INDONESIA & HUNGARY DISCUSS GEOGRAPHICAL INDICATIONS COOPERATION

Justisiari KusumahManaging Partner, K&K Advocates

JAKARTA: The Directorate General of Intellectual Property Rights of The Ministry of Law and Human Rights discuss cooperation with the government of Hungary on geographical indication to increase the potential and trade between the two countries.

The cooperation talks were held in a meeting between Director General of Intellectual Property Freddy Harris and Hungarian government officials in Budapest, recently.

Freddy Harris along with a number of other officials made a visit to the Hungarian Intellectual Property Office (HIPO) in Budapest in early October.

Indonesia is now promoting product protection with the potential for geographical indications to strengthen the national economy by utilizing and maximizing intellectual property products that have special characteristics that only exist in a specific region in the country.

Hungary is one of the countries in Europe which has many geographical indication products such as wine and spirits and other plantation products. For this Hungary have a lot of experiences. On the other hand, Indonesia also has many of geographical indication products spread throughout the country. However, these products need to undergo registration at the relevant intellectual property offices. That reaffirms the status of such products under prevailing laws on intellectual property.

The registration of the geographical indication product is considered important in terms of marketing strategy because it provides a guarantee of the origin of a product and a guarantee of product quality.

Geographical indications products prices can increase when compared to before due to consumers can then believe and feel that they are not misguided when buying such products. This can be seen for example “Gayo Coffee”. Prior to the existence of certificate of geographical indication, the Gayo coffee price was relatively low, for which then thereafter the price of this product has increased. Consumers are not anymore misguided, as the labeling indicates its specific character that only exists in a certain area.

In the case of Gayo coffee after it has been duly registered only community groups that are members of the Gayo Coffee Protection Society (MPKG) may use the Gayo coffee label on the product packaging. For which then other coffee producing communities outside of the specified area are prohibited from using the Gayo label.

It is indeed the time for Indonesia to be aware of the importance of Intellectual Property Rights particularly geographical indications and follows the developed countries in providing legal protection for intellectual property rights. Intellectual property rights as applied in the United States, European countries, Japan, South Korea, and China have been very strong and have become advanced to what they are now, whereas developing countries including Indonesia still rely and depend on the wealth of its natural resources.

Local governments throughout Indonesia are now continuing to explore the potential of geographical indication products to be registered at the relevant intellectual property office in such that an increase in dissemination of economic development throughout its districts and provinces.

Geographical Indication is a sign that indicates the area of origin of goods and/ or products which are due to environmental factors including natural, human or a combination of those two factors that gives a certain reputation, quality, and characteristics of the goods and/ or products produced.

In 2018, The Directorate General of Intellectual Property of The Ministry of Law and Human Rights has launched the year of geographical indication, so that each regional office of the Ministry of Law and Human Rights is asked to proactively assist the communities in the registration of geographical indications.