Geographical indication (GI) is a sign used on products that have a specific geographical origin and possess qualities or a reputation that are due to that origin. It is a name or sign used on products that corresponds to a specific geographical location or origin, such as a town, region, or country. The use of a geographical indication is a more general concept that does not determine a specific mode of protection. Geographical indications are generally applied to traditional products produced by rural, marginal, or indigenous communities over generations that have gained a reputation on the local, national, or international markets due to their specific unique qualities.
A geographical indication right enables those who have the right to use the indication to prevent its use by a third party whose product does not conform to the applicable standards. For example, in the jurisdictions in which the Darjeeling geographical indication is protected, producers of Darjeeling tea can exclude the use of the term “Darjeeling” for tea not grown in their tea gardens or not produced according to the standards set out in the code of practice for the geographical indication. However, a protected geographical indication does not enable the holder to prevent someone from making a product using the same techniques as those set out in the standards for that indication.
Geographical indications are typically used for agricultural products, foodstuffs, wine and spirit drinks, handicrafts, and industrial products. They function as product differentiators on the market by enabling consumers to distinguish between products with different qualities based on their geographical origin. Geographical indications serve the same functions as trademarks because, like trademarks, they are source-identifiers, guarantees of quality, and valuable business interests.