. /.WORLD TRADE
ORGANIZATIONTN/S/14
6 November 2003
(03-5926)
Council for Trade in Services
Special Session
SPECIAL SESSION OF THE COUNCIL FOR TRADE IN SERVICES
Report by the Chairman to the Trade Negotiations Committee
The Council for Trade in Services in Special Session met on 6 and 9 October 2003.
I. STATUS OF WORK
1. Overall the meeting was characterised by a positive atmosphere.  While a number of
delegations recognized certain constraints in the aftermath of the Cancun Ministerial, they indicated a
desire to pursue the Council's work.
2. With respect to the Assessment for Trade in Services, the Council had a lengthy discussion on
the basis of a highly interesting presentation by the authors of an OECD study entitled "ServicesTrade Liberalisation:  Identifying Opportunities and Gains – Key Findings".  Members expressed
interest in the services trade success stories outlined in the paper, particularly those from developing
countries.  A few questions were posed about the research methodology used in the study, and how it
its findings might lend support to the Council's work.  While acknowledging that the paper did have
some limitations, the representatives of the OECD felt that general patterns could be identified whichmight then be tailored to better fit national policy objectives.  The Council also heard an informative
presentation by the International Trade Centre about a pilot project sponsored by the Government of
Canada that provides assistance to ten Members in conducting national assessments of trade in
services.  A number of Members expressed great interest in expanding or creating new projects in
order to help Members overcome the capacity constraints faced in conducting assessments and
exchange information on conclusions.  The valu e of such assessments in the context of the
negotiations has been highlighted on many occasions, and it might be useful to recall that Membersencouraged contributions to this worthy project.  Norway indicated that it would prepare a
communication related to its experience with the lib eralization of energy services for discussion at a
forthcoming meeting.  I will continue to hold cons ultations with a view to structuring further the
Council's work on the assessment of trade in servic es in the context of the negotiating guidelines.
3. Under the item "Proposals Relating to the Negotiations under Article XIX" the Council had a
short but substantive discussion based on a proposal submitted in July by a group of 15 Members on
the Proposed Liberalisation of Mode 4 under GATS.  A number of delegations took the floor to
provide substantive comments on the proposal, to underline their negotiating interest in mode 4 and to
reiterate the improvements on mode 4 commitments contained in their offers.  A few delegations
expressed disappointment with the low level of improved commitments in these offers on the tableand flagged that there are many areas of negotiating interest beyond mode 4.
4. Under the item of the "Review of Progress in Negotiations" Members expressed satisfaction
that new offers had been tabled since July and that some indicated they were working on their initialTN/S/14
Page 2
offers.  Members welcomed these developments bu t felt that more would need to be done.  The
obvious links with other areas included in the Doha  Development Agenda were noted, as was the need
for progress on market access to proceed in a balanced manner with negotiations on rule-making areas
of services.  A number of Members referred to the good, transparent and positive work that had been
conducted over the course of the cluster, including in friends' groups and bilateral consultations;however, at least one Member noted a serious deterioration in the negotiations overall and that
momentum could be lost because the services negotiations did not exist in a bubble.  Some Members
expressed  a degree of dissatisfaction with the offers that had been presented, although they
recognised that it would be premature to draw final conclusions.  The importance of technical
assistance and capacity building activities were underlined and calls were made to continue to
contribute to the DDA Global Trust Fund.    Many stated that it was important to continue work with
the same level of commitment and endeavour to make progress.  One reference was made to the draftministerial declaration.  The suggestion was made that Members take advantage of the time currently
afforded to them in order to prepare work on complex services issues.
5. In the Council's discussion of the "Organizati on of Future Work" views were expressed that
planning for the next cluster of meetings shou ld continue with the knowledge that it remains
ultimately contingent on any decision taken in this regard by the Trade Negotiations Committee or theGeneral Council.
II. OUTSTANDING ISSUES
6. I have no points to report at this time under this item.
III. FUTURE WORK
7. I have no points to report at this time under this item.
.
__________