Geographic Indications and International Trade (GIANT)

Copyright © 1997 Purdue University Agronomy Extension

I. Identification

1. The Issue

Copyright © 1997 Purdue University Agronomy Extension

2. Description

Kentucky bluegrass is native to practically all of Europe, northern Asia and the mountains of Algeria and Morocco. The species is spread over all of the cool, humid parts of the U.S.

copyright © Richard Duble

In the southern U.S., Kentucky bluegrass is limited to the transition zone from North Carolina, through much of Tennessee, northern Arkansas to the panhandle of Texas and Oklahoma. In the western states, Kentucky bluegrass is grown with irrigation.

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Kentucky bluegrass is actually an Old World grass, Poa pratensis, that possibly arrived in this country as hayloft sweepings saved for planting pasture (Field Crops by Howard C. Rather (New York: McGraw-Hill, 1942), pages 4 and 124. Compared to the warm season grasses, Kentucky bluegrass has a high water requirement. As much as 2 inches of water per week are needed to keep bluegrass green and growing during summer months in the transition zone.

Over 100 varieties of Kentucky bluegrass have been developed during the past 25 years. Some varieties tolerate southern climates better than others (Adelphi, Baron, Fylking, Glade, Midnight, Ram I, Vantage, Victa and Warrens A-34), some have moderate shade tolerance (Bristol, Glade, Nugget and Touchdown), and some tolerate closer mowing (Adelphi, Bristol, Ram I and Touchdown).

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Kentucky bluegrass helps prevent erosion control on uplands with its dense vigorous root system and the sod that it forms. Bluegrass is an important pasture plant. Bluegrass is also rotated with tobacco to help the soil recover.

http://extension.usu.edu/rangeplants/Grasses/kentuckybluegrass.htm

3. Related Cases: Here are some related cases to the Kentucky Bluegrass issue...

Havens : Bruce Sterling is popularly credited with coining the term "Data Haven", for concentrations of illicit data in computer servers that reside beyond copyright protection law. This case study will examine, by looking at a specific Data Haven and the larger issues that surround Data Havens, whether Data Havens are a potential threat to the global intellectual property regime and whether or not Data Havens, as they currently exist pose an actual threat to said regime.

Slave: No issue has been more controversial and divisive in the first 100 years of the American republic than that of slavery. While slavery was not officially abolished until the ratification of the 13th, 14th and 15th Amendments to The Bill of Rights in 1865, our national leaders had fought over various aspects of slavery since the Constitutional Convention.

Cybersit: The recent publicity regarding the 'illegal' registration of Internet domain names or 'cybersquatting' has given rise to many high profile legal battles. Companies such as E-toys, and TNN (owned by CBS), Governments, companies and even the NFL have all been involved in domain name cases. However, a bulk of thse cases have taken place in the United States, where legal frameworks, even though still somewhat embryonic in this area, generally tend to be more coherent than in many other countries. The issue of domain name registration gives rise to many other issues.

Budweis: This issue involves the United States and the Czech Republic. For the past hundred years, an international legal dispute has persisted between the American brewer Anheuser-Busch and the Czech beer producer Budejovicky Budvar over the right to use the trademark name Budweiser on their products. Currently, both of the brewers produce beer labeled Budweiser, and continue to battle over who owns the legal right to the commercial use of this name.

Irishmusic: On the 26th of January 1999, The European Communities (EC) and their Member States (MS) have requested the opening of a formal dispute settelment in the World Trade Organization (WTO) relating to the American Copyright System. The EC is disputing section 110 (5) of the 1976 US Copyright Act that exempts resturants, bars, or other places that play music for the public from payment of royalty fees to the original artists for the music played.

Grappa: That tradition matters in the global age has become obvious in the case of grappa, an alcoholic drink that has not only become popular lately, but that has also become the bone of contention between the European Union and South Africa.

Scotch: The underlying issue in this case study concerns the labelling processes for internationally marketed products named for the region, area, or nation where they are produced. Naming a specific commodity for the culture, region, or area from which the item was produced has created some controversy in recent years. In this respect, Scotland has successfully been able to obtain sole ownership of the label "Scotch" for its most famous export, Scotch Whisky.

Basmati: In late 1997, an American company RiceTec Inc, was granted a patent by the US patent office to call the aromatic rice grown outside India 'Basmati'. RiceTec Inc, had been trying to enter the international Basmati market with brands like 'Kasmati' and 'Texmati' described as Basmati-type rice with minimal success. However, with the Basmati patent rights, RiceTec will now be able to not only call its aromatic rice Basmati within the US, but also label it Basmati for its exports.

Feta2: In a recent European ruling, feta cheese was recognized by the European Community as a Greek branded product under the Protected Designation of Origin (PDO) status. The battle for feta has gone on for thirteen years because of challenges with other European Union nations. Denmark, France, and Germany also produce cheese under the name of feta. The new PDO ruling will benefit Greek farmers who had previously faced market competition from these other nations.

Banana2: The United States and the European Union are involved in a trade dispute settlement through the World Trade Organization regarding the sale of bananas by American companies to member states in the EU. The European Union has been called on by the WTO to reform their practices of agriculture to comply with international trade law.

4. Author and Date: Sherry Holbus July 2004

II. Legal Clusters

5. Discourse and Status:

Trading Kentucky Bluegrass seed is much like trading software, there are owner copyright laws and intellectual property rights that dictate who is allowed to sell and name the product. Under the oversight of the World Trade Organization, Canada has a main dedicated intellectual property laws and regulations agreement. This international trade measure reproduces the Plants Breeders Rights regulations for Canada. This measure gives Canada the authority to issue licenses for different varieties of Kentucky Bluegrass within their territory.

However, within the United States, the Department of Agriculture has the power to issue certificates of protection to developers of new varieties of Kentucky Bluegrass seed (as in above). Currently to date, the state of Kentucky has not brought up the case for claiming intellectual property rights to the use of its name in the sale of the differing varieties of the agricultural product.

15. Trade Product Identification: "Kentucky Bluegrass" Poa pratensis seed for sowing

16. Economic Data

Under normal trade relations, the tariff is 1.2 cents/kg,and duty rate tariff is 11 cents/kg.

Canada $7,294,214
Germany $801,000
Sweden $360,834
Italy $297,737
France $279,258
Other reporters $697,606

Total Import: $9,730,649

Top Exporters of Kentucky Bluegrass to USA 2003
Reporter Title Trade Value

Canada $395,514
Australia $3,465
Other reporters $0
Total Export $398,979

Canadian importation of the seed dominates the world trade of the product. It is interesting to note that all the countries importing the product are post-industrial countries. As you can see, the United States also imports Kentucky Bluegrass seed from other countries, namely two, Canada and Australia.

V. Environment Clusters