Geographical Indication Licence (India)

A geographical indication (GI) is a sign used on products that have a specific geographical origin and possess qualities, reputation, or characteristics that are essentially attributable to that place of origin. In India, geographical indications are protected under the Geographical Indications of Goods (Registration and Protection) Act 1999 and the Geographical Indications of Goods (Registration and Protection) Rules 2002, administered by the Geographical Indications Registry in Chennai (under the CGPDTM). Section 2(e) of the Act defines a 'geographical indication' as an indication which identifies goods as agricultural goods, natural goods, or manufactured goods originating from, or manufactured in, the territory of a country, or a region or locality in that territory, where a given quality, reputation, or other characteristic of the goods is essentially attributable to their geographical origin. India has a rich portfolio of GIs covering a wide range of products: Darjeeling Tea, Basmati Rice, Kancheepuram Silk, Mysore Sandal Soap, Kolhapuri Chappals, Feni (from Goa), Pochampally Ikat, Chanderi Saree, Alphanso Mango, Coimbatore Wet Grinder, and many artisan crafts. As of 2024, India has over 600 registered GIs. Registration under the Act confers on the registered proprietor (typically a producers' association, a state government department, or a government body) the exclusive right to use the GI and to authorise others (registered users) to use it. A GI registration is valid for ten years and renewable indefinitely in ten-year periods.

Under the Geographical Indications of Goods (Registration and Protection) Act 1999, use of a registered GI is restricted to: (a) the registered proprietor; and (b) authorised users who are registered as such under Section 17 of the Act. Section 17 provides that any person claiming to be a producer of the goods in respect of which a GI is registered may apply to the Registrar of Geographical Indications to be registered as an authorised user of the GI. 'Producer' is broadly defined in Section 2(k) to include any person who makes, manufactures, deals in or otherwise trades in the goods in respect of which the GI is applicable. The application for registration as an authorised user is made using Form GI-4, accompanied by the prescribed fee. The Registrar will examine the application and, if satisfied, register the applicant as an authorised user. The registration is valid for ten years and is renewable. An authorised user has the exclusive right to use the GI in relation to the goods covered by their registration, subject to any conditions imposed by the Registrar. Section 21 of the Act provides that an authorised user may institute legal proceedings for infringement of the GI in their own right. The GI licence agreement (between the registered proprietor and the proposed authorised user) typically precedes and forms the basis for the application under Section 17.

Quality and geographic origin compliance are at the heart of geographical indication law. Unlike a trademark (which may be used on any goods meeting the brand owner's quality standards), a GI can only be used on goods that: (a) originate from the specified geographic area; and (b) possess the qualities, characteristics, or reputation attributed to that area. Under the Geographical Indications of Goods (Registration and Protection) Act 1999, an authorised user's registration may be cancelled under Section 27 if the goods for which the GI is used no longer originate from the specified area or no longer possess the specified characteristics. The Act therefore requires ongoing compliance with both the geographic origin and the quality/characteristic requirements. The quality and production standards for most Indian GIs are set out in the GI application and registration documents, which are publicly available from the GI Registry. These documents describe: the geographical area from which goods must originate; the production methods and processes; the specific qualities, characteristics, or reputation of the goods; and the method of verifying compliance (e.g., testing, certification, inspection by a designated authority). For example: Darjeeling Tea must be grown in the Darjeeling district of West Bengal and produced using specified cultivation and processing methods. Kancheepuram Silk must be handwoven by weavers in the Kancheepuram district of Tamil Nadu using pure mulberry silk and genuine zari.

Infringement of a registered geographical indication in India is a serious legal matter with both civil and criminal consequences under the Geographical Indications of Goods (Registration and Protection) Act 1999. Section 22 of the Act provides that use of a GI by a person who is not an authorised user in such a manner as to indicate or suggest that the goods originate in a geographical area other than the true place of origin, or to mislead the public, constitutes infringement. Infringement also occurs when a registered GI is used on goods not originating from the specified area. Civil remedies for infringement under Section 66 of the Act include: (a) an injunction to restrain further infringement; (b) damages or an account of profits; (c) delivery up and destruction of infringing goods; and (d) any other order the court considers appropriate. The registered proprietor and authorised users may both bring infringement proceedings. Criminal penalties for fraudulent use of a GI are provided in Section 39 of the Act: applying a false geographical indication to goods is punishable by imprisonment of not less than six months and not more than three years, and a fine of not less than ₹50,000 and not more than ₹2,00,000. For a second or subsequent offence, the minimum imprisonment is one year and the minimum fine is ₹1,00,000. For the benefit of authorised users, Section 21 expressly confers on a registered authorised user the right to institute infringement proceedings.

A Geographical Indication Licence (India) does not legally require a lawyer in India, and individuals and businesses may draft and execute the document independently. The Indian Contract Act, 1872 does not mandate legal representation for the creation or signing of this type of document. However, seeking independent legal advice from a qualified India lawyer is recommended for transactions involving substantial financial value, complex regulatory requirements, or cross-border elements where multiple legal jurisdictions may apply. A lawyer can verify that the document complies with all applicable statutory requirements, identify potential risks specific to the transaction, and confirm that the terms adequately protect the interests of all parties involved. The Supreme Court of India has jurisdiction over disputes arising from this type of document, and Registrar of Companies (ROC) may impose additional compliance obligations depending on the nature of the underlying transaction. Professional legal review is particularly advisable where the document will be submitted to government agencies or used as evidence in legal proceedings.