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Cablegate: Chile: Fta with the Eu Covers Local Use Of

This record is a partial extract of the original cable. The full text of the original cable is not available.

UNCLAS SANTIAGO 001557

SIPDIS

E.O. 12958: N/A
TAGS: ECON KIPR OTRA CI ETRD
SUBJECT: CHILE: FTA WITH THE EU COVERS LOCAL USE OF
GEOGRAPHICAL INDICATORS

REF: SECSTATE 131291

1. Chile and the European Union negotiated a free trade
agreement (FTA) which entered into force on January 1, 2003.
Trade negotiators addressed the issue of geographic
indicators in the Chile/EU FTA, primarily affecting Chilean
wines rather than cheese, meat or other agricultural
products.

2. In the final text of the agreement, the Chileans agreed to
phase out the use of European geographic indicators over a
period of five years for their export market, and twelve
years for their domestic sales. Chile, in turn, reserved
exclusive rights to the term "pisco" although the EU may also
decide to allow Peru to use this term to describe the
distilled white wine product. (There is a long-running
dispute between Chile and Peru over the origin of pisco and
ownership of the name.)

3. Comment: Given that the Chileans have already negotiated
an agreement on the use of geographical indicators with the
EU, it is unlikely they would oppose the EU's position on the
issue in the WTO. End Comment.
YAMAUCHI

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