From Feta to Prosecco: Key changes to the Geographical Indications Act

Tuesday 4 June, 2024

Amendments to the Geographical Indications (Wine and Spirits) Registration Act 2006 (the Act) came into effect on 1 May 2024. These amendments recognise around 2000 European geographical indications (GIs) for food and beverages and will impact on the ability of traders to use certain terms to describe their products.

If your products are affected by these changes, you will need to become acquainted with the newly protected GIs under the scheme. Make sure to discontinue using any newly protected GIs by selling off current inventory and updating your product labels and marketing materials accordingly. Please get in touch with our IP experts if you have any questions about whether (or how) the new GI rules apply to your business.

Background

The amendments are a result of New Zealand signing a free trade agreement (FTA) with the European Union (EU) in July 2023 and will extend GIs to include EU-produced food and beverages, in addition to the wine and spirit GIs that the Act was originally limited to. Part of the FTA included a promise by New Zealand to protect approximately 2,000 EU GIs for food and beverages. In return the EU will protect 23 New Zealand registered GIs for wine and spirits.

What is a GI?

A GI is a name, usually of a geographic region, which is used to identify the origin of products where the quality, reputation or other characteristics of the product is related to that geographical origin. A GI provides some assurance for consumers that a product is authentic. The most famous GI is Champagne for sparkling wine originating from the Champagne region in France. In a New Zealand context, “Central Otago” is registered as a GI for wine originating in that region of New Zealand. It identifies wine made from grapes grown in Central Otago, on the basis that those wines have characteristics which distinguish them from wines made in other regions.

Key changes

On 1 May 2024 New Zealand registered approximately 2000 EU GIs. Accordingly, use of those GIs for products in New Zealand is only permitted where:

• the product is an import that comes from the specific location in Europe relating to the GI, and
• the product complies with the requirements of the GI.

Products produced before 1 May 2024 which haven’t yet been sold can still be sold until the existing stock has been exhausted.

The restrictions on the use of EU GIs will apply even if the product:

• indicates its proper place of origin,
• uses a translation or transliteration of the GI, or
• uses the GI accompanied by words such as “kind”, “type”, “style”, “imitation” (or similar).

The other results of the amendments are that:

• The Act is renamed the Geographical Indications Registration Act 2006.
• GIs now cover products other than wine and spirits, including beers, oils and cheeses.
• A revised civil enforcement regime will allow anyone with an interest in upholding restrictions on registered GIs to commence High Court proceedings for relief for misuse of GIs.
• A government enforcement regime, including the appointment of ‘GI officers’, is established. Failure to comply with the regime could result in an infringement fee or a fine.
• New border protection measures allow New Zealand customs to investigate, inspect, intercept, and detain goods suspected of breaching a restriction on use of a GI.

Phase out provisions

A small number of EU GIs have special provisions that either allow for ‘grandfathered’ use or support a gradual phase-out. The list of GI descriptors to be phased are as follows:

IPONZ Guidance

The New Zealand Intellectual Property Office (IPONZ) provides some guidance (using balsamic vinegar as an example) when considering how these changes may impact New Zealand businesses:

• a business will not be able to start selling a new balsamic vinegar using the term “Aceto Balsamico di Modena” unless the balsamic vinegar comes from Modena in Italy and is made according to the rules for its production in Italy.
• a business that is currently lawfully selling a balsamic vinegar using the term “Aceto Balsamico di Modena”:
• cannot continue to use the term if the balsamic vinegar does not come from Modena in Italy and is not made according to the Italian rules for its production. Any stock from before 1 May 2024 that uses this term may continue to be sold until that stock is exhausted; but
• can continue using this term in the marketing and sales for this product as normal if the balsamic vinegar comes from Modena in Italy and is made in accordance with the Italian rules for its production.

• a business that is currently lawfully selling a salad dressing that uses the term “Aceto Balsamico di Modena” to describe a balsamic vinegar ingredient:
• cannot continue to use the term to describe the ingredient if the ingredient does not come from Modena in Italy and is not made according to the Italian rules for its production. Any stock from before 1 May 2024 that lists this term among its printed ingredients may continue to be sold until that stock is exhausted; but
• can continue using this term to describe the ingredient if the ingredient comes from Modena in Italy and is made according to the Italian rules for its production.

Tompkin Wake's IP experts are ready to assist with any questions you have about the new regime, the amended Act, or how this could impact your business.