Air New Zealand says it won't "actively pursue" its trademark application for the Kia Ora magazine logo after consultation with Māori leaders.
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The airline company had applied to the Intellectual Property Office for the trademark but said the move was only to protect the logo of its inflight magazine, Kia Ora.
The move had incensed the Māori Council so much, they called for a boycott of the airline.
In a statement on Wednesday, Air NZ chief executive Christopher Luxon said a review of Māori language trademark policy was needed.
"While Air New Zealand had set out to trademark just the Kia Ora magazine logo rather than the words themselves, we have inadvertently sparked a much-needed discussion between Māori, intellectual property law experts and Government.
"The current trademark situation does not reflect the sometimes differing and legitimate view of both the Māori and legal communities."
Economic Development Minister Shane Jones was approached for comment.