Intellectual Property Law

Champagne Region Expands in Order to Expand Vintners' Profits

By Michael Atkins

Champagne sparkling wine only comes from the Champagne region of France, right? Until the Champagne region of France moves, that is. The Institut national de l’origine et de la qualite, which governs the Appellation d’Origine Controlee designation for Champagne, is set to expand the appellation’s boundaries, which currently spans 319 villages in north-eastern France. What wasn’t “true” Champagne will soon be the real McCoy.

In other words, vineyards that arbitrarily got the stamp of approval soon will be joined by new vineyards that also arbitrarily get the stamp of approval.

The reason behind the move? Increased demand for Champagne in Russia and China.

Of course, this is great news for neighboring viticulturalists. A French official was quoted as saying: “If your vines fall on the wrong side of the divide, they will be worth 5,000 euros a hectare. On the other side they will be worth one million euros.”

I’m not saying that any vintner should be able to call its sparkling white wine “Champagne.” But this move emphasizes that economics, not distinctiveness, influences (or even drives) what’s approved and what’s not. That would seem to undermine why geographic indications exist in the first place.

Full post as published by Seattle Trademark Lawyer on March 18, 2008 (boomark / email).