II.1.2.4. Experience of Europe in t

II.1.2.4. Experience of Europe in the development of appellation of ori gin and geographical indication 12
It takes Europe about 100 years to make geographical indication and appellation of origin a tool to protect products in the market. This process includes many different stages, however, in general all the countries like France, Italia, and Switzerland experience the following four periods:
• Period against unhealthy competition of the market: This is the most important stage whose goal is to motivate the construction of institution to protect products in order to reach final objective of creating healthy market. In France, this period occurred from 1905 to 1970 while it took place in Italia from 1716 to 1962 and in Switzerland from 1890 to 1981.

12 - Ana Soerio, Case studies of geographical indication with Oeste Rocha pear and Alcobaca apple; Experience of Spain. Presentation of the conference “Geographical Indication: land for opportunities” in Hanoi on
November 15th, 16th 2005
- Maria de Jesus Ceia, History, quality and inquiry capacity: tools to reach the futur. An example of the r ole of
a production corporation. Presentation of the conference “Geographical Indication: land for opportunities” in
Hanoi on November 15th, 16th 2005
- Charle Goemaere (C.I.V.C-V¨n phßng liªn ngµnh vÒ r- îu champagne).Geographical indication: key factor in rural development. Roles of commodity organizations in supervision system. Presentation of the conference
“Geographical Indication: land for opportunities” in Hanoi on November 15th, 16th 2005
• Period regulating market: The purpose of this period is to promote the developme nt and stabilization of the products after being protected. All the policies and solution s of these countries concentrated on stabilize the market and widen the sphere of protection. This period happened from 1970 to 1985 in France and from 1963 to 1992
in Italia, etc.
• Period of rural development: This period proceeded from 1985 to 2000 in France while it began in 1997 in Switzerland. The main function of this period is to make rural development stable, which was a very crucial objective for local and natio nal sustainable development.
• Period acknowledging products in terms of heritage: This stage includes negotiations to make typical products of a country become heritage of the human. This period have just taken place in France since 2000 through the fact that the French government and
INAO conducted international negotiation to acknowledge all products of PAO and PGI the international heritage.
The period that makes deep impression to Vietnam is the stage forming regulation 2081/ 92 that was taken the initiative by France. We can summarize some failures and success of this period as the followings:
+ The system protecting geographical indication and appellation of origin in France was established in 1905 in which the government was responsible to define geographical area to protect these appellations. However, the market encountered many problems because of the unapplication of traditional technical procedure and the unsolved pressures and crisis. That was why in 1913 and 1915, there were many demonstrations of grape- fruit producers. This required changes in institutional frame to make the system more reasonable.
+ As a result, a new law was issued in 1919 in which indicated that the court was responsible to determine geographical zone as well as to use geographical indication and appellation of origin. Nevertheless, this law was not so efficient to solve all problems of crisis of using appellations and equality amongst single producers, and the homogene of quality and label as well. This means there should be organizations of stakeholders participating in producing, processing and commercializing the products. This period marked a complete failure of the application of new law.
+ In 1935, the third law came into existence to replace the law of the year 1919 with the participation of judiciary in solving all complanation. The Council and INAO (defining geographical area, right and regulations of using GI and AO) as well as organizations of producers together organize production and manage geographical indication and appellation of origin. All French regulations became common regulations on geographical indication and appellation of origin of the whole Europe in 1992.
There are precious experiences for Vietnam to perfect its legal frame, especially better the roles and function of governmental bodies and organizations in the process of setting up the right of register the products, supervising and having right reactions towards complain and unexpected problems.
Up to now, all European countries have to obey the rules of the regulation 2081/92 in order to protect their products under geographical indication and appellation of origin. Hence, in the application in Vietnam, we would like to mention only necessary stages o register products as GI or AO products in these countries.
Role of organizations of producers
The importance of organizations of producers can be illustrated by the organizations of the producers of Oeste Rocha pear from Portugal. Oeste Rocha pear appeared in 1836. This kind of pear is superior to other pears in terms of form and quality. That was why it became a very favorite fruit and their appellation became popular. However, like other famous products, there was an abuse of the name Oeste Rocha pear . The trader used it to call other pears in the same region, or from other regions. Consequently, the consumers were confused and lose confidence on this kind of pear. Its price reduced , it value degraded. Nevertheless, none of the producers represented to protect the pear as well as their interest because they thought the benefit of this is not only for their sake, but also for every one.
Facing these problems, after the issue of regulation 2081/92, fifty Oeste Rocha pear producers and packagers gathered to protect their common interest in 1992. The association of producer of Oeste Rocha pear then appeared with the main functions as the followings:
• Sharing the same will and point of view towards such activities as providing technical support to improve the quality and homogene of the product, using the sa me standard for commerce and label
• Building together a commercial system with the coherence of traders, developing commercial promotion and widening their market, etc
• Obeying the same production procedure in order to decrease the production cost, stabilizing price in the market and creating reputation for the association it self as well as for the products
Together with above activities is a series of common activities, for example: applying to protect Oeste Rocha pear as an appellation of origin product as indicated the European regulation; managing and preparing to use the appellation of origin; conducting strategy of commercial promotion; maintaining the same channels, enlarging the market to oversea; protecting the right of using appellation of origin in the market against abuse, etc.
With such activities, the Association of Oeste Rocha pear producers was very successful in stabilizing the market, meeting with the demand of customers, and at the same time making an emphasis on the role and responsibity of an organization who protected common interest for its members.
Building controlling system for GI and AO products
Building a controlling system for GI and AO products is a compulsory requirement as indicated the regulation 2081/92. In fact, this is a process inspecting and supervising the operation of compulsory production procedure, which emphasizes on the roles of specific characteristics that make deep influence on the quality of the GI or AO products. In this section, we would like to mention to the formation and operation of the controlling system for a very famous French product, that i.e. champagne.
This system includes two levels:
(i) Internal controlling system: The Bureau of Interprofessional Champagne (including two professional commercial associations) controls the activities of production, processing, and commercialization of all members participating in the association.
(ii) External controlling system: managed by INAO, the Ministry of Economics
(through custom house and anti-fraud- market management department)
In terms of internal controlling system, the Bureau of Interprofessional Champagne includes members sharing the same purpose of taking advantages of the product’ s reputation. They are producers, processors and traders. The function of this Bureau is to:
• Managing production like following and taking note production activities of its members; improving the quality and homogene of the products, updating the members with information related to production, for instance market and other factors
• Managing market by defining annual productivity, managing packaging activity and the use of label as well as the quantity of the products sold in domestic and foreign markets, more over, asking its members adjust the label to meet with the demand of the expanding market
• Controlling the quality of the product by using and circulating tools to analyze the quality of the products, all the products are inspected before bottling and named Champagne…
• Protecting the appellation of the product and widening the market: The Bureau can represent its members to complain or protect their right against the abuse of the appellation in the market, and at the same time improving the protection activity through out the world by opening representative offices in other countries.
In terms of external controlling system, it is laid down by law that, the Bureau is the following functions and responsibilities:
• INAO plays the roles as an organization certifying and giving the right of AO use to organizations. It is also competent in evaluating professional organizations whether they are able to use appellation of origin or not thanks to their