended that a clear
strategy of promotion should be organised by the Commission. Noting the report,
Council recognised that lengthy procedures and a lack of awareness were affecting
the potential of the GI scheme and asked the EU Commission, in agreement with
Member States, to develop a strategy on awareness.
Producers
There is growing enthusiasm among consumers for high quality food with a clear
local identity. Consumers want to know how food is produced and they want to
support local producers. Producers can add value and potentially secure a better
price by linking GI products with this consumer demand. For producers the main
benefit to consider is the potential to negotiate a better price. However the added
value of a PDO/PGI label may not be realised without investment in a campaign of
increasing public awareness and understanding of these products.2 GIs can open
market opportunities for producers to access specialised markets where competition
can be on aspects other than simply price. Internationally, in trade negotiations
between the European Union and other countries over Free Trade agreements, the
EU regularly seeks recognition and protection of the GI System.
Consumers
For consumers GI markings and labels are information mechanisms designed to
offer a guarantee of consistent quality and thereby encourage consumers to select
these products.
2
There is evidence that some consumers value the food quality
F Chaddad, C Fischer, M Hartmann CAB International 2010 Agri food Chain Relationships
~4~
attribute of GIs but this has to be balanced against the fact that there is very low
recognition of GI s marks in Ireland and indeed in other European Countries also.
GIs are not the only quality mark or certification for consumers to be aware of and
there can be confusion over the meaning of different logos. There may also be cases
where consumers already have an attachment to a well know brand/mark or type of
product (e.g. Camembert Cheese) and consumers may not perceive the use of GI
markings to add anything of additional value in these cases.
Irish Consumers are traditionally brand conscious and associate brands as an
important symbol of quality assurance3. In Ireland consumers are more likely to be
aware of a brand name of a particular farmhouse cheese rather than to know about
its specific links to the region. Whilst in Europe buying local can mean supporting a
tradition of regional food, in Ireland this may translate into a broader notion of
buying products from the locality/county or Irish products. Products marketed in
Ireland often promote broad concepts such as clean green rural nature rather than
specific regional qualities.4
3
M Cawley, P Commins, S Gaffey, D Gillmor, M Henchion, P McDonagh, B McIntyre The Irish Finding of FAIR3CT96-p 1827 project
4
M Henchion B McIntyre British Food Journal Volume 102 Number 8 2000
~5~
Other Stakeholders
The specific regional qualities of GIs, which are unique and built up over time, mean
that they illustrate, in a very particular way, the essence of a region and a country’s
food tradition. Having a number of GIs in a country and having GIs which represent
substantial production can enhance national recognition.
GIs may be primarily an opportunity for producers but their benefits can be broader
in a rural and coastal areas. Regional growth strategies can build on local GIs to
develop tourist trails, food festivals etc. In this way the benefits of GI registrations
pass outwards to a broader group.5 However strong primary interest from producers
would first be needed to develop them.
Another issue for consideration is the potential jobs aspect. There is evidence that GI
production can have higher employment levels, which is usually due to type of
traditional production techniques used. This also applies to artisan products in
general. Furthermore while technologically efficient producers will have best
potential to succeed in global competitive markets, GIs offers other niche market
opportunities for smaller producers.
5
A tregear, F Arfini G Belletti A Marescotti Journal of Rural Studies 23 2007
~6~
1.3 Critical issues for GI Production
Balancing costs
There are cost implications with setting up a GI. As inputs can only come from a
certain area this could increase the cost of production or limit expansion potential.
GI producers may benefit from a higher price but this is not always achieved and any
premium has to be able to compensate for any possible additional costs.
Building the Group and Establishing the Link
A significant issue for successful registration and maintenance of a GI is the nature of
the producers who have come together to make the application.
GIs reward
collective traditions rather than any one entrepreneur’s vision. This aspect of the
collective is more routed in Southern European agriculture and it can be a challenge
to achieve in some Member States. A group of individuals have to enter into a joint
process to gain recognition of a collective intellectual property. Producers need to
work out issues of cooperation and competition, economic and non-economic values.
PDO – PGI production may be based on local production methods and ingredients
but the group must also be able to achieve commercial performance to survive.
Because of the need to have a functioning group, Governments cannot impose GI
initiatives, even if they see potential that producers do not. 6 However although the
idea of the group is central, models of coordination can vary from tight developed
coordination to a looser model. Where no organisation exists, building one can be a
complex and challenging task. A strong group is more likely to have the shared
viewpoint necessary to sustain production and develop commercial opportunities
over the long term. A further challenge can arise for groups, as GI production is not
limited to members of the original group but is open to anyone within the delineated
territory who meets the specification.
6
S Reviron, JM Chappuis CAB International 2011 Labels of Origin for Food.
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1.4 Experience to date in Ireland
Ireland currently has four approved GI food products (Clare Island Salmon, Imokilly
Regato, Timoleague Brown Pudding and Connemara Lamb). A further application
(Waterford Blaa/Blaa) has recently been registered with the European Commission
and a national consultation has been started for an all island application for Irish
farmed salmon.
The Department of Agriculture, Food and the Marine is the Competent Authority for
the EU Quality Products Scheme of Geographic Indications.
The Department
welcomes new applications for quality products, and will work with producers to
develop their applications and receive registrations.
There are aspects of the GI system which do not fit well with the Irish food tradition.
The concept of a regional link for quality food production, as opposed to quality
assurance schemes, is not clearly understood. Food development and innovation in
Ireland more often illustrates a tradition of individual innovation.
Individual
producers may not usually apply for a Geographic Indication for their products. Nor
may the name of a Member State (e.g. Ireland ) be used except in exceptional
circumstances.
The experience to date is that there is a variety of reasons for difficulty in progressing
potential Irish GI applicants. The length of the process is off putting. A group
structure is required and this may either not exist at all or be too loose a structure for
the purpose of maintaining a GI registration. Producers may not wish to commit to
the control and maintenance of a GI in the absence of certainty of a price premium.
They may have developed an existing “brand” and have no desire to share this
intellectual property with all producers in a region. Furthermore, as the added value
of a GI mark is often realised only for exports to other EU countries where they may
~8~
be more recognised, smaller producers without significant exports may not see any
need for GI registration.
~9~
2PART II
POTENTIAL FUTURE DEVELOPMENT
OF THE SCHEME IN IRELAND
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2.1 Food Harvest 2020 (FH2020)
Food Harvest 2020, published in 2010, sets out an ambitious vision for the future
strategic development of the Irish agrifood and seafood industries based on three
principles: acting SMART; thinking GREEN; and achieving GROWTH.
This vision
acknowledges that Ireland needs to address structural challenges to meet the
international competitive challenges. Resources must be focused on the opportunity
presented by consumers who demand the highest quality in production and
environmental standards, expect clear visibility on sustainability issues and,
crucially, may be willing to pay a premium for this. Food Harvest 2020 supports the
development of a dynamic, consumer-responsive sector, which can achieve
sustainable growth despite the challenges of volatility in input costs and world food
prices.
FH2020 brings a policy imperative to the greater development of the GI sector in
Ireland. It also emphasises that speciality claims to consumers must be evidence
based and backed up by systems to guarantee these claims to consumers. As part of
developing greater competitiveness FH2020 calls for

Encouragement of an entrepreneurial approach to the development of high
potential start-up food businesses and dynamic artisan producers and that

Bord Bia and industry should make the optimal use of Ireland’s protected
Geographical Indications, and to identifying further designations. Ireland has not
exploited this opportunity to any significant extent to date.
~ 11 ~
2.2 Discussions on GI Potential
In late 2011 Food Industry Development Division attended a Taste Council meeting
to hear their views on GI potential in Ireland and presented the concept of seeking
diverse GI applications which would have substantial commercial potential and/or
niche value which could benefit the local food tourism economy. Further discussions
took place in May 2012. Since January 2012 discussions on developing a plan to
encourage more GI applications have taken place between Food Industry
Development Division, Bord Bia, BIM and Teagasc. It has become clear that there is
a shared consensus that potential exists for further GI approvals and that
stakeholders are willing to work together to achieve this. It is also considered that a
cross-agency approach focused on collaboration and a specific programme of actions
is a necessary ingredient for a substantial increase in GIs and in the light of limited
public resources. This process should ensure clarity of roles and responsibility to
maintain efficiencies.
Discussions at EU level have progressed agreement on an overall EU Quality policy.
This will result in new regulations and changes to the existing GI schemes which
must then be implemented in Ireland. These revised regulations may offer new
opportunities to Irish producers.
2.3 Recommendations
It is recommended that a small GI development group be set up by the Department
of Agriculture, Food and the Marine to develop and encourage applications and to
consider policy issues regarding the operation of the GI scheme in Ireland. This
group should initially comprise representatives of DAFM, Bord Bia, BIM and
Teagasc. The Committee’s role will be to develop greater awareness of the potential
of GI registration, to encourage applications through specific actions and to work
with producers to ensure registration.
The Committee should report quarterly
through the Head of Food Industry Development Division to the Food Harvest 2020
Implementation Committee.
~ 12 ~
Bord Bia will have responsibility for liason with the Taste Council. Although the GI
Committee is intended to meet the obligations of public bodies under FH2020, the
Taste Council has a significant role to play in developing GIs in Ireland. The Taste
Council acts in a voluntary capacity to raise issues particularly affecting the speciality
food sector. Because of their knowledge of artisan, local and regional products and
producers and food traditions the Taste Council has a particular role in highlighting
potential products and directly liasing with producers to bring GI opportunities to
their attention and to raise these possibilities with DAFM.
In view of this
considerable role DAFM should meet at least annually with the Taste Council to seek
their views on GI matters and to report to them on the work of the Committee.
The Committee should encourage Irish GIs based on robust applications, supported
by strong evidence and backed by committed producers with the ability to undertake
long term production. Consumers need to be assured that the quality promise is
backed up by solid assurances.
2.4 Key Stakeholders
DAFM
The Department of Agriculture, Food and the Marine is the lead Department for
policy regarding GIs, nationally and at EU level and is the competent authority for
submitting applications to the European Union and for ensuring effective and
appropriate assurance/control mechanisms. DAFM also has a vital role in advising
producers and working with them on the application as it moves through the
different stages of approval. DAFM should Chair a cross-agency PDO/PGI/TSG
Committee and encourage greater development of the sector. In initial discussions
the other agencies have indicated support and willingness to work together on
developing GIs.
~ 13 ~
Bord Bia
Bord Bia has a key role based on its existing responsibilities for market development,
promotion and information services for the agri-food industry. Bord Bia will work
with DAFM and other actors to provide information on PDO/PGI/TSG programme
and application process to food producers, advising and mentoring producers in
application stages. They will inform food producers of any open call made by DAFM
for PDO/PGI/TSG applicants and give briefings to food producers interested in
applying for PDO/PGI/TSG status. These could initially be included as part of
Regional Forums which in 2012 will take place in Athlone (21 May) and Cork/Kerry
(Autumn). Bord Bia will also have an important role to play for PDO/PGI recipients,
in providing access to the range of Bord Bia services (i.e. market information,
business development and promotion) to assist in maximising their competitive
advantage in the marketplace. The Bord Bia Quality Audit programme may also have
a possible role as part of assurance systems. Bord Bia will promote PDO recipients to
trade buyers in priority export markets. In their role as Secretariat for the Taste
Council Bord Bia will liaise with Taste Council regarding PDO/PGI/TSG
developments.
TASTE Council
The Taste Council has a particular role in linking artisan producers with the GI
schemes. Because of their knowledge of artisan, local and regional products and
producers and food traditions, the Taste Council has a particular role in highlighting
potential products and directly liaising with producers to bring GI opportunities to
their attention and to raise these possibilities with DAFM. DAFM will meet annually
with the Taste Council to seek their views on GI matters and to report to them on the
work of the GI Committee. The Taste Council could also have a role, in view of their
knowledge and understanding of food heritage, of developing a database of historical
food names which would be a resource for future applicants.
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Teagasc
Teagasc regularly receives queries on GI schemes. Teagasc has an important role to
play due to its particular expertise, which is critical to applicants, in the essential
requirement to demonstrate the link between the geographical area (soil type
structure/climate/vegetation etc) and the product. Teagasc, through its ongoing
advice work and discussion groups, could also have a role to play in supporting the
development of producer groups to enable them to come together to work on
applications.
BIM
BIM has a key role based on its existing position as the agency with responsibilities
for development of the Irish Seafood Industry. BIM expertise on seafood products
and industry concerns will be an important asset in developing successful
applications in this sector.
BIM should in conjunction with DAFM, provide
information on PDO/PGI/TSG programme and application process to food
producers, advising and mentoring producers in application stages and afterwards
on how to maximise benefits of achieving PDO status.
BIM will act as a conduit for information to producers informing them of any open
call made by DAFM for PDO/PGI/TSG applicants and for successful PDO/PGI
recipients they will provide access to the range of BIM services (i.e. market
information, business development and technical support) to assist in maximising
their competitive advantage in the marketplace.
Marine Institute (MI) / Seafisheries Protection Agency (SFPA)
Both the Marine Institute and the Seafisheries Protection Agency have important
technical expertise and may have a valuable role to play in research and advice to
support the demonstration of geographical links in seafood applications and in
advice on control issues. BIM will liaise with these agencies.
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2.5 Priority Actions to be undertaken
Set up GI
Set up Committee by end September with representation from
Committee to
DAFM, Bord Bia, BIM and Teagasc.
operate as a flexible,
proactive group.
Encouraging
Agree on proactive approach to promoting the potential of GI
awareness of the GI
status among producers
schemes
i) Suggest GI status to existing groups that could
demonstrate
the
Link
between
their
product
characteristics and the geographical area
ii) Organise two events during 2012 to promote the
schemes generally.
These events should inform
producers about the schemes and include input from GI
producers. They should be held in conjunction with
Bord Bia/ DAFM Regional Food Showcases. The first
event will be held in May in Athlone and a second event
should be held later in the year.
iii) DAFM, Bord Bia, BIM, Teagasc and the Taste Council
should review their website material on GI schemes to
ensure that transparent information with clear links is
provided.
Seek out applicants
Each stakeholder agency should review and reassess any
- Review previous
applications submitted within the last two years to assess
applicants
current potential. This should include advising producers in
the Timoleague area of the possibility of availing of the GI
~ 16 ~
status for brown pudding.
Work with
i)Applicants will need advice and support, initially in terms of
applicants to
advice regarding the process and compilation of the
encourage
application.
successful
ii)Support is needed on how to develop the proof of the
applications.
regional/local link between the product and the geographical
area.
DAFM and agencies all have a role to play.
Agencies, in particular Teagasc, Marine Institute
Seafisheries Protection Agency, should work together to
provide appropriate advice and support for applicants on this.
New GI Regulations
The new GI regulations will introduce changes into the
schemes. The implementation of these changes and their
affect on GI production in Ireland needs to be considered. It
will be necessary to revise information material and inform all
stakeholders of any new requirements
TSG scheme
Currently there are no Irish TSG registrations. Stakeholders
will examine the possibility of developing TSG applicants,
bearing in mind possible changes in the system being
considered at EU level.
Funding
There is no ring fenced funding for GI applicants. However
there may be potential existing sources of funding which could
be used to support the process of GI applications e.g. Leader
funding. All possible sources of funding could be examined
and any suitable sources should be identified to applicants.
Assurance Systems
When producers apply for GI status they are requesting to
become part of a system which entails necessary controls to
ensure that the promise made to consumers regarding the
products is met.
DAFM is the competent authority and
~ 17 ~
currently operates the controls for the existing GI production.
As GI registrations expand DAFM should work with other
agencies to continue to ensure an effective control system,
which supports the GI system, enables the authentication of
producers’ claims and operates in the most efficient manner.
~ 18 ~
3 Annex A
Application Process
There is a common application procedure across Member States in the form of a
specification document and a common single document (Annex 1 of EC Reg.
510/2006) to be completed by the producer group (applicant). These documents
outline the region, the product and the link between the region and the product,
i.e. how the characteristics of the region impact on the product itself. The group
of producers must make application to Food Industry Development Division. The
Department assesses whether the application fulfils the criteria and, if satisfied,
publishes it on the Department website for a consultation period (8 weeks),
considers any submissions and if appropriate, forwards the application European
Commission (DGAGRI).
Within 12 months the Commission examines the application on specific grounds
and if they are satisfied that it is justified make the new application available on
its
Door
database
http://ec.europa.eu/agriculture/quality/door/list.html.
Following a further period of investigation and consultation, the Commission
accepts or rejects the application (at least 6 months). If accepted the product is
registered on the Commission database and is required to be labelled with a
PGI/PDO/TSG logo.
Full schematic details are set out overleaf:
~ 19 ~
At producer
level
Definitions of the product according to precise
specifications
At national
level
Analysis by national authorities
At European
level
Entered on Door
Database
Examination by
commission Services
Rejection if application
is not complying with
EU legislation
First publication in the
Official Journal
6-month opposition
period
Registration
~ 20 ~
If opposition, appropriate
consultation between
interested parties
Different categories of status that can be applied for
i) Linked to a particular territory
or
ii) Relating to a particular production method
i) Protection of Geographical Indications and Designations
of Origin
Product must be
produced and processed
and prepared in the
geographical area (PDO)
Product must be
produced or processed or
prepared in the
geographical area (PGI)
Quality or characteristics
essentially due to that area
Specific quality, reputation
or other characteristics
attributable to that area
PDO means a name of a
region, an area or even a
country in exceptional
cases
The geographical link is not
a core attribute but
production must take place
in a defined geographic
area
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ii) Traditional Speciality
Guaranteed Regulation
Name must be specific in itself
or express the specific
character of the foodstuff
(TSG)
Must be traditional or
established by custom.
Distinguishing features of the
product must not be due to the
geographical area where it is
produced. Not entirely based
on technical advances in the
method of production.
Traditional means usage for a
minimum of 25 years showing
techniques handed down
between generations
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