Study Materials for Geographical Indication

The Geographical Indications of Goods Act, 1999

Table of Contents
I. Introduction: Geographical Indications .................................................. 1
1.2 Justification for protection .................................................................. 2
1.3 Definition............................................................................................ 4
1.4 Geographical indication protection in India ........................................ 8
1.4.1 Criteria ......................................................................................... 9
1.4.2 Procedure for Registration in India .............................................. 11
1.4.3 Duration ..................................................................................... 13
1.4.4 Rights ......................................................................................... 14
1.4.5 Overlap between trademark and GI ............................................. 14
1.4.6 Remedies .................................................................................... 16
1.4.7 Case study: Darjeeling tea case ................................................... 16
1.4.8 Case Study: Pochampally Ikat case ............................................. 17
1.4.7 Summary ....................................................................................... 18

I. Introduction: Geographical Indications

Protection of Geographic Indication (GIs) refers to protection of products
originating from a certain geographical area having special characteristics,
qualities or reputation may be due to various factors, eg natural factors such
as raw material, soil, regional climate, temperature, moisture etc; or the
method of manufacture or preparation of the product such as traditional
production methods; or other human factors such as concentration of similar
business in the same region, specialization in the production or preparation
of certain products and the maintaining of certain quality standard.
Geographic indications have features that respond to the needs of indigenous
and local communities and farmers. Geographic indications are based on
collective traditions and a collective decision-making process which allowing
traditions for continued evolution and emphasize the relationship between
human efforts, culture, land resources and environment. For which GIs are
not freely transferable from one owner to another. It should be understood
that even if a product is protected as GI, it does not prevent anyone from

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producing it anywhere. The only restriction is that the product cannot be

marketed using the name that has been registered as a GI. The name can be
used only by authorized users of the GI for their product or service. So, GI
link must inform consumers of some important characteristics of the product,
which is material in their decision to purchase the good. For example, soil
from a particular area might help produce a distinctive testing tomato, silicon
crystals artificially created in a highly controlled environment in the silicon
valley region of California etc.

1.2 Justification for protection

The justification for providing intellectual property rights can be broadly
classified as:
• Equity considerations – The custodians of geographically indicated
products should receive some price benefits if marketing of such
products leads to commercial gain. All the authorized users should also
get same benefit out of commercial exploitation of the product protected
under GI.
• Conservation concerns – The protection of GI products contributes to
the wider objective of conserving the environment, biodiversity and
sustainable agricultural practices. Concept of registration of GI and
authentication of authorized users help to promote conservation and
sustainable use of protected products.
• Preservation of traditional practices and culture – Protection of GI
products would be used to raise the profile of the knowledge and the
people entrusted with it both within and outside communities.
Avoiding “biopiracy” – Prevention of appropriation by unauthorized parties;
and promotion of its use and its importance to development should be there.
Due to regulated use of GI protected products and guarantee of a certain
quality and standard by GI, misappropriation and misuse is actually
minimized.

To establish the above mentioned points, there is a need of further

clarification which is as follows:

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Intellectual property is protected by a number of tools, most notably

trademarks and patents. These ensure that creators are rewarded for the work
and financial risk they took in developing the invention or idea. Patents and
trademarks prevent competitors from ‘free-riding’ on others’ intellectual
property investments and protect consumers from deception. The rationale
for protecting GI’s is similar. As with trademarks and patents, GI’s are subject
to free-riding problems and consumer deception. Consumers understand that
GI’s denote the origin and quality of products. Many of these products have
acquired valuable reputations which, if not protected, could be
misrepresented by dishonest commercial operators. False use of GI’s is
detrimental to consumers, as well as to legitimate producers; consumers are
led into buying a false product which does not meet their expectations, while
producers suffer because valuable business is taken away from them.
Consumers are protected against both false and deceptive use of geographical
indications. For a GI to mislead consumers, consumers must first perceive
that the original GI refers to a certain geographical area. Geographical
denominations that have become generic or synonymous with the product are
not deemed to mislead the public. For example, Parmesan cheese has become
a generic term in the United States that refers to cheese grated on pasta.US
consumers do not relate the cheese to its geographical origin in Parma, Italy.
In other cases, deceptive indications might be literally true, but may be
misleading. For example, if two geographical areas have the same name, but
only one has been used as an indication of source for a certain product, then
an indication used from products originating from the other area would be
considered misleading. A false declaration, on the other hand, would misstate
the true name of the place where the product originated. The wine producing
Rioja regions in Spain and Argentina are an excellent example. Wine from the
Rioja region in Spain has acquired a strong positive reputation, while wine
from the Rioja region in Argentina does not have the same status. The TRIPS
Agreement allows both countries to use the same geographical name,
although they must agree on how producers are to distinguish between the
two products. On the other hand, the term Chablis, has been used in the

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United States to refer to a rather inferior wine and could be seen as de-valuing
white Burgundy wine from the region of Chablis in France. Furthermore,
goods in a market can be categorized based on the nature of activity required
from the consumer in order to derive information on the goods. In a market
where there exists an inequitable distribution of information, producers will
be unable to differentiate their goods. Accordingly, being unable to inform
customers of the superior qualities of their products, producers would cease
to invest in increasing quality, thereby impeding product innovation. The
reputation theory logically builds on this basic hypothesis. It argues that a
producer has the incentive to invest in the promotion of his or her products’
reputation only if the same can be effectively conveyed to the consumer. A
regime seeking to protect geographical indications would therefore seek to
bridge the asymmetry of information between the producer and his or her
consumers thereby allowing him or her to invest to a maximum into improving
the quality and, indirectly, the reputation of the goods.

1.3 Definition
Since 1883, countries have been struggling with the issue of trade and GI’s.
Three treaties, the Paris Convention for the Protection of Industrial Property
(1883), the Madrid Agreement for the Repression of False or Deceptive
Indications of Sources on Goods (1891) and the Lisbon Agreement for
Appellations of Origin (1958) form the basis of the current definitions of GI’s.
The definitions and philosophy underlying these three treaties have been
integrated into the TRIPS Agreement. However, because the rationale for (and
signatories to) each treaty differed, their definitions of GI’s differed as well. In
its papers on the subject, the WTO Secretariat created the term ‘indications
of geographical origin’ to avoid confusion with the many different legal
concepts arising from such treaties.

Indications of Source: Indications of source are most commonly labels such as

‘Made in America’ or ‘Product of Mexico.’ The idea originated in the Paris
Convention and the Madrid Agreement. However, neither document actually

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defines the concept. It is generally understood that an indication of source is

contingent only on the product’s geographical origin and not necessarily its
inherent quality. The Madrid Agreement provided specific rules for the
repression of false as well as deceptive indications of source.

Appellations of Origin: Appellations of Origin, as defined in the Paris

Convention, convey not only the geographical source of the product, but make
a direct link between the product’s quality and its geographical origin. The
Lisbon Agreement goes further, stating that the geographical name designates
a product, whose quality and characteristics are exclusively or essentially
related to the geographical environment, including natural or human factors.
Appellations of Origin must contain the name of a country, region or locality.
This definition constitutes a higher threshold than for indications of source
and narrows the range of products that are eligible for this classification. The
Lisbon Agreement sets out two basic requirements for the protection of
Appellations of Origin. First, the Appellation must be protected in the home
market and second, it must be registered with the World Intellectual Property
Organization (WIPO). Once an Appellation is protected under WIPO, it cannot
become a generic name as long as the product remains protected in its home
market. This protection covers usurpation or imitation, even if the true origin
of the product is indicated or is accompanied by a term, such as ‘kind,’ ‘type,’
‘make,’ ‘imitation’ or ‘style. ’As of 1999, 766 appellations are enforced by
WIPO. Of the nineteen signatories of the Lisbon Agreement, France accounts
for two-thirds of the appellations and only six parties to the Treaty account
for 94 percent of the registrations. Of the products covered, 84 percent are
wines, spirits, cheese, tobacco and cigarettes, with wines and spirits alone
accounting for 70 percent.

Geographical Indications: The TRIPS Agreement allows GI’s on goods where a

given quality, reputation or ‘other characteristic’ of the good is attributable to
its geographical origin. The Agreement neither differentiate between

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agricultural and industrial goods, nor between handicrafts and manufactured

goods, but the definition does not apply to services. It does, however,
distinguish a) between wines and spirits and all other goods and beyond that,
b) between wine and all other goods. There are, therefore, three levels of
definitions: indications of source, Appellations of Origin and geographical
indications. The broadest definition, indication of source, does not require
that the product have a certain quality, reputation or characteristic linked to
its origin, but it covers both Appellations of Origin and geographical
indications. Appellation of Origin is the most specific concept and necessarily
corresponds to the name of a country, region or locality. In between is the
term geographical indication, which identifies the product as originating in a
particular place, where quality, reputation or other characteristics are
attributable to their geographical origin. In other words, all Appellations of
Origin are geographical indications but not every geographical indication is
an Appellation of Origin. The TRIPS Agreement definition of GI’s is broader
than the one contained in the Lisbon Agreement

because it includes products that do not possess any qualities specifically due
to their origin. However, under the TRIPS Agreement, not every indication of
origin can rise to the level of a GI. Only goods whose quality OR reputation
OR ‘other characteristics’ are linked to its geographical origin, and to
consumer’s purchasing decisions can qualify. To be protected, goods must
originate in the territory with which they are associated. Licensing the name
of the good to other growers or processors is therefore, not allowed. The TRIPS
Agreement does not require the use of a real geographical name. Reference to
geographical origin could be a symbol, such as a French flag, the map of Italy
or the Taj Mahal. Denominations that are not a place name, such as Basmati
rice, could also be feasible under the general heading of geographical
indications, although this issue has not been tested. To be considered eligible
for a geographical indication, a good must possess any one of three
characteristics—1) quality, 2) reputation or 3)‘other characteristic’
attributable to its geographical origin. Going beyond the definitions contained
in earlier agreements, reputation is a critical component of geographical

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indications under the TRIPS Agreement The geographic Indications of Goods

(Registration and Protection) Act 1999 (herein referred to as ‘GI Act’) defines
‘geographic indication’ in relation to goods, as ‘an indication which indentifies
such goods as agriculture goods, natural goods or manufactured in the
territory of country, or a region or locality in that territory, where a given
quality, reputation or other characteristics of such goods is essentially
attributable to its geographic 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.

It is, however clarified that any name which is not the name of country, region
or locality of that country shall also be considered as the GI if it relates to a
specific geographic area, and is used upon or in relation to particular goods
originating from that country, region or locality.

The term “goods” has been defined to mean ‘any agricultural or natural
product and includes food stuff’. Indication has been defined to include ‘any
name, geographical or figurative representation or any combination of them
conveying or suggesting the geographical origin of goods to which it applies.

Examples of geographical Indications

Some of the GIs are: ‘Pilsen’ and ‘Budweiser’ beers; ‘Champagne’; ‘Porto’;
‘Sherry’; ‘Chainti’; ‘Cognac’; ‘Scotch Whisky’; ‘Basmati’ for rice; ‘Darjeeling
Tea’; ‘Assam Tea’; ‘Roquefort’; ‘Real California Cheese’; ‘Tuscany for olive oil’;
‘Vale dos vinhedos for wines’; ‘Florida Oranges’; ‘New Zealand Lamb’; ‘Indian
Carpets’; ‘Swiss Watches’; ‘Czech Crystal’; ‘Idaho for potatoes’; Hereke for
carpets; Havana for tobacco.

Thus, protection is provided against the use of GIs for products not originating
from the geographical area to which the indication refers. Such protection has
far reaching implications for both producers and consumers alike. It helps
consumers distinguishing goods produced in a particular geographical region
from goods produced elsewhere thereby preventing the former from being
misled. So the idea is to provide protection for GIs, a kind of intellectual

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property right, which entitles the enterprises that are located in the
designated area to exclude others from using the indication. Moreover, GIs
are expected to benefit producers by placing a premium on the product
concerned by pushing up its competitiveness and prices. In other words, it
seeks trade and commercial advantage on legitimate grounds.

1.4 Geographical indication protection in India

In India, the legal system for GI protection has very recently been developed.
The Geographical Indications of Goods (Registration and Protection) Act was
enacted in 1999 and has come into force in September 2003 (hereafter called
GI Act).

The need for separate legislation for GIs in form of the GI Act was felt in India
due to two reasons. First, the controversial patenting of Basmati rice by a US-
based company, Rice Tec. and the widespread report of tea from other
countries being passed off as Darjeeling tea. India realized that if it needed to
protect its own geographical indications globally, it needed to protect them at
the national level to begin with. The second reason is related to institutional
commitment. Being a signatory to the TRIPS agreement, India is obliged to
set into place national intellectual property laws which also include GI laws.

The new Indian GI Act has an elaborate procedure for registering GIs at an
office located in the southern city of Chennai. Authorities claim that this Act
has two key characteristics: (i) protection of producers against counterfeiting
and misleading commerce, and (ii) striking of balance between trademark and
GI protection. According to this Act, once a GI is registered, any person
claiming to be the producer of the good designated by the registered GI can
file an application for registration as an authorized user. The GI Act is to be
administered by the Controller General of Patents, Designs and Trade Marks
– who is the Registrar of GIs.

The Geographical Indications Act, 1999 came into force on 15th September,
2003 followed by very first GI registration in India filed on 27 th October 2003

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for Darjeeling Tea. Since then GI registration has come a long way. Till now
the total number of GI registrations is 120.

In the fiscal year 2009-2010 a total of 14 GI have been registered. Last year
is known for its most GI controversies. The very first GI registration in the
year 2009 came up with “Tirupathi Laddu”. The controversy surrounding this
GI engulfed the entire Country wherein the heart of the controversy was
whether religious offerings should be given commercial significance by
granting GI on them. This controversy had not even settled when another one
cropped up with GI application being filed by SIEMA (Southern India
Engineering Manufacturers’ Association) for the pumpsets manufactured in
Coimbatore. Moreover a lengthened objection of GI “Peruvian Pisco” for
Alcoholic Beverage, filed in the year September 2005, came to an end with its
registration.

1.4.1 Criteria

Indian GI Act specifies the goods to be either agricultural goods or natural

goods or manufactured goods that can qualify as a GI. Further, in the Indian
Act, if a producer applies for a GI for a manufactured good, he or she must
make sure that at least one of the activities of either the production or
processing or preparation of the good must take place in the territory. In that
sense, the GI Act is more restrictive than the TRIPS definition.

This can be explained by taking ‘‘Darjeeling tea’’ as an instance. Darjeeling

tea involves manufacture because the green tea leaves plucked from the tea
bushes have to go through a range of rigorous processing stages before
turning into the final product (called ‘‘made-tea’’), which is ultimately sold in
the market. Now, even if the tea leaves are plucked from the Darjeeling region,
the GI Act will not allow the final product to be designated as Darjeeling tea,
unless the processing also takes place within the Darjeeling region. The TRIPS
definition will, however, allow the final product to be designated as Darjeeling
tea, even if the processing takes place outside Darjeeling, because no matter
where the processing takes place, the given quality or characteristics (such as

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flavor, etc.) of the final product will essentially be attributable to its

geographical origin.

GIs are valuable property to producers from particular geographical region.

They have basically three criteria:

1. They identify goods as originating in a particular territory or region or

locality in that territory;
2. They suggest the consumers that the goods come from an area where a
given quality, reputation or other characteristics of the goods is
essentially attributable to their geographic origin;
3. They promote the goods of producers of a particular area.

There are other factors are needed to be considered

1. Section 9 of GI Act prohibits the registration of certain GI. Confusion

regarding GI may be visual or phonetic in nature, i.e. contextual
confusion or as to trade origin. The purchaser should not be deceived
or induced to believe that the goods sold under the GI emanates from
the same trade source.
2. Where producers apply for registration of GI which are used in
contravention of the provisions of any existing statute the application
shall be refused.
3. A GI which comprises or contains scandalous or obscene matter is not
registrable.
4. A GI which comprises or contains any matter likely to hurt the religious
susceptibilities of any class or section of the citizen of India is not
registrable.
5. A GI which would otherwise be disentitled to protection in a court is not
registrable.
6. Whether the name has become generic (has lost its original meaning
and has become the common name), account shall be taken of all
factors including the existing situation in the region or place in which

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the name originates and the area of consumption of the goods. A GI

which, although literally true as to the territory, region or locality, in
which the goods originate, but falsely represents to the persons that the
goods originate in another territory, region or locality is not registrable.
7. Registration of homonymous GI – Under Section 10 of GI Act the register
in that case would have to consider the practical question to
differentiate the two homonymous indications ensure equitable
treatment of the producers of the goods concerned and avoid confusion
in the market.

1.4.2 Procedure for Registration in India

Various stages of filing and granting of geographical indications are explained

in the Figure 1. In the first step, the producers’ organization or a collective
body of producers, like the Tea Board of India for example, has to file an
application in the prescribed form to the GI authority in India.

The details that need to be included in the application for registration of GI

are:

▪ How the indication serves to designate the goods as a GI

▪ The class of goods
▪ The territory
▪ The particulars of appearance
▪ Particulars of producers
▪ An affidavit of how the applicant claim to represent the interest
▪ The standard bench mark or other characteristics of the GI
▪ The particulars of the special characteristic
▪ Textual description of the proposed boundary
▪ The growth attributes in relation to the GI pertinent to the application
▪ Certified copies of the map of the territory
▪ Special human skill involved, if any
▪ Number of producers and

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▪ Particulars of inspection structures, if any, to regulate the use of GI

This application will be examined by experts appointed by GI registry; if

accepted then the application will be advertised in the GI journal for public
scrutiny. However, if the application is objected by experts then a hearing will
take place in special courts designated for GI purposes. If the court refuses to
recognize the genuineness of the application then the applicants can further
appeal to the Intellectual Property Appellate Board (IPAB).

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After advertised in a GI journal, if the application did not receive any objection
from any public organization or individual, then it is deemed as accepted to
be awarded GI certification. However, if any individual or producer
organization or NGO objects the validity and genuineness of the GI, then again
the applicants can appeal to IPAB and a hearing takes place. If allowed, then
the application goes for acceptance and a registration certificate is issued.

Figure 1: Granting procedure of Geographical Indications in India

Source: GI registry, DIPP, India

1.4.3 Duration

Renewal is possible for further periods of ten years. If a registered GI is not

renewed, it is liable to be removed from the register.

Section 18 provides that the registration of a geographical indication and

authorized user shall be for a period of ten years. Both the registration may
be renewed from time to time on the payment of prescribed fee for a term of
ten years from the date of last renewal of registration for an indefinite period.

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However, if the renewal is not affected within the prescribed or extended time,
the geographical indication or the authorized user, as the case may be, is
liable to be removed from the records. Provision is also made for the
restoration of registration.

Where a GI has been removed from the register 1 for failure to pay the renewal
fee, it shall nevertheless be deemed to be a GI on the register, unless the
tribunal is satisfied either – (a) that there has been no bonafied trade use of
that GI within two years immediately preceding its removal; or( b) that no
deception or confusion would be likely to arise from the use of that GI2.

1.4.4 Rights

Section 21 conferred by registration of a GI. The registration of a GI shall

provide,

1. To the register, proprietor3 and the authorized users – the right to obtain
relief in respect of infringement of such GI;
2. To the authorized user – the exclusive right to the use of GI in relation to
the goods in respect of which the GI is registered.
The right of authorized user to use GI is subject to the conditions and
limitations to which the registration is subject. Two or more authorized user
of a registered GI shall have co-equal rights.

The Act makes it clear that the rights conferred by registration shall not be
assigned, transmitted, licensed, pledged or mortgaged (Section 24).

1.4.5 Overlap between trademark and GI

GIs are as valuable as trademarks, yet the functions of GI are different from
that of the trademarks. Trademarks are owned by enterprises and used to
identify products and services in the market, in particular to distinguish them
from competing products and services, whereas a GI never belongs to a
particular enterprise. A GI can be used by several enterprises at the same

1
Under section 19 of GI Act 1999
2
Geographical indication of Goods (Registration and protection) Act 1999
3
According to Section 2 (1)(n) in relation to GI means any association of person or of producer or an organization
for the time being entered in the register as proprietor of the GI

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time, provided that the products for which it is used originate in the
geographic area to which the indication refers.

A collective mark or certification mark may serve to indicate the origin of

goods or services, and may be suitable for the protection of GI. A collective
mark is a mark which is only allowed to the members of a collective body like
an association or co-operative of manufacturers, producers or traders. It is
owned by the association which exclusively grants its members the right to
use it. A GI being registered as collective mark, the association that owns it
has the right to prohibit its use by persons who are not members of the
association. Ordinarily regulations govern the use of the collective mark, with
the application for registration. National law determines whether a GI is
registrable as a collective mark. Certain national trademark laws have
expressly excluded the registration of GI as collective marks.

Certification marks are owned by a certification authority which may be

association or council which is not engaged in the production or the trade of
the products concerned. The owner of the certification marks ensures that
the goods bearing the certification mark possess the certified quality.
Certification mark may be used to certify the origin of products or services.
As for the collective marks, the application for the registration of a
certification mark, it has to be accompanied by regulations, which govern the
use of such mark.

Service Marks, Certification Marks, Collective Marks

Trademarks also include service marks, certification marks and collective

marks. Service marks are names used to identify a service, as opposed to a
good (e.g. TATA GROUP is a service mark, whereas TATA INDICA for a car is
a trademark) and function like trademarks.

Certification marks are used to indicate that a good or service complies with
a manufacturing standard or specification (e.g. WOOLMARK which certifies
that the goods on which it is used are made of 100% wool), or that those who
provide a service have certain level of skills or training.

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A Collective mark is a mark that belongs to an association which authorizes

its members to use the collective mark (e.g. UAW for United Auto Workers).

1.4.6 Remedies

If the designation or presentation of goods misleads the user by giving a false

impression regarding its geographical origin then it would amount to
infringement of that registered GI. It would also constitute the act of unfair
competition and passing off in respect to the registered GI (Section 22).

The certificate of registration granted by the registrar is a prima facie evidence

of validity and is admissible in all Courts and before the Appellate Board
(Section 23).

The Act provides civil and criminal remedies for falsely dealing with GI.
Imprisonment or fine or both are prescribed for falsifying and falsely applying
GI (Section 38), for applying false GI (Section 39), for selling goods to which
false GI is applied (Section 40), for falsely representing a GI as registered
(Section 42), for improperly described a place of business as connected with
the GI registry (Section 43) and for falsification of entries in the register
(Section 44). In case of groundless threat of legal proceedings, the Act provides
for a declaration to the effect that the threats are unjustifiable and an
injunction against the continuance of the threats and may recover damages
for the loss sustained (Section 73).The Act exhaustively deals with concept
and the procedural formalities to get protection. The rules have also been
framed. This Act together with the international treaties provides a well
founded and effective protection for the GI from the hands of the
unscrupulous offenders.

1.4.7 Case study: Darjeeling tea case

Darjeeling tea has distinctive flavor, taste and pleasure. These characteristics
are combination of the environment, climatic condition, cultivation methods,
harvesting and post-harvesting processing etc. The Tea Board of India and
the Darjeeling Planters Association have been involved at various levels in
protecting this high-reputation common heritage. In the year 1983 the Tea

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Board developed a ‘Darjeeling’ logo to protect Darjeeling as a GI. Darjeeling

logo and word registered in various jurisdiction, including UK, US, Canada,
Japan, Egypt and some European countries as a trademark/certification
trademark/ collective mark. In India it is registered as a certification mark
and after 15th September 2003 these are registered as a GI. At the time of
export the Tea Board adopted vigorous vigilance and strict protection
measures to ensure 100% authentic Darjeeling tea in all their consignments.
But, there are several instances of attempted undue registration have been
found, some of these have been challenged through oppositions and
cancellations and some through negotiation. In Japan, Sri Lanka and Russia
still some decisions are pending and some of them successfully concluded.
The key issues faced by the Tea Board are mixing Darjeeling tea with tea
produced from different sources, price stability of the brand, and tasting
consistency. The use of the expression ‘Darjeeling’ would be applicable to a
blend of 100% Darjeeling tea and prescribed standard by the Tea Board.
However if Darjeeling tea is one of the component of a tea mixture then the
Tea Board requires ratio, name and percentage of each of the components
including Darjeeling tea shall be clearly indicated on the packaging; the
objective being to ensure that there is no misrepresentation amounting to
passing off as to content and origin of mixture and thus protect the actual
value of Darjeeling as a GI. Moreover, consumers must know how much
Darjeeling tea is contained in the mixture.

Unfortunately last few years the Tea Board has spent huge money for watch
agency and fighting infringements in overseas jurisdiction to protect
‘Darjeeling’ GI.

1.4.8 Case Study: Pochampally Ikat case

The Pochampally Ikat case was the first law suit instituted under the GI of
Goods (Registration and Protection) Act 1999. Pochampally Ikat is fabric made
of natural materials out of cotton or silk or a combination of both having
design of the diffused diamond or ‘chowka’ design. This fabric is a traditional
art practiced in and around the pochampally village in Warangal district of

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Andra Pradesh. So, GI holders of Pochampally Ikat have the production and
marketing rights and legal right to initiate the infringement action. In May
2005 there was an incidence happened in the form of false GI of ‘Hyco
Pochampally’. Further investigation revealed the manufacturing and retailing
the sarees with the label ‘Hyco Pochampally’ which is visually and
phonetically similar to the GI and product Pochampally Ikat. The adoption of
the word pochampally in Hyco Pochampally in respect of identical goods
would lead to confusion and deception in the minds of the consumers leading
to the passing off and unfair competition. Thus the adoption of the mark Hyco
Pochampally is the dishonest and mala fide attempt to derive unfair
advantage by creating the impression that the products have some
connection, association and affiliation with the Pochampally Ikat. So, suit
decreed in favour of Pochampally Ikat GI holders.

1.4.7 Summary
The concept of GIs was existed from the late 19th century, which is effected
from the period of Paris Convention of the protection of industrial property.
At that time designation of source and appellation of origin were used for the
concept of GI. With time, the relevance of GI increased and the international
community was to forced to look upon the matter. TRIPS mandates afford
protection for GI for the member countries. Many countries enacted domestic
legislation to protect their GIs; India has also enacted Geographic Indications
of Goods (Registration and Protection) Act in 1999 to protect the GI.

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