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European Commissioner for Internal Market and Services
Affordable trade mark protection for Europe
PRESS CONFERENCE ON REDUCTION OF OHIM (OFFICE FOR THE HARMONIZATION IN THE INTERNAL MARKET) FEES
Brussels, 31 March 2009
Ladies and Gentlemen,
The Office for Harmonization in the Internal Market, or the OHIM as we have come to know it, is one of the truly great success stories of the European Union and one of the stars of the Internal Market portfolio. The OHIM has been processing trade mark applications since 1996 offering businesses effective and efficient trade mark protection throughout the entire European Union. More than 500,000 trade marks have been registered by hundreds of thousands of companies from all over the world, who have turned to the OHIM to obtain EU-wide protection for their trade marks. These figures exceed even the most optimistic predictions made at the time of the adoption of the relevant regulations. They clearly demonstrate the value to business of intellectual property rights offering protection across the entire territory of the EU as well as reflecting the success with which the OHIM has very efficiently administered the system.
Today, it gives me great pleasure to announce yet another success for the OHIM - the substantial reduction of fees, the reduction of administrative burdens by setting the registration fee at zero and as a result, the shortening of the processing time.
The measure, which follows an initial reduction four years ago in 2005, will make trade mark protection a lot cheaper and a lot easier to obtain for businesses operating in the EU single market. It is estimated that it will save businesses in the region of €60 million a year. And it will come into force on May 1st next.
In practice, this means that those file their applications via the Internet will pay just €900 compared to €1,600 which is paid at present. Those who don't use the internet will pay a little more. So in future businesses will be paying at least 40% less for obtaining a Community trade mark – and as much as 44% less when using the Internet.
Serving as they do to distinguish the goods and services of undertakings, trade marks are essential for a system of undistorted competition. They identify the commercial origin of products and guarantee their consistent quality. As a prime advertising tool, they are of paramount importance in the marketing and commercialisation of goods and services. Affordable and easy access to trade mark protection is therefore vital for fostering innovation and competitiveness by encouraging the production and distribution of quality products.
The fee reduction compliments the general policy objectives set by the Commission, especially in the Small Business Act for Europe (COM(2008) 394) and the European Economic Recovery Plan (COM(2008) 800), which require the reduction of administrative burdens and the promotion of entrepreneurship by lowering significantly the costs related to Community trade marks.
This is good news for businesses in Europe. The substantial reduction in fees and the simplification of procedure means will promote entrepreneurship and stimulate economic activity, which is essential in times of economic crisis. In particular, small and medium-sized enterprises, for which the costs and procedure of obtaining this protection are often a heavy burden, will profit from these improvements.
Thank you very much.