These identify goods as originating in the territory or a region or a locality in that territory, where a given quality, reputation or other characteristic of the goods is essentially attributable to that particular geographic location. Kanjeevaram silk sarees, Basmati rice, Darjeeling tea, Kashmir carpets, Sivakasi crackers, Scotch whisky, etc., are some examples. Law relating to GI intends to protect the interest of producers or manufacturers of such goods, also preventing consumers from being deceived by the falsity of geographic origin. It is a form of IP whose protection helps in the economic prosperity of such goods and ultimately promotes goods bearing such GI in the export market. Right conferred on GI prevents competitors from commercially exploiting the respective rights to the detriment of the owner of that property.

In India, the GI Act was found necessary to protect Indian GIs from being misused in other countries. To seek redressal as in the case of basmati rice and Darjeeling tea [India had to fight infringement cases against these Indian GIs (see Box items 1–3)], these GIs had to be protected in India first. Hence, in December 1999, the Indian Parliament passed the Geographical Indications of Goods (Registration and Protection) Act, 1999, as this was a pre-requirement without which there would be no obligation under the WTO for other countries to extend reciprocal protection. This Act seeks to provide for the registration and better protection of the GIs relating to goods in India.