Experiences with Experiences with Preparing for Preparing for NegotiationsNegotiations

A Perspective from the A Perspective from the Philippine Mission in GenevaPhilippine Mission in Geneva

Inter-Agency Committee on ServicesInter-Agency Committee on Services

National Economic Development Authority National Economic Development Authority (NEDA) as coordinating agency(NEDA) as coordinating agency ADG, Director, staff of 4(?)ADG, Director, staff of 4(?) Process-orientated roleProcess-orientated role ConsolidatorConsolidator Attends negotiations in Geneva as ‘capital-based Attends negotiations in Geneva as ‘capital-based

expert’expert’ Independent departments and agenciesIndependent departments and agencies

Substantive roleSubstantive role Provide technical inputsProvide technical inputs Conduct consultations with respective Conduct consultations with respective

stakeholdersstakeholders

Bear in mind…Bear in mind…

Primary role of NEDA as economic Primary role of NEDA as economic research and planning agency of the research and planning agency of the governmentgovernment

Main functions of ADG-in-charge of Main functions of ADG-in-charge of IACIAC

Responsibilities and priorities of Responsibilities and priorities of bureaus, agencies and officers bureaus, agencies and officers assigned to the IACassigned to the IAC

The role of the Department of Trade and The role of the Department of Trade and Industry (DTI)Industry (DTI)

Traditionally, lead substantive negotiator Traditionally, lead substantive negotiator in international trade negotiationsin international trade negotiations

Convenor of Technical Committee on WTO Convenor of Technical Committee on WTO MattersMatters

Bureau of International Trade Relations Bureau of International Trade Relations (BITR) as trade policy centre (BITR) as trade policy centre

Foreign Trade Service Corps (FTSC) as Foreign Trade Service Corps (FTSC) as mother unit for commercial attaches, mother unit for commercial attaches, trade negotiatorstrade negotiators

Relationship with NEDA, IAC in services Relationship with NEDA, IAC in services negotiationsnegotiations

The role of the Department of Foreign The role of the Department of Foreign Affairs (DFA)Affairs (DFA)

Protocol-wise, nominal lead negotiator Protocol-wise, nominal lead negotiator in any international negotiationsin any international negotiations

Heads the Philippines’ mission in Heads the Philippines’ mission in GenevaGeneva One mission (Philippine Mission to the UN and One mission (Philippine Mission to the UN and

other International Organizations), one other International Organizations), one ambassador until 2001ambassador until 2001

One mission, two ambassadors (UN, WTO) 2001-One mission, two ambassadors (UN, WTO) 2001-20042004

Two missions, two ambassadors from 2004Two missions, two ambassadors from 2004 Sits in as member of IAC in ManilaSits in as member of IAC in Manila Lead substantive negotiator until 1999Lead substantive negotiator until 1999

Multifunctional responsibilities in Multifunctional responsibilities in international trade negotiationsinternational trade negotiations Same talent pool for all international Same talent pool for all international

negotiations and for anegotiations and for a APEC, ASEAN, FTAs, WTOAPEC, ASEAN, FTAs, WTO

Proliferation of FTA negotiationsProliferation of FTA negotiations Japan, U.S., India, China, Australia, Korea, etc.Japan, U.S., India, China, Australia, Korea, etc. Strain on human resourcesStrain on human resources Competence and efficiency through Competence and efficiency through

experience?experience? Effect on WTO negotiationsEffect on WTO negotiations

What is supposed to happen in context What is supposed to happen in context of WTO negotiationsof WTO negotiations NEDA informs IAC of what is required for NEDA informs IAC of what is required for

negotiations in Genevanegotiations in Geneva Agencies undertake studies, research, analyses, Agencies undertake studies, research, analyses,

consult with constituenciesconsult with constituencies Agencies report results, provide position to NEDAAgencies report results, provide position to NEDA NEDA consolidates positions after discussions NEDA consolidates positions after discussions

with agencieswith agencies TCWM for holistic perspective and consolidation TCWM for holistic perspective and consolidation

of positions for WTO negotiationsof positions for WTO negotiations In select instances, role for TRM approvalIn select instances, role for TRM approval NEDA provides Philippine Mission in Geneva with NEDA provides Philippine Mission in Geneva with

inputs and positionsinputs and positions

Reality checkReality check

Nature of multifunctional responsibilities Nature of multifunctional responsibilities of assigned officers, especially with of assigned officers, especially with direct regulatory rolesdirect regulatory roles

Priorities arising from proximity to Priorities arising from proximity to constituentsconstituents

CarouselCarousel Internal dynamics Internal dynamics Negotiations are driven by personalitiesNegotiations are driven by personalities Recent trend towards FTAsRecent trend towards FTAs

Role of Private StakeholdersRole of Private Stakeholders

What is their level of awareness?What is their level of awareness? What is the extent of consultations?What is the extent of consultations? Limited involvement?Limited involvement? Increased engagement with appointment of Increased engagement with appointment of

private sector representative as private sector representative as ambassador in international trade ambassador in international trade negotiationsnegotiations

Old WTO-AFTA Commission modelOld WTO-AFTA Commission model Task Force on WTO Agriculture Round Task Force on WTO Agriculture Round

(WAR) model(WAR) model

From Geneva…From Geneva… Assume increased responsibilitiesAssume increased responsibilities Read, analyze, contextualize Read, analyze, contextualize

Commercial, economic implicationsCommercial, economic implications LegalLegal SystemicSystemic

Develop positions and interventionsDevelop positions and interventions …”…”if we do not hear from you…”if we do not hear from you…”

Compare and contrast with developed, Compare and contrast with developed, developing Membersdeveloping Members …”…”awaiting instructions from capital”awaiting instructions from capital”

Increased latitude, pressure, need for careIncreased latitude, pressure, need for care Experience in bilaterals Experience in bilaterals

Geneva responseGeneva response

Rules (Geneva)Rules (Geneva) Working Party on Working Party on

GATS RulesGATS Rules Working Party on Working Party on

Domestic RegulationDomestic Regulation Committee on Committee on

Specific Specific CommitmentsCommitments

Market Access Market Access Negotiating Negotiating

proposals proposals Mode 4Mode 4 tourismtourism

Market Access Market Access (Manila)(Manila) Request (+ Geneva)Request (+ Geneva) OfferOffer

Experience with RequestsExperience with Requests

Own requests prepared by IAC in time for Own requests prepared by IAC in time for 30 June 2002 deadline (but have had to be 30 June 2002 deadline (but have had to be modified)modified) Based on perceived strengths, particularly Based on perceived strengths, particularly

relating to mode 4, in targeted marketsrelating to mode 4, in targeted markets After all, estimated US$8 billion in remittances from 8 After all, estimated US$8 billion in remittances from 8

million Filipino overseas workers (admittedly, not all million Filipino overseas workers (admittedly, not all mode 4)mode 4)

Leading sectors/activitiesLeading sectors/activities Professional servicesProfessional services

NursesNurses Care-giversCare-givers Household helpHousehold help Ship crewsShip crews Computer-related services Computer-related services

Experience with Requests (con’t)Experience with Requests (con’t)

None on mode 1, notwithstanding growth of None on mode 1, notwithstanding growth of revenues from this services mode through-revenues from this services mode through-

Call centersCall centers Data processingData processing TranscriptionTranscription

MedicalMedical LegalLegal

Accounting servicesAccounting services Could be subject to continuing modality for Could be subject to continuing modality for

revised requestsrevised requests Benefit from inputs from private stakeholders (note Benefit from inputs from private stakeholders (note

inputs from SPI Technologies at WTO symposium on inputs from SPI Technologies at WTO symposium on cross-border trade)cross-border trade)

Experience with Initial OfferExperience with Initial Offer 31 March 2003 indicative deadline31 March 2003 indicative deadline Only Philippines (and South Africa?) required to form critical Only Philippines (and South Africa?) required to form critical

massmass Pressure in Special Sessions of the Council for Trade in Pressure in Special Sessions of the Council for Trade in

ServicesServices Philippine Mission in Geneva has recommended general Philippine Mission in Geneva has recommended general

outline of possible sectors for binding commitment outline of possible sectors for binding commitment sans sans details, e.g.,details, e.g., Computer-related servicesComputer-related services Research and developmentResearch and development Health-related services (hospital services in mode 3)Health-related services (hospital services in mode 3) Environment (waste management)Environment (waste management)

Per NEDA, ongoing consultationsPer NEDA, ongoing consultations What is the real state of play?What is the real state of play? Breakdown in the process?Breakdown in the process? What has happened to requests from trading partners?What has happened to requests from trading partners?

LessonsLessons Bear in mind – WTO negotiations are going to be even more Bear in mind – WTO negotiations are going to be even more

intensive in the futureintensive in the future Need for direct engagement of capital-based technical experts, Need for direct engagement of capital-based technical experts,

regulatorsregulators Canadian modelCanadian model

Intensive consultations with private stakeholdersIntensive consultations with private stakeholders TF WAR modelTF WAR model

Direct involvement of private stakeholders in formulation of positionsDirect involvement of private stakeholders in formulation of positions Separate pool for FTAs, WTO?Separate pool for FTAs, WTO?

Emphasize value of technical officersEmphasize value of technical officers But must maintain synergy between two poolsBut must maintain synergy between two pools

Role for DFA as coordinator?Role for DFA as coordinator? Increased awareness on GATS for domestic agencies and private Increased awareness on GATS for domestic agencies and private

stakeholdersstakeholders Educative mechanismEducative mechanism

Online learningOnline learning Regional dialogues afford interaction and coalition-building among capital-Regional dialogues afford interaction and coalition-building among capital-

based expertsbased experts Training seminarsTraining seminars

Thank you!Thank you!