A Services Fire-Side Chat

Geneva - A fire-side chat yesterday with a score of Doha Development Agenda services negotiators failed to bring convergence on setting new time-lines for submitting revised offers as key members remain divided over how different elements within the services mandate ought to proceed at this juncture, WTD has learned (WTD, 11/23/06).

Doha services negotiations chair Fernando de Mateo convened the meeting to focus on options to speed up the much-delayed talks. He also sought out views on what ought to be the priorities of the negotiations.

Japan stated that trade envoys should fix a new deadline for revised offers to help negotiators move apace with the two other aspects of the negotiating round - agriculture and nonagricultural market access.

But envoys from some farm exporting countries balked on setting new time-lines without first knowing what is likely to emerge in the agriculture negotiations. Although members left the meeting undecided, there was broad recognition that a deadline for both revised offers as well as initial offers for those who have yet to file them should be set for sometime in January, said trade diplomats.

Market Access and Rules Balance

Sharp differences arose in the meeting on the linkage between market access and rules within the services negotiations. The United States drove home the point that without a robust package in services market access it will be difficult to garner support from US industry as well as Congress. The United States listed six sectors as the most important - financial services, telecommunications, computer and related services, energy, express delivery services and distribution services. The United States did not mention audio-visual services.

The United States also made a strong case for transparency within domestic regulation, but was silent on other aspects of domestic regulation that several developing countries had raised. Canada indicated it requires strong transparency provisions in domestic regulation rules. For the United States and Canada, increased emphasis on domestic regulation would require members to share any new disciplines that they introduce in their domestic regimes to all other members.

India said it needs to see balance in all three core aspects of the Doha negotiations - agriculture, industrial market access and services. It also wants a balance within the market access and rules-related areas of services. Balance also is called for in all areas of domestic regulation - such as qualification requirements and transparency.

The European Union said a final result needs to see robust market-opening in financial services, telecommunications, environmental services, distribution, maritime, energy services and professional services. The EU also touched on the importance of a strong domestic regulation package. Japan underscored the need for strong results in financial, maritime and energy services.

Chair Mateo will hold an informal session tomorrow with all members to chalk out his next course of action.