Australia, the EU and the US all claimed victory on Tuesday after the WTO ruled in a dispute over protection of regional European food brands such as Parma ham or Roquefort cheese.
Canberra and Washington had complained to the WTO about a 1992 EU rule that protected 700 so-called "geographical indications," claiming they discriminated against imported products.
Releasing their ruling on Tuesday, WTO arbitrators said the EU system was too complex. But while it kept the protection system in place, it extended the right to non-EU countries.
The US claimed that by imposing the geographical indication in addition to normal trademark rules, the EU bars American brands such as Florida oranges from enjoying the same level of protection as, say, Madeira wine.
The EU said the ruling by the WTO disputes settlement panel "upholds the integrity of the EU system and rejects the majority of the claims made by the United States and Australia."
The US meanwhile praised the WTO for its "crystal clear" finding that the EU's system for classifying its foods hampered the chances of non-EU firms.
"It's a clear win for American farmers and food processors. For years, Europe effectively had a `Do Not Apply' sign directed at foreign producers," acting Trade Representative Peter Allgeier said.
"We believed that, under WTO rules, US farmers, ranchers and other food producers should have the same access to protection for `geographical indications' as European food producers, and that the European system discriminated against us," he said in a statement.
Australia meanwhile claimed the ruling went against the EU for not providing the same protection it claimed for its own products.
"The EU wants all WTO members to provide EU-style protection for geographic indications but the panel has found that the EU does not protect geographic indications from other WTO members," a statement by the Australian mission said.
There are about 700 registered geographic indications, or GIs, in Europe -- not counting those for wine and spirits, which have a different system of protection -- but Washington says none are from a non-EU country.
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