WIPO/NIFT national seminar on The Importance of IP for the Handicrafts Sector Hyderabad, India, April 5-7, 2005 - PowerPoint PPT Presentation

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WIPO/NIFT national seminar on The Importance of IP for the Handicrafts Sector Hyderabad, India, April 5-7, 2005

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Title: WIPO/NIFT national seminar on The Importance of IP for the Handicrafts Sector Hyderabad, India, April 5-7, 2005


1
WIPO/NIFT national seminar on The Importance of
IP for the Handicrafts Sector Hyderabad,
India, April 5-7, 2005
2
Role of Geographical Indications, Collective
Marks and Certification Marks in Marketing
Handicrafts Case Studies Lien
Verbauwhede Consultant, SMEs Division, WIPO
3
1. Introduction
4
The challenge of marketing handicrafts
  • Craft products have to face competition of other
    products on the market that are often similar or
    almost identical.
  • Artisans need to find a mechanism that creates
    and maintains a loyal clientele.

5
  • Only way to do so creating and maintaining an
    identity, image or reputation that differentiates
    you from other artisans, so that you can maintain
    credibility, confidence and loyalty in your
    works.

6
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7
Choosing a carpet
  • Materials and texture
  • quality silk, pure wool
  • vegetable colors
  • Quality
  • colorfastness
  • easy to clean
  • density of the knots
  • Design
  • traditional designs
  • fashion trends
  • unique
  • Manufacturing technique
  • weaving/knitting technique
  • hand woven
  • woven by women

8
Role of IP in Marketing
  • Trademarks, collective marks, certifications and
    geographical indications (GIs) refer to the
    reputation and to certain qualities of the
    products.

9
  • Acting individually, it is difficult for artisans
    to gain recognition for their products in the
    marketplace.
  • If you cant beat them, join them
  • In many countries, artisans have grouped in
    federations or associations (clusters) organized
    either geographically or per industrial sector.
  • Working collectively, artisans can benefit from
    the advantages of a joint undertaking.
  • How can the system of IPR help ?

10
IP and Marketing
Trademarks
  • Collective marks
  • Certification marks
  • GIs

Individual marketing
Joint marketing
11
2. Collective Marks
12
What is a collective mark?
  • Sign that serves to distinguish the origin,
    material, mode of manufacture or other common
    characteristics of the products of different
    enterprises (artisans) using the mark.
  • Typically, the owner of the collective mark is an
    association of which those artisans are members.
  • Registered in the trademarks registry.

13
How does a collective mark work?
  • Regulation of use (art 63 TM Act)
  • persons authorized to use
  • conditions of membership
  • conditions of use
  • sanctions against misuse
  • other matters
  • particular features/qualities of the products
  • control
  • Autorization to use
  • membership
  • application or authomatic
  • comply with the rules (regulation of use)
  • Control

14
  • Thus, the function of a collective mark is to
    INFORM the customers
  • about the origin of the products (artisan, member
    of a specific association)
  • about a level of quality or accuracy,
    geographical origin, or other features set by the
    association

15
Benefits for artisans
  • Economies of scale (registration cost,
    advertising campaign, enforcement, etc.).
  • Reputation acquired on the basis of common origin
    or other characteristics of the products made by
    different artisans.
  • May facilitate cooperation amongst local
    artisans.

16
  • Creation of a collective mark must go hand in
    hand with the development of certain standards
    and criteria (regulations) and a common strategy
  • ? collective marks can become powerful tools
    for local development
  • ? harmonization of products, enhancement of
    quality
  • ? no licenses

17
CASE STUDY La Chamba
18
Project La Chamba, Tolima
  • The project
  • 3 municipalities El Guamo, Flandes, El Espinal
  • Population 12.100 inhabitants
  • 1.300 ceramic artisans (10)
  • 284 workshops
  • 70 women
  • 12 without formal eduction
  • 21 without public services
  • Mapa del Tolima

19
Project La Chamba, Tolima
The product
  • Added value
  • traditional know-how transferred from generation
    to generation
  • principal role of women
  • 89 handwork or with simple tools

20
Project La Chamba, Tolima
Organization
  • Problems
  • little enterprise management capacity
  • paternalism
  • individual leaders
  • lack of organizational structure
  • Solution
  • cooperation
  • development of enterprise management capacity
  • common strategy

21
Project La Chamba, Tolima
E.g. mines  
  • Problems
  • individual exploitation, without sustainable
    management
  • no calculation of reserves
  • no physical/chemical analysis of clay
  • Solution
  • cooperative microenterprise for mining
    exploitation
  • sustainable management of the mines
  • supply of homogeneous ceramic pastry
  • planification of production.

22
Project La Chamba, Tolima
E.g. Product design and development
  • Problems
  • supply not merged with demand
  • little product variety
  • some products out of production (stewpans)
  • Solution
  • design as a differentiated value of ceramics
  • tradition and innovation (new products for new
    demands)
  • merging supply and demand

23
Project La Chamba, Tolima E.g. Marketing
  • Problem
  • Added value (handmade, tradition, quality) of
    the product not advertised
  • No stimulation for export
  • Need to find new clients, enter new markets
  • Solution
  • Certification Hecho a Mano (handmade)
  • Zero custom duties for exportation
  • Creation of culture of CONSISTENT QUALITY
  • Collective Mark (joint project WIPO)

24
Project La Chamba, Tolima COLLECTIVE MARK
  • Association
  • members allowed to use the collective mark
  • exchange of experiences
  • joint advertising and promotion
  • Regulation of use
  • production process (mine extraction, preparation
    of clay, moulding, heating, glazing)
  • quality control and inspection
  • ? homogeneous products
  • Objectives
  • strenghten image of Chamba ceramics
  • reputation of consistent quality and tradition
  • differentiate on the market Chamba ceramics from
    other ceramics
  • preserve cultural heritage
  • foster commercialization

25
3. Certification Marks
26
What is a certification mark?
  • Sign indicating that the products have been
    certified by an independent body in relation to
    one or more characteristics
  • origin, material, mode of manufacture, quality,
    accuracy, etc.
  • The owner is usually an independent enterprise,
    institution, governmental entity, etc that is
    competent to certify the products concerned.
  • Registered in the trademarks registry.

27
How does a certification mark work?
  • Regulation of use
  • features of the products that are certified
  • conditions of use
  • control
  • proceedings against unauthorized use
  • Autorization to use
  • anyone who meets with the prescribed standards
  • not confined to membership
  • generally licence agreement (fee)
  • owner not allowed to use
  • Control

28
Benefits for artisans
  • Guarantee for consumers of certain quality
  • Art 72 TM Act certification mark must be to the
    public advantage
  • Benefit from the confidence that consumers place
    in users of certification mark
  • Strengthen reputation

29
  • For example, certify that
  • - product is handmade
  • - certain ecological requirements have been
    respected in the production procedure
  • - no children were employed in the production
    process
  • - products have been produced in specific
    geographical region
  • - products are made 100 of recyclable materials
  • - products are made by indigenous group

30
Case Study FEDAC
  • - FEDAC is independent institution in Gran
    Canaria
  • - controls quality of crafts produced in Gra n
    Canaria
  • - has registered certification mark
  • - label to be affixed to the products

31
Case Study FEDAC
  • - label guarantees that the product is made by
    an artisan of Gran Canaria
  • - FEDAC reserves the right to take legal actions
    against any violation of misuse that it
    considers to be damaging to the interests of the
    handicraft sector and the artisans of Gran
    Canaria

32
Case Study RUGMARK
  • Global non-profit organization working to end
    child labor and offer educational opportunities
    for children in India, Nepal and Pakistan.
  • The RUGMARK label is your best assurance that no
    illegal child labor was employed in the
    manufacture of a carpet or rug.

33
Case Study RUGMARK
  • To be certified by RUGMARK, carpet-manufacturers
    sign a legally binding contract to
  • produce carpets without illegal child labor
  • register all looms with the RUGMARK Foundation
  • allow access to looms for unannounced
    inspections.
  • Carpet looms are monitored regularly by RUGMARK.
  • Each labeled carpet is individually numbered
    enabling its origin to be traced back to the loom
    on which is was produced. This also protects
    against counterfeit labels.

34
  • Case Study WOOLMARK
  • registered by the Woolmark Company
  • a quality assurance symbol denoting that the
    products on which it is applied are made from
    100 wool and comply with strict performance
    specification set down by the Woolmark Company
  • registered in over 140 countries

35
Through ownership and licensing of the
Woolmark, we provide unique worldwide quality
endorsement. Our brands and symbols are
protected by rigorous and extensive control
checks and recognized globally as unrivalled
signs of quality and performance. If a wool
product carries our brands, it carries our
guarantee of product quality.
36
  • Case Study TOI IHO
  • Exciting initiative for Maori artisans, artists
    and businesses
  • Denotes that products are authentic quality
    indigenous Maori arts and crafts.
  • The creation of the mark was facilitated by Te
    Waka Toi, the Maori arts board of Creative New
    Zealand, in consultation with Maori artists.

37
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38
4. Geographical Indications
39
What is a GI?
  • A sign used on goods that have a specific
    geographical origin and possess qualities or a
    reputation that are due to that place of origin
  • Most commonly, consists of the name of the place
    of origin of the goods
  • country, region, city
  • E.g. Champagne
  • In some countries can also be figurative
    element
  • E.g. Eiffel tower, Egyptian pyramid
  • E.g. birds, animals associated with a place

40
How does a GI work?
  • Authorization to use
  • Each enterprise located in the area has the right
    to use
  • for products originating from that area ? LINK
  • possibly subject to certain quality requirements
  • Link between product and place
  • place where the product is produced (industrial
    products, crafts)
  • place where the product is extracted (clay, salt)
  • place where the product is elaborated
    (liquor,cheese)

41
  • Protection on national level
  • Private initiative certifications, collective
    marks
  • General principles
  • jurisprudence (e.g. false and deceptive use)
  • laws against unfair competition
  • consumer protection laws
  • Decision made by government authority
  • registration with IP office (Russia)
  • decree (France)
  • special laws for the protection of GIs
  • Once protected in a country one must proceed to
    have it internationally accepted so that it is
    globally recognized as a GI
  • Bilateral agreements
  • International treaties

42
  • Unauthorized persons may not use GIs if such use
    is likely to mislead the public as to the true
    origin of the product.
  • Sanctions
  • court injunctions preventing unauthorized use
  • payment of damages
  • fines
  • imprisonment.

43
  • Typical examples
  • Agricultural products that have qualities that
    derive from their place of production and are
    influenced by specific local factors, such as
    climate, type of soil, altitude, etc
  • E.g. wine, champagne, cognac, port, sherry,
    whiskey
  • E.g. cheese, yoghurt,
  • E.g. olive oil, ham, potatoes

44
Can GIs be used for handicrafts?
  • Many artisanal products have special added value
    because of their link with their geographical
    environment
  • They may, for example, have qualities that are a
    specific consequence of human factors that are
    unique for that place, such as
  • some specific know-how
  • traditions or
  • indigenous manufacturing skills

45
Examples
  • Toledo steel

Delft ceramic ware
Turkish kilims
Korean celadon ware
46
Case Study Talavera de Puebla
  • Considered to be one of the finest ceramics in
    Mexico
  • Handmade and painted by hand
  • Historical linked with Arabic culture
  • Typical are the geometric designs in blue color
    painted on a white background
  • The design and colours of the artwork are created
    following traditional rules and know-how

47
Case Study Egyptian cotton
  • Logo figurative elements and words
  • 100 Barbadense cotton
  • developed to promote and increase export of
    cotton products from Egypt
  • 2001 Agreement
  • Egyptian Ministry of Ec and Foreign Trade
    Alexandria Cotton Exporters Association 2
    American textile companies
  • US companies authorized to use logo on their
    products made of Egyptian cotton in USA and
    Canada
  • Export increased

48
CONCLUSIONS
  • A trademark is without doubt a powerful
    instrument to differentiate your handicraft
    products from those of your competitors.
  • However, in order to be effective (strong
    reputation), the artisan in question must have a
    high level of organization and production.
  • Sometimes, collective marks, certification marks
    and GIs may be more useful tools to help artisans
    overcome the disadvantages associated with their
    small size and isolation in the marketplace.
  •  

49
thank you
Lien Verbauwhede WIPO, SMEs Division
www.wipo.int/sme/
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