Initially, the products with uniqueness and originating from a place in India are protected through some existing laws (i) under consumer protection Act, (ii) through passing off actions in courts, and, (iii) through certification marks. Such legal provisions are not sufficient to protect the geographical indications of India in the changing world scenario as innumerable foreign companies and traders are free ridings on the goodwill and reputation associated with such renowned geographical names of Indian product for years. India being a signatory of WTO and TRIPS requires protection of its different products originated in India with specific quality and geographical origin so that other countries cannot replicate the products for their own advantage. If not protected in time, the producer of other countries can use these quality and uniqueness for exploiting the market for their own advantage. For example, the tea producers of Kenya can use the world famous appellation of " Darjeeling " on the package of their tea with the aim of free riding on the renown associated with it, and encroach upon the existing market of Darjeeling tea. Ultimately, the producer of the Darjeeling tea will be the looser. India could not prevent a Texas based company from selling rice produced in America as traditional Basmati type or American Basmati. It is because the Basmati rice was not protected under geographical Indications. These products if allowed to produce by other countries will become generic name over time and loose its geographical identity.            

The Indian parliament passed the Geographical Indications Act (Registration and Protection) Act 1999 in December 1999. The Geographical Indications (Registrations & Protections) rules were also come into being in the year 2002. The act has come into force with effect from 15th September 2003. Under this act, the Central Government has established a "Geographical Indications Registry" with all India jurisdictions at Chennai, where the right-holders can register their respective GIs. The GI Act is to be administered by the Controller General of Patents, Designs and Trade Marks, who is the Registrar of Geographical Indications. It is interesting to note that though Article 23 of TRIPS provides a higher level of protection to GIs relating to wines and spirits only, the corresponding provisions in the Indian Act does not restrict themselves to wines and spirits alone. Rather it has been left in the discretion of the central government to decide which goods or classes of goods should be granted such a higher level of protection. This discretion has deliberately been maintained by Indian Lawmakers with the aim of ensuring the 'absolute' protection of Article 23 for the GIs associated with products of India 's export interest. Once a product registered under GI Act, the applicant or a group of applicants can be registered proprietor of that product. In order to identify the goods, which can be registered under GI, the act stipulates that the persons dealing with three categories of goods are covered as producer for GI registration i.e. (i) agricultural goods including production, processing, trading or dealing of such goods (ii) natural goods including exploiting, trading or dealing of such goods, (iii) handicrafts or industrial goods including making, manufacturing, trading or dealing of such goods.