Geographical indication agricultural products caught in the dilemma of hot applications, cold use, and poor results

Jinci rice, Jiaocheng jun jujube, Ruicheng Sichuan pepper, Guxian walnut, Youyu mutton…… Statistics from the Shanxi Provincial Department of Agriculture show that Shanxi now has 98 agricultural products certified with the Ministry of Agriculture's geographical indication for agricultural products, ranking third nationwide.

The geographical indication for agricultural products is both a label and an intangible asset. If used well and protected well, it can invigorate a region's economy and enrich its people. However, due to the lack of long-term planning and lagging brand development and protection efforts, some geographical indication agricultural products in Shanxi show a phenomenon of “hot applications, cold use, and poor results,” falling far short of market performance commensurate with their resource endowments, and their industrialization development faces enormous difficulties.

Industry insiders suggest that localities should strengthen publicity for geographical indication products, do a good job in supervision and protection of geographical indication products, and ensure quality improvement and product quality safety, thereby giving play to the brand influence of geographical indication products and promoting the rapid development of specialty agriculture and the regional agricultural economy. Geographical indication agricultural products refer to agricultural products that originate from a specific region and are named after a geographical name upon review and approval. In 2007, the Ministry of Agriculture promulgated the Measures for the Administration of Geographical Indications for Agricultural Products, and starting from February 1, 2008, fully launched the registration and protection of geographical indications for agricultural products.

In recent years, the importance of geographical indication trademarks has become increasingly prominent, becoming a “protective umbrella” for agricultural products with regional characteristics and a booster for “revitalizing agriculture and enriching farmers.” According to statistics, more than 1,200 geographical indications for agricultural products have been registered nationwide.

As one of the 12 national pilot provinces for geographical indication work on agricultural products, Shanxi Province has vigorously promoted geographical indication registration and protection work in recent years. Shanxi is located at the eastern end of the Loess Plateau, with a large north-south span, diverse geography and climate, and rich varieties of agricultural products. Minor grains such as foxtail millet, mixed beans, buckwheat, and oats are complete in variety, and their output and quality rank among the top nationwide, earning it the title of “Kingdom of Minor Grains.” In addition, Shanxi's output of apples, red jujubes, and walnuts all rank among the top three nationwide, and the quality of dried and fresh fruits is excellent. According to preliminary statistics from agricultural departments, Shanxi Province has more than 180 geographical indication agricultural products eligible for registration and protection.

Zhao Anze, deputy inspector of the Shanxi Provincial Department of Agriculture, said: “The geographical indication for agricultural products is not just a regional label; it gives agricultural products a ‘name’ and a ‘lineage’ to enter the market. It is a powerful guarantee for agricultural products to win market competition and an important path to promote the industrialization of specialty agriculture.”

But in the minds of ordinary consumers, the term geographical indication agricultural products still seems somewhat unfamiliar. A reporter recently visited several large supermarkets and specialty markets in Taiyuan, Yuncheng, and other places and found that most agricultural products in Shanxi that have obtained geographical indications do not use the geographical indication logo on their product packaging. The reporter randomly interviewed more than a dozen shopping citizens, and almost all clearly stated that they had never heard of the term geographical indication agricultural products.

Wang Wanbao, head of the Wanbao Fruit Planting and Sales Professional Cooperative in Linyi County, Yuncheng City, said: “Linyi apples obtained the Ministry of Agriculture's geographical indication certification for agricultural products as early as 2013, but our cooperative still promotes its own brand, ‘Wanbao’ apples, and hardly uses the ‘Linyi apple’ geographical indication.”

Yang Shiping, deputy director of the Famous and Excellent Product Development Center of the Shanxi Provincial Department of Agriculture, said that many places now show great enthusiasm for applying for geographical indications, but due to the lack of long-term planning, after successful application, work such as brand development and protection has not kept up in a timely manner, resulting in a huge gap between the original intention of application and actual results, falling into the predicament of “hot applications, cold use,” with industrialization development facing difficulties.

“Geographical indications” have not brought considerable benefits

It is understood that applying for geographical indication agricultural products requires many procedures, including research and planning, material preparation, product testing, evaluation and application, expert review, and national approval. However, except for a few varieties, Shanxi's geographical indication agricultural products have not brought the expected economic benefits, prominently manifested in weak brands, weak industrial leaders, and incomplete industrial chains, making it difficult for them to become pillar industries that drive farmers in a region to prosperity.

“Take the ‘Ruicheng Sichuan pepper’ produced in our area as an example. Due to the lack of leadership from leading enterprises and the inability of individual households to promote the geographical indication, the annual output value has not changed much compared with before protection. Only the name has obtained protection, and the actual benefits are not significant.” said Li Yongquan, a Sichuan pepper grower in Zhongyao Township, Ruicheng County, Shanxi Province.

During interviews, the reporter found that most geographical indication agricultural products in various places have not achieved unified branding, unified packaging, unified standards, and unified management. Acting separately and operating in a scattered manner makes it difficult to form a joint force for promoting geographical indication products.

Li Shemin, director of the Regional Planning and Famous Excellent Products Center of the Yuncheng City Agricultural Committee, said: “Geographical indication products have a public nature. Within the same region, one enterprise may free-ride on another enterprise's publicity results. Some operators who have established a complete production and sales system and a good market reputation also worry that sharing a geographical indication will lead to a mix of good and bad. Therefore, enterprises are more willing to spend effort promoting their own brands.”

Huang Yunxia, a professor at Taiyuan University of Technology, believes that the main reason for the awkward situation in which “geographical indication” agricultural products are vigorously pursued when applying but disappear after application is that the government and enterprises do not attach enough importance to protection and development and do not invest enough. In addition, the social attention to geographical indication products is not high, consumers are relatively unfamiliar with them, and the enthusiasm for continuous investment is therefore affected.

Yang Shiping said that Shanxi's agricultural products and their processed products have their own outstanding characteristics, but geographical indication agricultural products have not formed a sound mechanism of standardized production, guaranteeing product quality with the label, and promoting sales with the brand. The path of industrialization development has been relatively difficult.

Joining forces from multiple parties to create a “golden signboard”

Industry experts believe that the geographical indication for agricultural products is a public resource, and the growth and expansion of related industries is a systematic project. This requires the government to formulate development plans, relevant functional departments to strengthen coordination, enterprises to actively participate, and continuous integration of policies, funds, and other resources to jointly cultivate geographical indication product brands.

“The realization of the value of geographical indications for agricultural products cannot be separated from the guidance of relevant government departments and the leadership of leading enterprises.” said Zhao Junchao, station chief of the Industry Station of the Shanxi Provincial Poverty Alleviation Office. He said that in addition to actively applying for geographical indications, government departments should also make more efforts in excavation, protection, and promotion. It is necessary to actively guide leading enterprises and cooperatives to organize scattered farmers and small enterprises, adopt standardized planting, maintain the regional characteristics and unique quality of products, ensure product quality from the source, and increase the market share of specialty agricultural products.

Li Shemin, Huang Yunxia, and others proposed that to make geographical indications play a practical role in “revitalizing agriculture and enriching farmers,” the notion that “good wine needs no bush” should be changed in a timely manner, and publicity and promotion of geographical indications should be done well to enhance brand influence. For consumers, geographical indication product exhibitions should be held regularly to increase consumers' attention to and recognition of geographical indication agricultural products; for growers, some popularization work should be done on the meaning of geographical indication agricultural products, so that farmers know how great the value of geographical indications is and understand the responsibilities and obligations that producers should bear.

Wang Wanbao and other grassroots people said that to make “geographical indication agricultural products” replace “local specialties,” it is necessary to strengthen supervision and protection of geographical indication agricultural products, improve production standards and institutional norms for geographical indication agricultural products as soon as possible, ensure quality improvement and product quality safety, and let consumers purchase geographical indication products that truly deserve the name.