At first glance, exotic names such as Champagne, Roquefort cheese or pricey Cambodian Kampot pepper may seem like little more than catchy branding to attract epicures who associate fine dining with products that have unique origins.
But for Stephane Passeri, an expert on Geographical Indication (GI) at the United Nations Food and Agriculture Organization (FAO), those exotic names represent a trade registration tradition that dates back more than a century. GI today is also becoming a means for the world to achieve food security and promote strong and sustainable local communities.
Recognised as one of oldest forms of intellectual property protection, GI is used to protect traditional products whose uniqueness and reputation are closely correlated with the geographical location where they originated. GI represents the brand of a locality, signifying a product's quality, production process and place of origin.
"When we talk about GI, we are talking about the focus on developing quality because there is always a market for quality," said Mr Passeri. "And here [in Asia], there is an emerging market among the middle class who always pay attention to food that is high in quality, protects the environment and variety, is rich not only in business value but local knowledge."
The first GI system in the world was appellation d'origine controlee (AOC), created in France over a century ago by a winemakers' association fighting against counterfeits. GI evolved as a way to keep competitors from using an area's name or misleading the public about the origin of a product. Today it encompasses other products besides foods and beverages. Even some fine hand-crafted furniture in France has received GI protection.
Sang Yod rice from the southern province of Phatthalung enjoys Geographical Indication protection.
The European Union is the region with the most GI registrations in the world, with about 3,000, most of them from France. The value of trade in GI products in 2013 was €54.3 billion (US$61.1 billion) worldwide, and they represented 15% of the bloc's total food and beverage exports, Dacian Cioloş, Commissioner for Agriculture and Rural Development, was quoted as saying on the European Commission website.
In Asia, India is the champion in registering GI products, mostly handicrafts such as Venkatagiri saris, Blue Pottery of Jaipur, plants such as Mysore jasmine and, of course, Darjeeling tea. India enacted the Geographical Indication Act of 1999 and now has 309 GI registrations, according to information on the website of the Intellectual Property Office.
A European Commission study showed that GI goods can command hefty premiums as they offer a unique value proposition to consumers. On average, the study showed, GI products sold for 2.23 times more than comparable non-GI products.
Famous and highly successful in Europe, GI has now reached across continents and become very well known in Southeast Asia during the past two decades. Asean is now one of the most active regions in the world for GI, accounting for more than 270 registrations.
The factors helping to make GI popular include the richness of the region's indigenous heritage, rising awareness of the benefits that GI can bring, and help from outside. That help includes collaboration between the FAO and the French development agency AFD to promote GI and prepare authorities and local indigenous producers. The project started in February 2013 and finished this month. AFD is now considering the next phase, according to Mr Passeri, who serves as the project coordinator.
"The FAO is involved in GI registration because it is an efficient way to develop the revenue of farmers, and developing the revenue of farmers can solve a lot of problems regarding food security. In order to create food security, it's not just about producing more food," Mr Passeri told Asia Focus.
"If these local communities can make money from GI products, it will do them good because they also protect their ancestors' local heritage and they obtain higher revenue. And when they get higher revenue, farmers won't destroy the land and environment, because it is your gold mine -- you cannot move to a new area to create products with the same distinctive qualities. To maintain the landscape, to protect the soil, they have justification to conserve the region's identity because they can make money that way."
The four-year FAO-AFD project has led to more registrations, enhanced capacity and collaboration. For example, Cambodian GI-registered products such as the famous and pricey Kampot Pepper and Kampong Speu Palm Sugar have been registered in Thailand and Vietnam thanks to collaboration under the project.
Thai GI products including Lamphun Brocade Thai Silk have obtained registration in Indonesia. Vietnamese Moc Chau Shan Tuyet Tea and Van Yen Cinnamon are awaiting registration in Thailand, while Lamphun Brocade Thai silk is also awaiting registration in India.
The project has promoted GI awareness through regional seminars and workshops with a broad range of participants from the likes of Afghanistan, Japan, Mongolia, Bhutan and Sri Lanka. Myanmar reportedly is interested in registering its famous Thanaka Power, while Afghanistan is contemplating ways to use GI registration to combat counterfeits that exploit the names of renowned Afghan carpets.
In Thailand, the collaboration extends to the retail sector. Central Group, the country's largest retail group, offers space to GI products at its Tops supermarket and Central Food Hall outlets. Central Restaurant Group serves Sang Yod rice from the southern province of Phatthalung in its restaurants such as The Terrace. Central Group this year received the "Asian GI Ambassador Award" from the Department of Intellectual Property (DIP) at the Thai Commerce Ministry.
The finest Kampot pepper in Cambodia can fetch up to US$425 a kilogramme in Europe, against $8 for Vietnamese pepper. 123rf.com
GOOD START IN CAMBODIA
Thailand is the leader in terms of GI registration, but Cambodia is worth watching. The country has only two GI products registered -- Kampot Pepper and Kampong Speu Palm Sugar -- but that is an impressive start.
Kampot pepper from Cambodia has been described as "black gold". One New York chef has even concocted a Kampot pepper ice cream. Olivier Roellinger, a Michelin three-star chef in France, lauds the flavour of pepper grown in southwestern Cambodia for its "olfactory richness'' and "broad spectrum of flavours".
Kampot red pepper was recently selling in Germany for as much as €378 ($425) per kilogramme, compared to an average import price of about $8 in Europe for Vietnamese pepper, according to an Associated Press news report.
Mr Passeri described Cambodia's first foray into GI registration as "very strong" because it respects "the Golden Rule of GI".
The "golden rule" is that producers need to create an association for a start. Then the association that represents the whole value chain can create and implement a plan for quality control and certification before registration. Not all countries have such a strong GI system, even Thailand.
Thailand does not have a specific requirement for producers wishing to obtain GI to create an association, nor is controlling certification required before registration. Thus, there are two levels of GI labels, one not certified and one certified by the Commerce Ministry. According to the Department of Intellectual Property, 73 products from 53 provinces in Thailand have GI registration.
Vietnam, another country with government support for GI registration, uses official authorities to register GI products.
Authorities in the region need to give more weight to pre-consultation, as raising awareness among local communities is a key to successful adoption of GI. Sometimes, local communities are not fully aware of the benefits GI registration can bring them. Lack of understanding, full engagement and consultation might lead to further problems during registration.
After all, GI registration is about more than finding exotic indigenous products to register. It requires a clear understanding about the products, their origins and business in general.
For example, there has been a technical debate about whether to register raw cinnamon bark from Vietnam or the distilled liquid made from the bark. The latter represents value-added and will command a higher price.
Protecting the name alone is not enough, either. Producers need to register the whole value chain of the process to ensure good quality and reputation. The best example is the value chain of the winemaking industry in France. Wine estates and makers that wish to obtain GI usually register the whole process -- from pre-harvest to bottling, in order to prevent cheaters from blending low-quality wines or engaging in other forms of adulteration.
For Thai local producers, the process of GI registration involves more than showing where the product come from.
"In order to register for a GI label, you must be able to tell and prove where your product comes from, and how the rice is cultivated. You need to be able to tell who is the producer, you must be able to tell who is the farmer," said Khajornrat Surakhot, a representative from Ban Um-sang Community Enterprise which registered GI for the community's Thung Kula Rong Hai Thai Hom Mali Rice in April 2006.
Thung Kula Rong Hai Thai Hom Mali Rice is planted in five provinces. But Ban Um-sang Community Enterprises, which represents only five villages with small production volume, wanted to protect the quality and good reputation of its organic rice.
There are many brands, especially from famous agribusiness companies, that use the name of jasmine rice from Thung Kula Rong Hai to attract customers. "The problem is that we cannot know whether it is real. So, we need the GI label to protect the origins and good practices for our community rice," said Mr Khajornrat.
Rice from the community also has other international certificates from the EU and a fair trade label. Currently, Thung Kula Rong Hai Thai Hom Mali Rice from the community is served by Blue Elephant restaurants and sold in high-end supermarkets in Hong Kong.
"You need to tell the story of your community, which has been settled in this area for over a century. We need to explain how our geography, soil and water contribute to the uniqueness of our rice. Sometimes, I feel like the process is about selling our cultural heritage, our community's way of life and history along with the rice product," said Mr Khajornrat.
Stephane Passeri, a Geographical Identification expert at the Food and Agriculture Organization, says GI protection helps farmers earn more revenue and encourages them to protect their land, which is their "gold mine". SUPPLIED
GI AND CHINA
GI registration is becoming a new tool for countries in Asia to create healthier and more sustainable local economies. For some countries such as China, where substandard food scandals are frequent, it is also another means to create trust and open new markets.
On June 2, The EU and China agreed to formally publish a list of 200 European and Chinese geographical indications -- 100 from each side -- that will be considered for protection through a bilateral agreement to be concluded this year.
The list of EU products to be protected in China includes Bayerisches Bier, Feta, Queso Manchego and Gorgonzola cheeses, Champagne and Polska Wódka. Chinese products aspiring to obtain GI status in the EU are Yantai Ping Guo (Yantai apples), Hengxian Mo Li Hua Cha (Hengxian jasmine tea), Panjin Da Mi (Panjin rice) and Baise Mang Guo (Baise mango), according to information published recently on the EU Commission website.
The European Commissioner for agriculture, Phil Hogan, was quoted as saying: "Our EU geographical indication products are a real success story, with growing global sales worldwide.
"Consumers all around the world trust in our Geographical Indication classification system -- this means that they trust the origin and quality of the products, and are willing to pay a higher price for the products, thus a higher premium for the farmer.
"Working closely with our global trading partners such as China is a win: it benefits our farmer and agribusinesses; it develops stronger trading relationships between like-minded operators; and of course, it benefits consumers on both sides of the agreement."
Mr Passeri believes China needs more GI than ever, in order to increase trust in made-in-China products and foster originality and creativity in local indigenous products.
"The idea of GI is that you protect originality and creativity," he said. "Most of them time, a brand is used as a commercial instrument to market the product. It's the same thing in modern days, when you develop a patent and copyright system, you protect and advocate innovation and new technology.
"GI registration comes from the same idea. It grants protection to innovation of traditions created by our forefathers; it is the protection of innovation in the past."
