{"id":5527,"date":"2022-09-12T08:33:47","date_gmt":"2022-09-11T20:33:47","guid":{"rendered":"https:\/\/www.jamesandwells.com\/?p=5527"},"modified":"2022-09-12T08:33:47","modified_gmt":"2022-09-11T20:33:47","slug":"its-made-in-new-zealand-but-is-it","status":"publish","type":"post","link":"https:\/\/www.jamesandwells.com\/nz\/its-made-in-new-zealand-but-is-it\/","title":{"rendered":"\u201cIt\u2019s made in New Zealand\u201d\u2026 but is it?"},"content":{"rendered":"

This article first appeared in the Bay of Plenty Business News September 2022 edition<\/strong><\/p>\n

Regular readers of this column may recall that in March this year I wrote an article entitled \u201cIt\u2019s coming home\u2026the return of NZ\u2019s IP\u201d.1<\/sup> The article was about how, due to issues of control, speed and cost, New Zealand businesses appear to be moving production of their goods back to New Zealand or just making their products here in the first place.<\/p>\n

If you\u2019re one of those businesses, you might want to consider using the label \u2018Made in New Zealand\u20192<\/sup> in connection with your products. If you do, then be careful how you proceed because while using \u2018Made in New Zealand\u2019 in relation to finished products which have been 100% grown\/extracted\/produced in New Zealand is straightforward, using the label in relation to finished products \u2018made\u2019 from a mix of imported and locally produced materials or components is more complicated.<\/p>\n

To determine if the \u2018Made in New Zealand\u2019 label is appropriate for a product \u2018made\u2019 from a mix of imported and locally produced materials, the New Zealand courts will examine whether on their way to becoming part of a finished product, the basic ingredients of that product have gone through a \u2018substantial transformation\u2019 in New Zealand, or whether a key step in producing a final product has been undertaken in New Zealand.3<\/sup><\/p>\n

The Buy New Zealand Made Campaign, which licenses use of a \u2018New Zealand Made\u2019 logo, interprets \u2018substantial transformation\u2019 and \u2018key step\u2019 as \u2018a significant manufacturing process\u2019. More fully, its \u2018Manufacturing Eligibility Guide\u2019 asks the question, \u201cHave the imported key materials\/components been through a significant manufacturing process in another country and [do they] form the essential character of your finished product?\u201d If the answer to that question is \u2018yes\u2019, then it is unlikely that the product will qualify as \u2018New Zealand Made\u2019.<\/p>\n

If the answer to that question is \u2018no\u2019, however, the Guide goes on to ask, \u201cDo the imported materials\/components go through [such] a significant manufacturing process in New Zealand that the form in which [they] are incorporated into the \ufb01nished product is distinctly di\ufb00erent from the original imported form?\u201d If the answer is \u2018yes\u2019, then the Guide advises that the product may be<\/em> eligible to use the above logo but there remains a risk of breaching the Fair Trading Act nonetheless; consequently, appropriate legal advice should be sought. As I noted earlier, the ability to use \u2018Made in New Zealand\u2019 in connection with products \u2018made\u2019 from a mixture of imported and locally produced ingredients is complicated.<\/p>\n

Using the \u2018Made in New Zealand\u2019 label2<\/sup> can be a significant source of competitive advantage and beneficially contribute to a business\u2019s reputation. As His Honour Judge DJ Sharp, in a 2019 District Court judgment3<\/sup> concerning the misleading application of \u2018New Zealand Made\u2019 to health supplement products, observed:<\/p>\n

[34] [\u2018New Zealand Made\u2019] representations are representations that may provide a sense of affinity to consumers. Consumers may see products as desirable as a result of being made in New Zealand. Consumers may also see beneficial aspects that they can attribute to the products such as products being provided from an environment in which there are standards and in which environmental concerns might be better met than some elsewhere.<\/em><\/div>\n
\n

In closing, if you\u2019re a business considering using \u2018Made in New Zealand\u2019 or \u2018New Zealand Made\u2019, don\u2019t be put off from doing so just because the answer as to whether you can or can\u2019t is not straightforward. Seek appropriate legal advice, as recommended by the Buy New Zealand Campaign. It may well be that your products can be labelled \u2018Made in New Zealand\u2019; but if they can\u2019t, you might still be able to use another classification like \u2018Built in New Zealand\u2019 or \u2018Assembled in New Zealand\u2019 which at least identify New Zealand as the country in which the final finished product was produced.<\/p>\n

 <\/p>\n

    \n
  1. If you haven\u2019t read it, fear not, you still can here: https:\/\/bopbusinessnews.co.nz\/intellectual-property-issues\/its-coming-home-the-return-of-nzs-ip\/<\/a>.<\/li>\n
  2. Or the associate labels \u2018New Zealand Made\u2019 and \u2018NZ Made\u2019<\/li>\n
  3. Refer: Commerce Commisson v Go Healthy New Zealand Limited<\/em> [2019] NZDC 25295.<\/li>\n<\/ol>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

    This article first appeared in the Bay of Plenty Business News September 2022 edition Regular readers of this column may recall that in March this year I wrote an article entitled \u201cIt\u2019s coming home\u2026the return of NZ\u2019s IP\u201d.1 The article was about how, due to issues of control, speed and cost, New Zealand businesses appear…<\/p>\n","protected":false},"author":8,"featured_media":5532,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"content-type":"","footnotes":""},"categories":[81],"class_list":["post-5527","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-ip-update","insight-resource-articles"],"acf":[],"yoast_head":"\n\u201cIt\u2019s made in New Zealand\u201d\u2026 but is it? - James & Wells<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.jamesandwells.com\/nz\/its-made-in-new-zealand-but-is-it\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"\u201cIt\u2019s made in New Zealand\u201d\u2026 but is it? 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