Food Quality Labels: the situation today in Europe

Assembly of European Regions, Kriti

15 September 2006

Nikiforos SIVENAS

European Commission

2

Overview

Registration of PDO/PGI/TSG The WTO panel and new regulatory

framework Rural development measures Future policy review Work on quality certification schemes

3

EU policy on quality labels Wine: labelling measures to protect

designations & production methods – 1970’s For agricultural products, 1992 regulation:

– ‘designation of origin’– ‘geographical indication’– harmonisation of protection across EU

single market

4

MS registrations PDO/PGI155

147

97 9384

69

29

126 4 4 3 3 3 2 1

0

20

40

60

80

100

120

140

160

Italy

France

Spain

Portugal

Greec

e

Germ

any

United K

ingdom

Austria

Nether

lands

Belgiu

m

Luxem

bourg

Denm

ark

Irela

nd

Czech

Rep

ublic

Sweden

Finla

nd

5

162 154

10089

79

18

Fruit &vegetables

Cheese Fresh meat Olive oil Meatproducts

Beer

PDO/PGI registrations by class of product

6

7

9

10

11

11

18

22

28

36

42

66

0 20 40 60 80 100 120

Greece

Poland

UK

Germany

Hungary

Slovenia

Portugal

CZ

France

Spain

Italy

New applications received by the Commission (PDO/PGI/STG)

7

WTO Panel

Complaint brought by United States and Australia in 2003

40 aspects of the EU Regulation on GI attacked

Integrity of EU system upheld Direct access to applicants from Third

countries

8

New regulation on PDO/PGI – Regulation (EC) No 510/2006

Conformity with WTO ruling Clarification on competences between

Member States / Commission National procedure of objection Formal national decision prior to submission

to EU

9

Future Policy Review (1)

Issues raised by the Council :

1. ‘PDO’ & ‘PGI’ as ingredients

2. Alternative instruments

3. Scope of protection

4. Origin of raw materials

5. Criteria for generic status

10

Future Policy Review (2)

6. Design of European symbols/logos

11

Future Policy Review (3)

Other issues brought up by stakeholders

Agency for registration of PDO/PGI

Traditional Specialities Guaranteed – Scope – Representative body

12

Rural development

13

Rural development support for food quality schemes Direct support to farmers (up to 3000 €) Support to producer groups for information,

promotion and advertising activities (70%) National food quality schemes Community schemes: PDO, PGI, TSG,

Organic farming, Quality wine

14

Controls essential

Financial Times 8.9.2006

15

Certification schemes (1) Schemes cover wide range of quality

attributes– Processing techniques– Ingredients– Origin of raw materials– Animal welfare– Environment standards– Labour standards

16

Certification schemes (2) Pilot study on food quality assurance and certification

schemes Stakeholder hearing 11-12.5.06 identified problems:

– Excessive certification cost & private bureaucracy– Reliability of claims and consumer confusion– Differences in national legislation– Schemes as a way of procurement management– Internal market distortions

17

Presentation of « Comté »

Medium-range mountains

Natural conditions = difficult to produce anything but beef and milk

Old tradition of cheese-making

18

Comté cheese big rounds 63 cm in diameter and weighing~ 42 kilos

First French PDO cheese (50 000 tons)

Traditionally made in small village cheese dairies, known as the "fruitières".

19

Competition with Emmental

Production of Comté in small units

Emmental produced at industrial scale in this region

= Opposite strategies

20

Production (tonnes) Emmental and Comté

20.000

25.000

30.000

35.000

40.000

45.000

50.000

55.000

1971

1973

1975

1977

1979

1981

1983

1985

1987

1989

1991

1993

1995

1997

1999

2001

21

Milk price (€/tonne) paid to producersEmmental and Comté

20,00

25,00

30,00

35,00

40,00

1980 1985 1990 1995 2000 2005

22

Prices of Comté/Emmental (consumer, € / kg)

5

6

7

8

9

10

1990 1992 1994 1996 1998 2000 2002 2004

23

Employment (per 1.000.000 litres of milk)

Comté Emmental

1,29

0,98

0,6

0,13

0,6

TotalMilk collection and first processing

Maturation and marketing

Packaging

Administrative

24

Elements for success

Good product Dedicated producers Organisation Controls Integrated approach to production,

processing, distribution, advertising and marketing

25

Conclusion

Quality policy increasing in importance for the European Commission– Debate on future policy review on

PGI/PDO– Conference on food quality certification

schemes, 5-6 February 2007.

Welcome input from stakeholders

Food Quality Labels: the situation today in Europe

Assembly of European Regions, Kriti

15 September 2006

Nikiforos SIVENAS

European Commission