The document summarizes the key aspects of negotiations on trade in services at the World Trade Organization (WTO). There are four major areas of negotiation: market access, domestic regulation, rules on emergency safeguards, government procurement and subsidies. Negotiations on market access follow a request-offer process where members request liberalization from others and make initial offers. Negotiations also aim to develop disciplines on domestic regulation and rules in the three areas where agreements were not reached in the Uruguay Round. The process involves both bilateral and multilateral negotiations to improve market access commitments and establish common rules.

1. Service Negotiations
By:
Manas Pandey
MBA(IB)
#51

2. Introduction
• The General Agreement on Trade in Services (GATS) mandates WTO
member governments to progressively liberalize trade in services
through successive rounds of negotiations.
• In March 2001 the Guidelines and Procedures for the Negotiations on
Trade in Services were adopted by the Council for Trade in Services.
• At the Doha Ministerial Conference in November 2001 the services
negotiations became part of the “single undertaking” under the Doha
Development Agenda, whereby all subjects under the negotiations are to
be concluded at the same time.

3. Major areas of services negotiations
There are four major areas of services negotiations:
Market access
Domestic regulation
GATS rules on emergency safeguard measures, government
procurement and subsidies
Implementation of LDC modalities

4. WTO negotiations on market access
• Negotiations to liberalize market conditions for trade in services
are conducted mainly through a “request-offer” procedure.
• Members send requests directly to each other indicating what
improvements they are seeking for their services and service
suppliers.
• Members specify in their initial offers how and to what extent
they are willing to take binding commitments in response to these
requests.

5. WTO negotiations on domestic regulation
disciplines
• Article VI.4 of the General Agreement on Trade in Services (GATS)
and the Decision on Domestic Regulation (S/L/70) call upon WTO
members to develop any necessary disciplines.
• It was to ensure that measures relating to qualification
requirements and procedures, technical standards and licensing
requirements and procedures do not constitute unnecessary
barriers to trade in services.

6. WTO negotiations on GATS rules
• The negotiations on GATS rules focus on three distinct areas,
which WTO members were unable to consider in detail and agree
upon within the timeframe of the Uruguay Round.
• These were:
• Negotiations on the question of emergency safeguard measures.
• Negotiations on government procurement in services.
• Negotiations will be held with a view to developing the necessary disciplines
to avoid the trade-distortive effects of subsidies.

7. Trade in services and LDCs
• The aim of increasing the participation of developing countries in
services trade is enshrined in the preamble to the WTO's General
Agreement on Trade in Services (GATS).
• At the Eighth Ministerial Conference in 2011, WTO members
adopted a waiver to allow preferential treatment for services and
service suppliers from least-developed countries.
• The 2013 Bali Ministerial Decision has established various steps to
encourage WTO members to make use of this waiver.

8. Negotiations Process
Negotiations in the Doha Round are being conducted essentially on two
tracks:
 Bilateral and/or plurilateral negotiations to improve market conditions for
trade in services — this mostly involves improving specific commitments on
market access and national treatment (i.e. ensuring that privileges given to
local companies are also given to foreign companies) and promoting most-
favoured nation treatment (more equal treatment among WTO members)
 Multilateral negotiations among all WTO members to establish any necessary
rules and disciplines (such as on domestic regulation, emergency safeguard
measures, government procurement and subsidies) which will apply to the
whole WTO membership, with certain special provisions for developing and
least-developed countries.

9. Proposals for the Negotiations
• At the start of the negotiations, WTO members
tabled proposals regarding both the structure and the contents of the
negotiations.
• These proposals highlight the main areas of interest for individual
members and/or groups of members.
• Often the proposals provide background information and suggestions for
improving trade conditions in a particular sector.
• Currently, there are virtually no new proposals being tabled as work has
moved on to the request-offer process.

10. THANK
YOU