U.S., Chile Strike Landmark Common Names Agreement
October 2, 2024
NMPF, in partnership with USDEC and the Consortium for Common Food Names, successfully secured an agreement approved by the Chilean government on Sept. 3 that safeguards U.S. cheese producers’ ability to use common food names such as “parmesan” Chilean market. The collaboration sets an important precedent that the U.S. has the resources and influence to counter the European Union’s aggressive, worldwide monopolization of common names.
NMPF’s engagement was initially prompted by the December 2023 signing of the EU-Chile trade agreement, which contained provisions that threatened U.S. cheese exports under the guise of protecting European geographical indications. NMPF, USDEC and CCFN worked closely with U.S. and Chilean government officials to find a workable solution that would protect U.S. cheese products, specifically parmesan. The organizations closely tracked the grandfathering process and supported members’ in submitting successful applications to establish prior user rights under that process; that later proved pivotal not only to securing firm commitments on access for those firms but also maintaining access for the wider set of U.S. cheese manufacturers. The organizations also met repeatedly with the U.S. government to evaluate specific workable approaches to preserving access for U.S. exporters and coordinated with industry counterparts in Chile.
These efforts helped lead to an exchange of letters between U.S. Trade Representative Katherine Tai and Chile’s Undersecretary of International Economic Relations Claudia Sanhueza on June 21 that confirmed that U.S. exporters would not face future restrictions around the use of 29 cheese and meat terms. Officials also agreed to an expanded interpretation of grandfathering provisions in the EU-Chile FTA that permits the continued use of parmesan by all U.S. exporters due to prior use of the term in Chile by at least one U.S. firm.
The agreement will take effect Jan. 15.
“This agreement is a milestone for U.S. dairy producers. It ensures that many of our products will maintain fair access to the Chilean market, supporting the growth and success of American dairy farmers on a global scale. Now, we need to build on that momentum by securing agreements with other trading partners to protect export opportunities for even more U.S. cheeses,” said Gregg Doud, NMPF President and CEO, in a statement after the agreement, calling on the U.S. government to build on the momentum and secure additional agreements with trading partners around the world.