Indecopi allows Gloria to use "BIO" in non-organic products

In a ruling that could redefine the commercial use of terms associated with organic products in the Peruvian market, Indecopi ruled that the prohibition on using the word "BIO" for non-organic certified products constitutes an unlawful bureaucratic barrier. This decision stemmed from a complaint by Leche Gloria S.A., which challenged the restrictions imposed by the Ministry of Agrarian Development and Irrigation (Midagri) and the National Agrarian Health Service (Senasa) on its product ‘ActiBio’. According to the resolution, these limitations lack legal backing and violate the principle of legality as outlined in Peruvian law.
Senasa initially notified Leche Gloria that using the term "BIO" for its product ‘ActiBio’ was not allowed, arguing the designation was reserved solely for organically certified products. However, the company argued that "BIO" is widely used in the market to denote products with probiotics, not implying organic certification. The resolution by Indecopi nullified the application of this regulation in favor of Leche Gloria S.A., mandating the payment of legal costs by the accused entities.
While the resolution benefits Leche Gloria S.A., Indecopi emphasized the importance of promoting authentic organic products, provided they comply with legal and sustainable parameters. The ruling allows non-organic certified products to use the term "BIO" in their naming as long as other legal provisions are not breached. This decision could potentially lead to a broader discussion regarding consumer perceptions of such labels and the balance between organic product promotion and commercial freedom.