European Court of Auditors considers that clarification is needed concerning the control system for the GI scheme

ECA published a special report in which it highlights the need of clarification on a number of issues concerning the control system for the geographical indications (GI). The report also states that there is no clear strategy for promoting and raising awareness of the scheme amongst both producers and consumers.

The special report published by European Court of Auditors’ (ECA) shows the audit assessed whether the Commission manages the GI scheme in a way that would allow it to be effective in meeting its objectives. The geographical indications (GI) scheme aims to protect product names which are registered as Protected Designation of Origin or Protected Geographical Indication, whose overall wholesale value is estimated at €15 billion annually. ECA special report conclusion's is clarification is needed on a number of issues concerning the control system for the GI scheme. The scheme was also revised in 2009 during the assessment of the PAC policy.

With regard to the findings showed by the report, there are among the most important that the legal provisions do not lay down minimum requirements for Member States’ checks on product specifications; the regulation does not clearly define the Member States’ obligation to carry out checks to prevent and detect disallowed practices; with the result that most of the national authorities audited do not carry out regular checks in view of detecting and suppressing these practices; the Commission does not monitor closely the implementation of the GI scheme in the Member States. No audits on the GI scheme have been carried out so far; the potential applicants are often not aware of the scheme or are discouraged by the lengthy application procedures; consumer recognition of the scheme and its symbols is very low.

Additionally, ECA makes a series of recommendations to improve the effectiveness of the GI scheme. According to the Court, the Commission should set out minimum requirements concerning checks on product specifications and lay down clear rules for a control system that provides for regular checks to detect and suppress disallowed practices. The Commission should also develop a strategy for raising awareness of the GI scheme among potential applicants and consumers and for exploring more effective means of promoting the GI scheme to them.