“The residents in rural areas make most of the GI products for sale in India, which generates income and employment opportunities, consequentially giving a boost to the economy. Thus, through Gls we ensure that we don’t leave those behind and also include them and bring them into the fold of economic development.”
-V.C. MATHEWS, GROUP HEAD,
FOX MANDAL & ASSOCIATES, NEW DELHI
India’s economy is very complicated, and Geographical Indications (GIs) have become a place where farmers, weavers, and local sellers might be able to find help. The Geographical Indications of Goods Act of 1999 was the start of this idea that changed everything. It was a big step forward in protecting and promoting India’s many unique and different goods. A Geographical Indication (GI) is a type of intellectual property that lets people know which goods come from a certain area, region, or territory. The quality, image, and other traits of these goods are closely linked to where they come from. As guardians of intangible economic assets, GIs protect a product’s qualities and image by setting it apart in the market.
The European Union fought hard for this idea through the TRIPS Agreement (Trade-Related Aspects of Intellectual Property Rights). This shows that people all over the world understand how important it is to protect geographical markings.
Article 22.1 of the TRIPS Agreement defines GI as “Geographical indications are, for this agreement, 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”
GI IN INDIA
The Geographical Indications of Goods (Registration & Protection) Act, was passed by India in 1999. It was a big step toward protecting its cultural and economic history. In 2002, the Geographical Indications of Goods (Registration and Protection) Rules were made, which made this legal move even stronger. The intellectual property office in Chennai, which is also the centre for the Geographical Indication Registry of India, is in charge of overseeing and managing how these rules are put into place. In addition to recognizing and protecting the country’s many different and unique goods, this institutional framework also makes sure that these safety measures are followed by a separate administrative body.
The definition of GI as adopted by India is as follows-“Geographical Indication’, in relation to goods, means an indication which identifies such goods as agricultural goods, natural goods or manufactured goods as originating, or manufactured in the territory of a country, or a region or locality in that territory, where a given quality, reputation or other characteristic of such goods is essentially attributable to its geographical origin and in case where such goods are manufactured goods one of the activities of either the production or of processing or preparation of the goods concerned takes place in such territory, region or locality, as the case may be.”
Distinguishing itself from other intellectual property rights, the Geographical Indications (GI) framework in India offers a unique inclusivity, allowing any association of persons, producers, organizations, or authorities established by or under the law to apply for the registration of a GI. This inclusiveness reflects a commitment to ensuring that diverse stakeholders, including farmers, weavers, and local traders, can actively participate in the protection of their products’ unique geographical identity. Moreover, the granted registration endows exclusive rights not to individual entities but to the community or authorized users associated with the GI products. An interesting facet of this protection is the non-transferability of the GI, reinforcing its commitment to the specific community or entity originally registered.
Adding a visual dimension to this endeavour, in 2018, the Indian Commerce and Industry Minister unveiled a tricolour logo that unifies all Geographical Indications. This symbolic logo, with the tagline “invaluable treasure of incredible India,” serves as a collective identity for a diverse array of products across the nation, reinforcing the cultural and economic significance of India’s geographical indications. The initiative reflects a cohesive approach towards showcasing the invaluable heritage encapsulated in the country’s diverse products, contributing to both national pride and economic prosperity.
MISAPPROPRIATION OF GIs
A strong regulatory framework to prevent origin-based product misappropriation and protect Geographical Indication (GI) product reputations could boost development and income. This directly and indirectly boosts a nation’s economy. GIs safeguard products’ unique identity and cultural heritage and boost economic growth by supporting local enterprises and producers.
However, unlike wealthy nations, many emerging nations’ Geographical Indication regimes are very young. These countries must hasten the creation and implementation of comprehensive legislative frameworks, administrative structures, and awareness initiatives due to this developmental gap. By doing so, these nations may maximize the economic benefits of protecting and promoting their indigenous products. Strengthening the GI regime in developing nations protects local communities and traditional customs and prepares them for global market involvement, creating sustainable development and economic resilience.
THE INDIAN GIs
The primary function of a GI is to serve as a product differentiator, to capture the sensitivities of the market participants. While countries all over the world are working towards the goal of registering their geographical indications (GIs), India is proud to have unrivalled diversity in its GI protection. Products such as textiles, handicrafts, paintings, agricultural products, horticultural products, and beverages are among the items that have been awarded Geographical Indications (GIs) in India. In contrast to the situation in Europe, where geographical indications are mostly associated with wines and spirits, as well as other culinary and agricultural goods, this is a highly significant departure.
POCHAMPALLY IKAT: A REVIVED GIAMPALLY
It is possible to demonstrate the economic impact that GIs have on an economy by referring to the case study of “Pochampally Ikat,” which is a classic example. “Pochampally Ikat” is a fabric that is woven in the Nalgonda and Warangal districts of the state of Andhra Pradesh in India. It is a unique fabric that has been around for centuries and can be made of silk, cotton, or mixtures of the two. To make the cloth, the yarn is first tied and then dyed before the weaving process begins. Pochampally is home to more than a thousand homes that are engaged in weaving, and there are roughly five thousand weavers who can be found working on approximately two thousand traditional pit looms. The craft of making goods out of the “Pochampally Ikat,” on the other hand, experienced a significant fall during the 1990s. The destruction of this business was caused by several factors, including the low productivity of conventional pit looms, irresponsible sales attempts, and other factors. The salaries that were supplied to the weavers were extremely low, even though it took more than forty-five days to create a warp consisting of eight sarees made out of this cloth. In the year 2007, the typical salary that would be offered to a weaver for the completion of a warp of eight sarees would be as low as INR 1500 to INR 2500 (considering that one US dollar was equivalent to INR 41.29 in 2007). In the end, with the support of the Pochampally Handloom Tie and Dye Manufacturers’ Association, the ‘Pochampally Ikat’ was granted a Geographical Indication (GI) registration on December 31, 2004, making it the first handloom product in India to be registered as a GI. Immediately following the registration, the fabric in question was subjected to extensive publicity, which resulted in an enormous demand for it. In the year 2008, there was a 15–20% growth in the demand for ‘Pochampally Ikat’ sarees, which had the additional effect of increasing the wages of the weaver by up to 20%.
This information sheds light on the influence that GIs have on the economy of a country.
MEASURES AND RESULTS
Geographical Indications (GIs) help create a “regional brand,” avoiding fraud and ensuring product authenticity. Power loom-made Banarasi sarees are often sold as genuine handloom Banarasi textiles in India, demonstrating the need for such protection. GIs protect regional brands, traditional craftsmanship, and product identity.
Amazon’s “Local to Global” campaign shows how e-commerce platforms can use GIs to promote products worldwide. Delta Leather Corporation and SVA Organics, Indian producers, have entered 18 worldwide markets and over 200 nations through the project. E-commerce platforms’ international exposure transformed these products’ demand, resulting in a 300-fold firm expansion.
The government’s attempts to label more products with GIs support export value assessment. Such tactics increased India’s exports by 48.34% from May 2020 to June 2021, according to the Commerce Ministry. Petroleum, diamonds, jewellery, and chemical shipments have grown consistently, proving that GIs can leverage regional identities and quality assurance in international trade.
CONCLUSION
In conclusion, India’s Geographical Indications (GIs) framework has become an important way to protect and promote the unique qualities of its many goods. The Geographical Indications of Goods Act of 1999 was a big step forward because it made it possible to protect the cultural and economic heritage of different goods. The fact that the GI framework lets a lot of different groups of people take part shows that people want to give local communities, farmers, weavers, and businesses more power.
For example, the “Pochampally Ikat” case study shows how GI licensing has changed the economy. Bringing back this traditional handloom item not only protected cultural heritage, but it also increased demand, which led to better wages for weavers and growth in the economy as a whole. This success story shows that GIs have the ability to be very useful tools for promoting long-term growth.
There are still problems, though, especially in emerging economies where GI systems are still fairly new. To stop theft and make sure that indigenous goods can reach their full economic potential, work needs to be sped up to create strong legal frameworks, administrative structures, and education campaigns.
The Indian government’s actions, like the “Local to Global” ad on Amazon and the creation of a single tricolour logo for GIs, show a well-thought-out plan to use GIs in the global market. The foreign success stories of Delta Leather Corporation and SVA Organics show how GIs can change things by reaching more customers and growing the economy.
India is continuing to label more goods with GIs and improve its regulatory framework. The big rise in exports shows that these efforts are paying off. The fact that export prices are going up in many areas shows how important GIs are for building regional identities and making sure of quality in international trade.
India’s journey with Geographical Indications is mainly about protecting cultural diversity, giving local people more power, and making the economy stronger. People who keep working in this way will not only protect India’s priceless treasures, but they will also make a big difference in the country’s economic growth on the world stage.