Source: EURLEX
Language: en
Format: md

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| ROADMAP | |
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| Title of the initiative | EU-Mongolia agreement on protection of geographical indications |
| Lead DG — responsible unit | DG AGRI A.4 |
| Likely Type of initiative | Recommendation for a Council decision |
| Indicative Planning | 4th quarter 2019 |
| Additional Information | https://ec.europa.eu/info/food-farming-fisheries/food-safety-and-quality/certification/quality-labels |
| This Roadmap is provided for information purposes only and its content might change. It does not prejudge the final decision of the Commission on whether this initiative will be pursued or on its final content. All elements of the initiative described by the Roadmap, including its timing, are subject to change. | |

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| A. Context, Problem definition and Subsidiarity Check |
| Context |
| Geographical indications aim at protecting the names of specific products to promote their unique characteristics, linked to their geographical origin as well as traditional know-how. The protection of EU geographical indications at international level is a key element of EU trade policy. The EU negotiates to protect EU geographical indications either through trade agreements or specific ‘standalone’ agreements. While the EU has exercised its exclusive competence related to geographical indications in protecting at EU-wide level agricultural products, such as foodstuffs, aromatised wines, wines and spirits, there is currently no EU-wide system of protection for non-agricultural geographical indications.  The EU-Mongolia Partnership and Cooperation Agreement entered into force on 1 November 2017. Article 27 of this agreement states that the Parties will conclude a bilateral agreement on geographical indications as soon as possible. Geographical indications are known and well-established in Mongolia, where 20 geographical indications are currently registered at national level through a specific geographical indications law. The country’s reputation for traditional products is an opportunity to derive substantial economic benefits from the use of geographical indications. This initiative implements the obligation to conclude a bilateral agreement on geographical indications set out in the EU-Mongolia Partnership and Cooperation Agreement. |
| Problem the initiative aims to tackle |
| For farmers and producers, geographical indications are an important tool they can use to identify and protect the name of their valuable local product. Geographical indications promote products that have specific characteristics while protecting producers against unfair practices and enabling a higher market income.    Geographical indications indicate that the corresponding products come from certain regions. They have several benefits for the producers, consumers and the society as a whole:    -For farmers and producers, they are an important tool to protect the identification of their products through their local name.  -Geographical indications protect diversity and cultural heritage in a globalised world.  -They also protect agricultural value, safeguard the skills of local producers and create jobs and growth in rural areas.  -Additionally, they offer a good way to move up the value chain: the system of geographical indications requires producers to be organised among themselves, and to agree on product specifications, common standards and the collective marketing of quality products.  -Knowing the qualities of products from certain regions encourages consumers to buy repeatedly from the same producers, potentially resulting in a self-reinforcing cycle of demand.  -Products with a geographical indication are sold at a higher price than other products, supporting livelihoods in rural areas.  -Geographical indication is a collective intellectual property right. Like any other such right, it gives the holders exclusive rights to profit from their intellectual property (in the case of geographical indications, all producers in a given geographical area who meet the product specifications are granted this right).    The Agreement would protect the products’ names, which ensures that producers and products protected by a geographical indication will not face unfair competition from products that falsely seek to profit from their reputation [1](#footnote2) . The Agreement would cover EU products in Mongolia and Mongolian products commercialised in the EU that bear geographical indications.    On its entry into force, the Agreement would provide direct protection and effective recognition of a list of geographical indications (wines, spirits, aromatised wines and foodstuffs).    Issues affecting individual prior rights, for example relating to plant varieties, trademarks, generic or other legitimate prior uses, will be addressed, with the aim of solving conflicts in a satisfactory manner. |
| Basis for EU intervention (legal basis and subsidiarity check) |
| This initiative falls under the exclusive competence of the EU under Article 207(1) of the Treaty on the Functioning of the European Union (TFEU), as it is part of the common commercial policy, which relates inter alia to ‘the commercial aspects of intellectual property’, which include geographical indications. |
| B. What does the initiative aim to achieve and how |
| The EU is responsible for the trade policy of the member countries and negotiates agreements for them. Speaking as one voice, the EU carries more weight in international trade negotiations than each individual member would. The European Union’s competence to negotiate the EU-Mongolia agreement on protection of geographical indications arise from the exclusive competence of the common commercial policy.  The initiative aims to provide a high level of direct protection to short lists of EU geographical indications in Mongolia and Mongolian geographical indications in the EU.  The initiative will give producers of products bearing geographical indications a competitive advantage. In particular, small producers in Mongolia will gain better access to the very large EU market. |
| C. Better regulation |
| Consultation of citizens and stakeholders |
| The lists of EU geographical indications will be drawn up following the proposals from the Member States.    The consultation of stakeholders will take place through the established Civil Dialogue Group advising the European Commission on international aspects of agriculture [2](#footnote3) .     After the exchange of their respective lists of geographical indications between the EU and Mongolia, the EU will publish the list of the Mongolian geographical indications in the Official Journal of the European Union. After publication any Member State or third country or any natural or legal person having a legitimate interest, resident or established in a Member State or in a third country may submit oppositions.    Consultations will be carried out in English. |
| Evidence base and data collection |
| No impact assessment will be carried out for the initiative, as there are no alternative policy options. |

:   [(1)](#footnoteref2)
     
       The Agreement will provide the same high level of protection as provided for in Article 23 of the WTO TRIPS Agreement for wine and spirits products, but will also include foodstuffs. The names – being an intellectual property right – will be protected against any infringements and could not become common terms (terms used in the everyday language). In addition, stronger enforcement (including administrative/ex officio) and co-existence with prior trademarks registered in good faith will be provided for. There will also be the possibility of adding new geographical indications to the relevant list in the Agreement.
:   [(2)](#footnoteref3)
     
    <https://ec.europa.eu/agriculture/civil-dialogue-groups/international-aspects_en>

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