Wiktionary mentions "Predominantly in areas of the former British Occupation Zone", that might make a difference. Overall, definitely not a particularly obscure term though.
Wiktionary
I know, that's where I got the info from.
Anyway, it's rubbish as an insult in any case, more of a case of 'we need some kind of insult, but we can't think of a good one'.
@Oliver Schick started
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Wiktionary mentions "Predominantly in areas of the former British Occupation Zone", that might make a difference. Overall, definitely not a particularly obscure term though.