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21 – 22 February 2013 Kinshasa, Democratic Republic of Congo Fernando dos Santos Director General - ARIPO 1 Building a Strong Foundation for the Growth of Customized African Products and Services – Perspectives from ARIPO

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Page 1: 21 – 22 February 2013 Kinshasa, Democratic Republic of Congo Fernando dos Santos Director General - ARIPO 1 Building a Strong Foundation for the Growth

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21 – 22 February 2013

Kinshasa, Democratic Republic of Congo

Fernando dos SantosDirector General - ARIPO

Building a Strong Foundation for the Growth of Customized African Products and Services

– Perspectives from ARIPO

Page 2: 21 – 22 February 2013 Kinshasa, Democratic Republic of Congo Fernando dos Santos Director General - ARIPO 1 Building a Strong Foundation for the Growth

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Outline• African Products and Services• Strategies to exploit African resources• Role of IP in adding value to African Products• Nr. 1: Branding - Trademarks• Nr. 2: Branding - Geographical Indications• Nr. 3: Copyright• Nr. 4: Designs• ARIPO Objectives/Mandate• About ARIPO • Membership• Purpose and Objectives• ARIPO Mandate• Some IP Related Tips to Add Value to African Products

Page 3: 21 – 22 February 2013 Kinshasa, Democratic Republic of Congo Fernando dos Santos Director General - ARIPO 1 Building a Strong Foundation for the Growth

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African Products and Services

Africa:• Availability of arable and fertile land • Very rich in traditional and cultural heritage• Abundant biodiversity and genetic resources• These provide the continent with unique

products which can be customized using intellectual property as a tool to benefit its own people.

Page 4: 21 – 22 February 2013 Kinshasa, Democratic Republic of Congo Fernando dos Santos Director General - ARIPO 1 Building a Strong Foundation for the Growth

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Strategies to exploit African Resources

• Strategy 1: Increase production and export commodities

Result: oversupply and reduction of prices of commodities

• Strategy 2: Establishing new processing and manufacturing plants to add value to African products through processing

Result: Africa industrialization was not achievedAfrican processed products are not

competitive

Page 5: 21 – 22 February 2013 Kinshasa, Democratic Republic of Congo Fernando dos Santos Director General - ARIPO 1 Building a Strong Foundation for the Growth

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Strategies to exploit African Products (2)

Africa industrialization

Value addition trough processing

….Not yet sufficient to add value to African

products!

Page 7: 21 – 22 February 2013 Kinshasa, Democratic Republic of Congo Fernando dos Santos Director General - ARIPO 1 Building a Strong Foundation for the Growth

Capital

Labour

Knowledge

Capital

Labour

Knowledge

Capital

LabourKnowledge

Pre -industrial era Industrial era

The « knowledge economy »

Page 8: 21 – 22 February 2013 Kinshasa, Democratic Republic of Congo Fernando dos Santos Director General - ARIPO 1 Building a Strong Foundation for the Growth

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Role of IP in adding value

• Intangible assets are becoming more important• IP management moves to the center of the

management strategies• Focusing on the intangible value of the African

products seems to be the solution to add value to those products

• Leveraging on the image, name, reputation or unique quality of the African products means capitalising the intangible value of the African products

Page 9: 21 – 22 February 2013 Kinshasa, Democratic Republic of Congo Fernando dos Santos Director General - ARIPO 1 Building a Strong Foundation for the Growth

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Nr. 1: BRANDING!• Don’t sell cocoa…sell branded chocolates!

• Branded vanilla Branded Coffee Branded honey

Page 10: 21 – 22 February 2013 Kinshasa, Democratic Republic of Congo Fernando dos Santos Director General - ARIPO 1 Building a Strong Foundation for the Growth

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Central role of brands in business strategies

,, February 20, 2014• BIDCO company – Kenya• Controls 61% cooking fat and 54% cooking oil

market in Kenya• Presence in 16 countries in Africa• CEO, Mr. Vimal Shah, richest man in Kenya• BIDCO brand was established in 1970 • The Firm has acquired various brands that have

given competitive edge locally: over 30 brands• BIDCO bought KIMBO (Unilever) and ELIANTO

(Unga, Ltd)

Page 11: 21 – 22 February 2013 Kinshasa, Democratic Republic of Congo Fernando dos Santos Director General - ARIPO 1 Building a Strong Foundation for the Growth

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Nr. 2: Geographical Indications• Designation used on goods that have a

specific geographical origin and possess qualities or a reputation that are due to that location.

• GIs consists of the name of the place of origin of the goods.

• Agricultural products have qualities that derive from their place of production and are influenced by specific local factors, such as climate/soil.

• Examples:

Page 12: 21 – 22 February 2013 Kinshasa, Democratic Republic of Congo Fernando dos Santos Director General - ARIPO 1 Building a Strong Foundation for the Growth

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Potential GIs in Africa• Kenya: Black Tea, Arabic Coffee, Cut flowers, Kiisi

soap, Stones, Ornaments, Wamuny Handcrafts, Fermented Liquors and Wild Silk• Mauritius: Damerara Sugar, Baie Topaz, Red

beans, Piment Rodrigues, Bois Cherie tea, Tai SO litchi, Cut Flowers Roddrigues Honey, Rhum st Aubin, Café de Charmarel• Rwanda: Coffee• Uganda: Vanilla• Zambia: Honey• Zimbabwe: Tea, Fruits

Source: M. Blackeney, Study on potential GI goods in some African countries, 2011

Page 13: 21 – 22 February 2013 Kinshasa, Democratic Republic of Congo Fernando dos Santos Director General - ARIPO 1 Building a Strong Foundation for the Growth

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Creative/Cultural Industries• Industries that combine the creation, production and

commercialization of contents which are intangible and cultural in nature (UNESCO)

UNCTAD CLASSIFICATION:• Traditional cultural expressions: arts/crafts, festivals,

celebrations• Cultural Sites: archaeological sites, museums, libraries,

exhibitions• Visual arts: paintings, sculptures, photography, antiques• Publishing and print media: books, press, other publications• Design: Interior, graphic, fashion, jewellery, toys• Performing arts: live music, theatre, dance• Audiovisual: film, TV, radio• New media: Software, video games, digitalised creative content• Creative services: architectural, advertising, cultural, recreational

Page 14: 21 – 22 February 2013 Kinshasa, Democratic Republic of Congo Fernando dos Santos Director General - ARIPO 1 Building a Strong Foundation for the Growth

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Potential of Creative Industries• Market size Worldwide: 2.2 Trillion Dollars/year• Accounts for 7% World’s GDP• Africa has a comparative advantage in creative

industries• Africa share in creative economy: less than 1%!

(North African countries and South African reaping more)

• Nollywood (Nigeria) : $500m revenue/year (5% GDP) ; 1 million jobs

• African entrepreneurs must embrace African creators to harness from their creativity and generate wealth in the continent

Page 15: 21 – 22 February 2013 Kinshasa, Democratic Republic of Congo Fernando dos Santos Director General - ARIPO 1 Building a Strong Foundation for the Growth

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Designs• Designs are what makes a product attractive and

appealing; hence, they add to the commercial value of a product and increase its marketability.

• 2014: Cape Town designated “World Design Capital”

• Recognition to cities that have effectively employed design as mechanism through which to improve social, cultural and economic life.

• This suggests that Africa should use the cultural element of design as a tool for progress

Page 16: 21 – 22 February 2013 Kinshasa, Democratic Republic of Congo Fernando dos Santos Director General - ARIPO 1 Building a Strong Foundation for the Growth

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ARIPO Objective/Mandate

Patents and Utility Models Industrial Designs Trademarks

CopyrightAccess and Benefit

SharingGeographical

Indications

TK and folklore

Plant Variety Protection

Harare Protocol (1982) Harare Protocol (1982) Banjul Protocol (1993) Swakopmund Protocol (2010)

Council Min (2002)

Draft Regional Framework Draft Regional FrameworkNational Frameworks Regional Framework

(2014?)

Objective: Harness and pool resources together on intellectual property related matters Africa.

Page 17: 21 – 22 February 2013 Kinshasa, Democratic Republic of Congo Fernando dos Santos Director General - ARIPO 1 Building a Strong Foundation for the Growth

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About ARIPO• ARIPO: African Regional Intellectual Property

Organization• Established: December 9, 1976 (as ESARIPO)• Instrument of creation: Lusaka Agreement (in

Zambia)• Headquarters: Harare, Zimbabwe

• Member States (18): Botswana, Ghana, Kenya, Lesotho, Liberia, Malawi, Mozambique, Namibia, Rwanda, Sierra Leone, Somalia, Sudan, Swaziland, The Gambia, Uganda, United Republic of Tanzania, Zambia and Zimbabwe

• COMESA Member States at ARIPO: 8

Page 18: 21 – 22 February 2013 Kinshasa, Democratic Republic of Congo Fernando dos Santos Director General - ARIPO 1 Building a Strong Foundation for the Growth

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Membership• Botswana• Gambia• Ghana• Kenya• Liberia• Lesotho• Malawi• Mozambique• Namibia• Rwanda• Sierra Leone• Somalia• Sudan• Swaziland• Tanzania• Uganda• Zambia• Zimbabwe

= 18Note: Membership open to UNECA and AU Members

Page 19: 21 – 22 February 2013 Kinshasa, Democratic Republic of Congo Fernando dos Santos Director General - ARIPO 1 Building a Strong Foundation for the Growth

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Some IP Related Tips to Add Value to African Products

Policy level: • National/Regional development and

innovation/industrial policies must prioritise IP• Development branding strategies at the

Regional/National LevelCompany Level:• Incorporate IP approach into the business strategies• Use IP tools: brands, GIs , Industrial Designs, Copyright

to add value to the commodities producedEntrepreneurs Associations/Chambers of Commerce• Promote awareness• Promote use of IP by entrepreneurs

Page 20: 21 – 22 February 2013 Kinshasa, Democratic Republic of Congo Fernando dos Santos Director General - ARIPO 1 Building a Strong Foundation for the Growth

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Need to embrace Intellectual Property Rights as tools to add value and brand products and services for far better rewards and results for Africa overall economic development

Page 21: 21 – 22 February 2013 Kinshasa, Democratic Republic of Congo Fernando dos Santos Director General - ARIPO 1 Building a Strong Foundation for the Growth

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ARIPO Address: 11 Natal Road, Belgravia, Harare, Zimbabwe

Tel: +263 4 794 065 /6/8/54/74

Fax: +263 4 794 072 Email: [email protected]

[email protected]

Website: www.aripo.org

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