UNCTAD
CHECKLIST OF ISSUES FOR
THE NEGOTIATIONS ON
TRADE IN SERVICES
UNCTAD,
Commercial Diplomacy Programme
1
UNCTAD
THE BUILT-IN AGENDA ON
SERVICES
• The mandate of article XIX of the GATS:
« Members shall enter into successive
rounds of negotiations… with a view to
achieving a progressively higher level of
liberalization. Such negotiations shall be
directed to the reduction or elimination of
the adverse effects on trade in services of
measures as a means of providing
effective market access… »
2
UNCTAD
THE NEGOTIATIONS
STARTED IN FEBRUARY 2000
• The first stage (Feb. 2000-March 2001): the results of the
« stocktaking »: liberalization of services must be
progressive, recognition of the special attention given to
LDCs and to the participation of the developing countries,
negotiations under Article XIX and review of the work done
within the Councils and Working Parties on GATS rules,
domestic
regulations,
safeguards,
subsidies
and
government procurement.
• The second stage (April 2001-March 2002): the main
objectives given by “Guidelines and Procedures for the
Negotiations on trade in Services”, SL93, 29 March 2001.
The main objective is a progressive liberalization of the
services sector. The “Guidelines” recognize the right of
members to regulate and to introduce new regulation3 in
this sector.
UNCTAD
THE GUIDELINES AND
PROCEDURES FOR THE
NEGOTIATIONS ON TRADE
IN SERVICES (S/L/93)
• The negotiations must be integrated into the
framework of Art. IV of the GATS and shall aim
to increase the participation of developing
countries. Flexibility and special attention
LDCs shall be granted
• All sectors of services are included (no
exemptions a priori)
• Requests and offers approach as the main
method
of
negotiations
(exchange
of
concessions)
4
UNCTAD
THE GUIDELINES AND
PROCEDURES FOR THE
NEGOTIATIONS ON TRADE
IN SERVICES (S/L/93)
Other methods possible:
• Sectoral liberalization: (eg. Maritime transport
services. Proposal by Hong Kong, China, Japan,
Korea, Norway adn Singapore)
• « Cluster » approach: (EU and Australian proposals
for e-commerce and other sectors) Cluster as a
group of sector or sub-sectors for which negotiators
would seek for an harmonized set of commitments
- Consideration
for
autonomous
liberalization
undertaken independently by Members since
5
previous negotiations
UNCTAD
THE RESULTS OF THE FIRST
STAGE OF THE
NEGOTIATIONS: MORE
THAN 80 PROPOSALS
• From developing countries or jointly with
developed countries
• On all sectors of services (except health)
• On all modes including mode 4 (mvt. of
persons)
• On regulatory frameworks, transparency and
predictability
• On small and medium enterprises
• On the definition of criteria for the6
classification of services
UNCTAD
THE MAIN CHALLENGES
FOR THE DEVELOPING
COUNTRIES
• Identify their interests and objectives in
the negotiations
• Formulate their own proposals, or joint
other countries’proposals
• Preserve the « positive list » approach
of the GATS which enables to select the
sectors and the modes of supply to be
included
in
the
schedules
of
commitments.
7
UNCTAD
ANOTHER CHALLENGE: THE
FORMULATION AND THE
IMPLEMENTATION OF THE SDT
• Participation of developing countries shall be facilitated:
-
-
Strengthening of their domestic services capacity (art. IV. 1a)
Improvement of their access to distribution channels and information
networks (art. IV. 1b)
Liberalization of market access in sectors and mode of supply of
export interest to them (art. IV. 1c)
• Developed country member shall establish contact points to
facilitate the access of developing countries Members’ services
suppliers to information concerning:
-
Commercial and technical aspects of supply of services (IV.2a)
Registration, recognition and obtaining of professional qualifications
(IV. 2b)
Availability of services technology (IV.2c)
• Particular attention to LDCs (art. IV.3)
8
UNCTAD
THE MAIN PROBLEMS
FACED BY THE
DEVELOPING COUNTRIES
IN SERVICES ARE:
• To make effective the « best endeavour
clause » contained in art. IV
• To ensure market access for their
exports of services: need to identify the
barriers
• To identify supply constraints: lack of
technology, weak insfrastructure, need
for investment, etc., and formulate
adequate policies
9
UNCTAD
SUGGESTIONS FOR THE
IMPLEMENTATION OF SDT
• Identify sector-specific development
needs rather than generic « best
endeavour clauses »
• Grant periods of transition in the
fulfillment of certain commitments
• Link the market access commitments to
capacity building programmes (joint
ventures, foreign investments)
10
UNCTAD
PARALLEL NEGOTIATIONS TO
BE TAKEN INTO ACCOUNT
WHEN PREPARING A
NATIONAL POSITION FOR THE
NEGOTIATIONS ON SERVICES:
• The
negotiations
on
GATS
rules
(see
UNCTAD/DITC/TNCD/6 and UNCTAD/DITC ppt
presentation)
• Possible subregional commitments or preferences
on trade in services
• Possible inclusion of services in the post-Cotonou
agreements
• Existing or future agreements on investments
• Ongoing negotiations on the implementation of 11the
existing WTO agreements