The European Union is understood to have withdrawn plans to introduce a mandatory “Made in EU” label for goods produced in the EU.
The plans, initially floated by EU trade commissioner Pascal Lamy earlier this year, caused a storm of protects across Europe from companies keen to retain their country of origin as a marketing tool.
The European Commission launched a consultation on the issue in February, which is due to report shortly.
But a senior EU source says the idea has been abandoned, adding: “It’s a stupid idea that will not be followed up. It’s completely pointless.”
In the UK, a range of bodies, including the CBI, TUC and Consumers’ Association, had lined up to express their opposition to the introduction of the “Made in EU” tag. Trade and investment minister Mike O’Brien had made it clear that the UK government would resist its introduction.
It is also believed that the “Made in EU” tag has not gone down well with other EU commissioners. The proposals have not yet reached the stage where they would require approval from member countries’ heads of state.
It is understood that “Made in EU” had some support from Italy, France and the textile industry. However, companies will be able to use the “Made in EU” tag if they so wish.