 
RESTRICTED  WORLD TRADE  
ORGANIZATION  S/C/W/246  
19 November 2004 
 (04-5031) 
Council for Trade in Services Original:   English 
  
 
COMMUNICATION FROM JAPAN   
 
The Second Review of MFN Exemptions
 
 
 
 The following communication, dated 15 Nove mber 2004 from the delegation of Japan is 
being circulated to the Members of the Council for Trade in Services.  
_______________ 
 
1. With regard do the Review Session to be he ld on 30 November 2004, we have prepared the 
following questions for consideration by the Members.  In order to proceed in an efficient manner at 
the above Session, we should be grateful if we could receive written replies from all concerned in 
advance of the meeting. 
2. Japan reserves its right to submit additional ques tions, as necessary, at a later stage, as well as 
to raise questions listed in the pa ragraph 4 of document JOB(04)/131 with  regard to any exemptions at 
the above Session. 
For the following questions, all page nu mbers refer to document JOB(04)/115. 
 
_______________ 
 
Antigua Barbuda 
3. On page 8, measures based on CARICOM are regi stered for exemption, but as this agreement 
is based on GATS Article V and has been notified to the WTO, it can be considered that there is no 
need for registration. Please explain the reason for registering this measure. 
 
Austria 
4. On page 14, measures based on “progressive trade liberalization between Austria and 
Switzerland” are registered for exemption on an in definite basis.  Please specify the reason for the 
need for such an indefinite exemption.  Please al so explain the relationship with Article V of the 
GATS. 
Bangladesh 
5. On page 16, the term for applying different  accounting rates for different operators/countries 
covered by bilateral agreements w ith Bangladesh is set for 10 years. As the period is about to expire, 
this registration should be eliminated by the end of the year. Please confirm this. 
Bolivia 
6. Please specify the measures concerning Road tr ansportation services that are subject to 
exemption based on GATS Article II. (page 18) S/C/W/246 
Page 2  
 
Brunei Darussalam: 
7. On Page 21, “preferences for entry and tempor ary stay of workers from traditional sources of 
supply” are registered as an exemption on an indefin ite basis.  Please specify the reason for the need 
for such an indefinite exemption.  Please also e xplain the relationship with Article V of the GATS. 
Canada 
8. On page 34, Measures on “temporary entry of agricultural workers from countries with which 
Canada has signed a memorandum of understanding is  subject to an accelerated process for labour 
certification”.  Please specify the reason for the need  for such an indeterminate exemption.  Please 
also explain the relationship with Article V of the GATS. 
Colombia 
9. On Page 39, Measures in the Telecommunicati ons and Land Transport sectors have been 
reserved for Andean Group Countries for an indefinite or unlimited duration.  Please specify the reason for the need for such an indefinite exemption.   Please also explain the relationship with Article 
V of the GATS. 
Costa Rica 
10. On page 42, an exemption for measures under the “General Treaty of Central American 
Economic Integration” has been reserved for an i ndefinite period.  Please specify the reason for the 
need for such an indefinite exemption.  Please al so explain the relationship with Article V of the 
GATS. 
Cote d’Ivoire 
11. Please specify the measures concerning Insuran ce services that are subject to exemption 
related to CIMA based on GATS Article II. (page 4V) 
12. Please specify the measures concerning Banking services that are subject to exemption related 
to WAMU based on GATS Article II. (page 47) 
13. Please specify the measures concerning Stock exch ange services that are subject to exemption 
related to WAEMU based on GATS Article II. (page 47) 
Cyprus 
14. Please specify the measures concerning Road tr ansportation services that are subject to 
exemption based on GATS Article II. (page 52) 
15. Please specify the measures concerning Human hea lth services that are subject to exemption 
based on GATS Article II. (page 53) 
El Salvador 
16. Please specify the measures concerning Banking services that are subject to exemption based 
on GATS Article II. (page 61) 
17. On page 61, an exemption for measures under the “General Treaty of Central American 
Economic Integration” has been reserved for an i ndefinite period.  Please specify the reason for the 
need for such an indefinite exemption.  Please al so explain the relationship with Article V of the 
GATS.  S/C/W/246 
 Page 3 
 
 
EC 
18. In accordance with 13 countries entering the EU , a new exemption table has been presented 
by the EC. As it is understood that certification procedures are yet to commence, please confirm 
whether the items registered by the 13 newly entered countries are still in effect. 
19. On page 72, the term for facilitating procedur es in France for certain services supplied by 
French speaking countries is set for 10 years. As the period is about to expire , this registration should 
be eliminated at the end of the year. Please explain the reason for continuing registration.  
20. On Page 72, exemptions for measures on the move ment of natural persons for historical links 
with “Portugal and certain countries”, “France a nd certain countries”, Commonwealth countries, “EC 
and Switzerland” are registered.  Please specify th e reason for the need for such an indefinite 
exemption.  Please also explain the relationship with Article V of the GATS. 
21. Please clarify the specific countries that are incl uded in the area of central, east and southeast 
Europe, which is referred to on page 74. Also, as for this item the duration date is set until an 
economic integration agreement is concluded or comp leted, please explain the current state of related 
agreements and specify when the duration will be terminated. 
Estonia 
22. On Page 62, an exemption for “Preferential tr eatment when granting permits for entry, stay, 
and work” has been registered for an indefinite dur ation.  Please specify the reason for the need for 
such an indefinite exemption.  Please also expl ain the relationship with Article V of the GATS. 
Finland 
23. Please specify the measures concerning Road tr ansportation services that are subject to 
exemption based on GATS Article II. (page 75) 
Guatemala 
24. On page 81, an exemption for measures under the “General Treaty of Central American 
Economic Integration” has been reserved for an i ndefinite period.  Please specify the reason for the 
need for such an indefinite exemption.  Please al so explain the relationship with Article V of the 
GATS. 
Honduras 
25. On page 83, an exemption for measures under the “General Treaty of Central American 
Economic Integration” has been reserved for an i ndefinite period.  Please specify the reason for the 
need for such an indefinite exemption.  Please al so explain the relationship with Article V of the 
GATS. 
India 
26. Please specify the measures concerning Telecommunication services that are subject to 
exemption based on GATS Article II. (page 90) 
 S/C/W/246 
Page 4  
 
Indonesia: 
27. On Page 91, an exemption for movement of personnel for Malaysia, Singapore, Brunei, PNG 
and Australia has been registered on an indefinite  basis.  Please specify the reason for the need for 
such an indefinite exemption.  Please also expl ain the relationship with Article V of the GATS. 
Jamaica 
28. On page 93, measures based on CARICOM are registered for exemption, but as this 
agreement is based on GATS Article V and has been notified to the WTO, it can be considered that 
there is no need for registration. Please clarify the reason for registering. 
Jordan 
29. On Page 94, an exemption for services fees related to movement of natural persons is 
registered on an indefinite basis.  Please specify the reason for the need fo r such an indefinite 
exemption.  Please also explain the relationship with Article V of the GATS.  
30. Please specify the measures concerning Land Trans port services that are subject to exemption 
based on GATS Article II. (page 97) 
Liechtenstein 
31. On page 102, measures based on EFTA are register ed for exemption, but as this agreement is 
based on GATS Article V and has been notified to the WTO, it can be considered that there is no need 
for registration. Please clarify the reason for registering. 
32. On Page 104 and 105, an exemption for temporary stay and permanent residency between 
Liechtenstein and Switzerland, Liechtenstein and EC and EFTA countries, is registered on an 
indefinite basis.  Please specify the reason for the ne ed for such an indefinite exemption.  Please also 
explain the relationship with Article V of the GATS. 
Malaysia 
33. On page 112, the term for the exemption of me asures covering all sectors is set for V years. 
As the period is about to expire, this registra tion should have been eliminated. Please clarify the 
reason for continuing registration. 
34. On page 112, an exemption for movement of foreign semi-skilled and unskilled workers into 
Malaysia is registered for an indefinite period.  Please specify the reason for the need for such an 
indefinite exemption.  Please also explain the relationship with Article V of the GATS. 
Malta 
35. Please specify the measures concerning all sector s of services that are subject to exemption 
based on GATS Article II. (page 115) 
Morocco 
36. Please specify the measures concerning Internati onal Road Transport services that are subject 
to exemption based on GATS Article II. (page 120) 
  S/C/W/246 
 Page 5 
 
 
Nicaragua 
37. On page 124, an exemption for measures under the “General Treaty of Central American 
Economic Integration” has been reserved for an i ndefinite period.  Please specify the reason for the 
need for such an indefinite exemption.  Please al so explain the relationship with Article V of the 
GATS. 
Pakistan 
38. Please specify the measures concerning Telecommunication services that are subject to 
exemption based on GATS Article II. (page 131) 
Panama 
39. On page 132, an exemption for measures under the “General Treaty of Central American 
Economic Integration” has been reserved for an i ndefinite period.  Please specify the reason for the 
need for such an indefinite exemption.  Please al so explain the relationship with Article V of the 
GATS. 
Peru 
40. On Page 133, measures in the Transport sector have been reserved for Andean Group 
Countries for an indefinite or unlimited duration.  Please specify the reason for the need for such an 
indefinite exemption.  Please also explain the relationship with Article V of the GATS. 
Philippines  
41. On Page 135, an exemption for entry and temporar y stay of natural persons is registered for 
an indefinite period.  Please specify the reason for th e need for such an indefinite exemption.  Please 
also explain the relationship with Article V of the GATS. 
Senegal 
42. Please specify the measures concerning Insuran ce services that are subject to exemption 
related to WAEMU and CIMA based on GATS Article II. (page 142) 
43. Please specify the measures concerning Banking services that are subject to exemption related 
to WAEMU and WAMU based on GATS Article II. (page 143) 
Singapore 
44. On Page 145, “preferences for entry and tem porary stay of workers from traditional sources 
of supply” are registered as an exemption on an in definite basis.  Please specify the reason for the 
need for such an indefinite exemption.  Please al so explain the relationship with Article V of the 
GATS. 
Sri Lanka 
45. Please specify the measures concerning Telecommunication services that are subject to 
exemption based on GATS Article II. (page 157) 
Swaziland 
46. Please specify the measures concerning Road tr ansportation services that are subject to 
exemption based on GATS Article II. (page 158) S/C/W/246 
Page 6  
 
Switzerland 
47. On page 162, measures based on EFTA are register ed for exemption, but as this agreement is 
based on GATS Article V and has been notified to the WTO, it can be considered that there is no need 
for registration. Please clarify the reason for registering. 
48. On page 164, among the measures concerning Road transportation services, the term of 
revision of measures concerning freight is set for 12 years from the entering into force of the bilateral 
agreement between Switzerland and EC. Please update th e situation providing specific revision dates, 
and if the period has expired, please explain th e reason why registration is not eliminated. 
49. On Page 165 and 166, an exemption for temporary stay and permanent residency between 
Switzerland and Liechtenstein, Switzer land and EC and EFTA countries, is  registered on an indefinite 
basis.  Please specify the reason fo r the need for such an indefinite exemption.  Please also explain the 
relationship with Article V of the GATS. 
Thailand 
50. On page 171, the term for applying NT only to American citizens and en tities with respect to 
operating business and providing services in Thaila nd upon the bilateral agreement with the United 
States is set for 10 years. As the period is about to e xpire, this registration should be eliminated by the 
end of the year. Please confirm this. 
Turkey 
51. Please specify the measures concerning Telecommunication services that are subject to 
exemption based on GATS Article 2. (page 179) 
52. Please specify the measures concerning Telecommunication services and Rail Transport 
Services that are subject to exemption based on GATS Article II. (page 179) 
UAE 
53. Please specify the measures concerning members of  the GCC that are subject to exemption 
based on GATS Article II. (page 184) 
Venezuela 
54. Please specify the measures concerning Petroleu m related services that are subject to 
exemption based on GATS Article II. (page 202) 
__________  