Terming the issues related to cross border trade in services and movement of natural persons as the "main area of interest" under the General Agreement on Trade in Services, India has sought a constructive dialogue between the developed and the developing countries for removal of barriers in supply of services.
"Mode 4 (movement of natural persons) is India's main area of interest in the ongoing World Trade Organisation negotiations under the GATS," Commerce and Industry Minister Arun Jaitley said at the recently concluded informal meeting of trade ministers at Sharm-el-Sheikh in Egypt.
"Constructive dialogue between developed and developing countries for removal of barriers to supply of services through this Mode is of paramount importance", he said.
Services under GATS can be delivered through four means, Mode 1, which refers to cross border trade in services, Mode 2, which relates to consumption of services abroad, Mode 3, which represents commercial presence and Mode 4 relates to movement of natural persons.
Seeking support from developed countries as well as 'Friends of Mode 4 group' on the issue in the run up to the Cancun meet, Jaitely said coordinated efforts were needed to get negotiations on Mode 4 started at the ministerial in September.
"As such, we look for sector-specific commitments and for support for the removal of barriers such as economic needs, procedural difficulties associated with visas and work-permits and non-recognition of qualifications," he said.
India has its main interests in Mode 4 and Mode 1, which also covers Business Process Outsourcing.
Jaitley stressed on the need for greater flexibility to be shown to developing and least developing countries.
"Adequate flexibility must also be given to those countries while scheduling their commitments, both in the choice of sectors and extent of commitments", he said.
Jaitley expressed disappointment at the initial offers tabled so far, particularly by the developed countries, as there was little tangible response to requests made by developing countries on Mode 4.
The minister drew attention to the guidelines and procedures for the negotiations on trade in services finalised in March 2001, which had stated that the aim of negotiations was to achieve progressive liberalisation.
