A Possible Exit Strategy from the ‘Halloumi Affair’: How to Solve Problems with CETA Ratification

Abstract

This article explores the importance of geographical indications within the new trade policy of the European Union, using the example of the CETA and the dispute over Cypriot halloumi cheese. The authors point out that geographical indications occupy an important place within the European Commission’s negotiating strategy primarily because of their significance for the EU economy. In negotiations with third countries, such as Canada, a crucial problem is the different approaches to the protection of typical regional products. Therefore, the Union is trying to transfer its internal solutions to the international level. The detail of regulations, combined with the mixed nature of new trade agreements, makes trade policy vulnerable to blackmail by individual EU Member States. According to the authors, a reasonable solution to this problem – which was highlighted by Cyprus’s veto of the CETA – is to rely on the treaty provisions and the judgements of the Court of Justice of the EU. These indicate the exclusive competence of the EU in this area and impose an obligation on EU Member States to cooperate sincerely.