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WTO AND MARITIME TRANSPORT

WTO AND MARITIME TRANSPORT. AN OPERA IN 3 ACTS AND ONE INTERMISSION (SO FAR). WTO AND MARITIME TRANSPORT. OVERTURE: HOW THE GATS WAS DRAFTED. WTO AND MARITIME TRANSPORT. GATS commitments:

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WTO AND MARITIME TRANSPORT

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  1. WTO AND MARITIME TRANSPORT AN OPERA IN 3 ACTS AND ONE INTERMISSION (SO FAR)

  2. WTO AND MARITIME TRANSPORT OVERTURE: HOW THE GATS WAS DRAFTED

  3. WTO AND MARITIME TRANSPORT GATS commitments: • Guarantee the conditions of operation of foreign services suppliers at a certain negotiated level of market access and national treatment • Ensure that this level cannot be deteriorated • Make this level available as a minimum to all WTO Members • Are subject to periodic negotiations with a view to improve them

  4. WTO AND MARITIME TRANSPORT “Scheduling” principles: • Positive listing of sectors • Negative listing of restrictions • M.A. • discriminatory and non-discriminatory measures • 6 exhaustive categories: number of suppliers, value of transactions/assets, number of operations, number of persons, legal form, foreign capital

  5. WTO AND MARITIME TRANSPORT Scheduling principles (continued) • NT: any discriminatory measure de facto or de jure • The modes of delivery; cross-border, consumption abroad, commercial presence, temporary movement of natural persons • The additional commitments • The freedom to modulate • The minimum MFN standard effect

  6. WTO AND MARITIME TRANSPORT

  7. WTO AND MARITIME TRANSPORT ACT 1: URUGUAY ROUND

  8. WTO AND MARITIME TRANSPORT • Classic market access negotiations • Finally: No sectoral sectoral Annex • But works on a “Maritime Model Schedule” (MMS)

  9. WTO AND MARITIME TRANSPORTURUGUY ROUND RESULTS • No “critical mass” according to some of the main players • Negotiations extended • In a package with telecom and financial services • But with different dates (May 94-June 96) • MFN suspended, except for commitments undertaken • Standstill • Plurilateral voluntary negotiating group created: Negotiating Group on Maritime Transport Services (NGMTS)

  10. WTO AND MARITIME TRANSPORTResults (2/2) • 29 Members maintained their commitments which immediately entered into force, including MFN aspects. • On these 29 Members, 8 have followed the maritime model schedule. • Many MFN exemptions remained “on the books” while not needed.

  11. WTO AND MARITIME TRANSPORT ACT II EXTENDED NEGOTIATIONS 1995 - 1996

  12. WTO AND MARITIME TRANSPORT • Progress in the elaboration of the Maritime Model schedule (MMS). • Some parts of it remain bracketed, however.

  13. Two overlapping classifications CPC A MMS - Rental and Leasing with crew- Maintenance and repair- Pushing and towing - Supporting services for water transport by sea-going vessels* - Access to/use of ports services- Container depot station- [Multimodal transport]- [Access to/use of multimodal transport]- Custom clearance- Maritime agency services (?) - International maritime transport (freight and passenger)- Cargo handling- Storage and warehousing- Freight forwarding H - Freight brokerage, bill auditing… (749) *port and waterway operation, pilotage, navigation, aid, salvage, cleaning...

  14. WTO AND MARITIME TRANSPORTFirst option: CPC/W120 11. TRANSPORT SERVICE A. Maritime Transport Services a. Passenger transportation 7211  International maritime b. Freight transportation 7212  transport (exc for cabotage) c. Rental of vessels with crew 7213 Either d. Maintenance and repair of vessels 8868**  - int. mar transp. as part e. Pushing and towing services 7214  of A. f. Supporting services for maritime transport 745** - or aux services as they are in reality H. Services auxiliary to all modes of transport a. Cargo-handling services 741  b. Storage and warehouse services 742  c. Freight transport agency services 748  Auxiliary services d. Other 749 

  15. WTO AND MARITIME TRANSPORT MMS Pillar 1: International transport • Suggested to be defined: • without cabotage; • according to CPC or ad hoc definitions (including or not multimodal); • distinguishing liner from bulk in mode 1; • distinguishing the establishment of registered company operating the national flag from other forms of commercial presence (mode 3); • distinguishing the situation of the ship’s crew from the one of on shore key personnel (mode 4).

  16. WTO AND MARITIME TRANSPORT MMS Pillar 2: Maritime Auxiliary Services • 6 services with proper definitions: • cargo handling (excluding dockers); • storage and warehousing; • custom clearance services; • container station and depot services; • maritime agency; • freight forwarding services.

  17. WTO AND MARITIME TRANSPORT MMS Pillar 3: Access/Use of Port Services • Shipowner seen as users of port services; • the aim is not to liberalize the port services concerned … • but to ensure that they are available on reasonable and non-discriminatory terms and conditions; • hence the additional commitments tool.

  18. WTO AND MARITIME TRANSPORTMMS PILLAR 3 (2/2) • 9 services covered: • pilotage; • towing and the tug assistance; • provisioning fuelling and watering; • garbage collecting and ballast waste disposal; • port captain services; • navigation aids; • shore-based operational services essential to ship operations including communications water and electrical suppliers; • emergencies repair facilities. • [anchorage berth and berthing services]

  19. WTO AND MARITIME TRANSPORT MMS Pillar 4: Multimodal Transport • Two options: A. maximal option: liberalize the activity itself B. minimal option: liberalize the access to an use of multimodal transport

  20. WTO AND MARITIME TRANSPORT • Only 2 new offers (Norway and Iceland) and 2 modified ones (Canada and Malaysia). All in a “Maritime Model Schedule” format. • CTS decision (S/L/24) dated 28 June 1996: • suspends the negotiations • decides to “resume them with the commencement of comprehensive negotiations on services in accordance with Article XIX …” • and “to conclude them no later than at the end of this first round of progressive liberalization”.

  21. WTO AND MARITIME TRANSPORTS/L/24 (2/2) • Suspends Article II and Annex on Article II until the conclusion of the negotiations except for the commitments maintained. • Foresees the review by the CTS, “during the course of the negotiations [of] the effects of the continued suspension of Article II.” • Allows Members to “improve, modify or withdraw all or part of [their] specific commitments during a period of sixty days [preceding] the endof the negotiations” and to “finalise their positions relative to MFN exemptions during the same period”. • Foresees a standstill.

  22. WTO AND MARITIME TRANSPORT AND EGYPT? Egypt had Uruguay Round Commitments, based on MTN/GNS/W/120 and maintained them.

  23. WTO AND MARITIME TRANSPORT

  24. WTO AND MARITIME TRANSPORT INTERMISSION ACCESSIONS (1995 - 2004)

  25. WTO AND MARITIME TRANSPORT • 15 Acceding Members on 20 have taken commitments in maritime transport, namely: • Albania, Cambodia, China*, Croatia, Estonia, Georgia, Jordan*, Kyrgyz Republic, Latvia, Lithuania, Moldova, Oman*, Papua New Guinea, Saint Christopher and Nevis, Slovenia. *Maritime Model Schedule format

  26. WTO AND MARITIME TRANSPORT • Among the 14 offers of acceding countries that are presently being discussed, 2 (Kazakhstan, Saudi Arabia) contain maritime transport draft commitments (but these 14 countries include 5 landlocked countries).

  27. WTO AND MARITIME TRANSPORT ACT III: GATS 2000 AND DOHA DEVELOPMENT AGENDA

  28. WTO AND MARITIME TRANSPORT • GATS 2000 negotiations started 1 January 2000 • No special case made for maritime so far in terms of calendar, procedure or group • 8 maritime negotiating proposals (Australia; Colombia; Chile; EU; Hong Kong, China; Japan; Korea and Norway)

  29. WTO AND MARITIME TRANSPORT • Strong similarities in the proposals: • model schedule as a base; • logistics, multimodal aspects; • restrictions to lift: cargo reservation, equity ceiling, on-shore establishment.

  30. WTO AND MARITIME TRANSPORT • 17 offers out of 38 contain maritime elements • All members that had a better NGMTS offer and made offers have reinstated NGMTS offer except... • One member that did simply maintain its existing commitments • And two member that put maritime offers in between existing commitments and NGMTS offers

  31. WTO AND MARITIME TRANSPORT • Two recent acceded (post NGMTS) and major maritime players put maritime offers • There was 38 signatories representing 53 members to a declaration (TN/S/W/11) in favour of maritime liberalization including China, India, Pakistan and Nigeria. Egypt was not one of them. • No Egyptian offer yet.

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