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Peter Ungphakorn Profile picture
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Feb 14 • 17 tweets • 9 min read
Very niche🧵

Who invented the 4 modes of services supply?

I took a deep dive into historical Uruguay Round negotiating documents following contributions from @ScheeleJonathan @AmyPorges @henrysgao @RMelendezOrtiz

Short answer: it was an evolution, crystallised by the EU

1/14
The four modes of services supply are:

1 cross border supply
2 consumption abroad
3 foreign commercial presence
4 movement or presence of natural persons

Within the 1986–94 Uruguay Round negotiations, this evolved from Feb 1987 to Oct 1989

2/14 wto.org/english/tratop… Image
Feb 23–25, 1987 meetings

The earliest reference to this idea is in summary note MTN.GNS/7
docs.wto.org/dol2fe/Pages/S…

This has (1) cross-border supply, (2) (partial) presence of natural persons, (3) commercial presence.

Not consumption abroad

3/14 Image
Apr 9, 1987—Singapore discusses the concepts in detail under “consumption” v “trade” in paper MTN.GNS/W/6
docs.wto.org/dol2fe/Pages/S…
 
Apr 8–10, 1987 meeting—Discussed at length under “definitional issues”. First mention of consumption abroad. MTN.GNS/8

4/14 docs.wto.org/dol2fe/Pages/S… Image
Also in the Apr 8–10, 1987 meeting—one delegation proposed five types (one being purely domestic). The way these modes are described shows how much negotiators were still struggling with concepts

5/14 docs.wto.org/dol2fe/Pages/S… Image
Jun 19, 2022—UN Statistical Office notes these modes in paper MTN.GNS/W/9
docs.wto.org/dol2fe/Pages/S…

This shows that other organisations were also grappling with the concepts. Whether any of them ended up with four is not reflected in the Uruguay Round negotiating documents

6/14 Image
Discussion continues

Jun 24, 1988. A GATT Secretariat paper on “definitions” has an in-depth look at two concepts

• where the service itself crosses the border
• cross-border factor flows but not necessarily the service itself

MTN.GNS/W/38/Rev.1

7/14 docs.wto.org/dol2fe/Pages/S…
Nov 25, 1988. The negotiating group’s report to the Montreal Ministerial TNC. MTN.GNS/2
docs.wto.org/dol2fe/Pages/S…

Under “definition”—3 types: cross-border movement of services, consumers, factors of production (which would cover commercial presence and movement of people)

8/14 Image
In the same document for the Montreal Ministerial meeting—the first time “mode” is used in this context (“mode of delivery”), but it comes under “transparency” (or with market access, which seems to be the US route)

MTN.GNS/2
docs.wto.org/dol2fe/Pages/S…

9/14 Image
Dec 9, 1988. Montreal ministerial decision. Echoes MTN.GNS/2 on the definition. MTN.TNC/7(MIN), but not on transparency/market access

10/14 docs.wto.org/dol2fe/Pages/S… Image
Sep 18–22, 1989 meeting. Lengthy discussion reflects paragraph 4 of the Montreal Decision, with several delegations referring specifically to commercial presence and movement of people, instead of just factors of production. MTN.GNS/25

11/14 docs.wto.org/dol2fe/Pages/S…
Oct 17, 1989. US draft has different approach. MTN.GNS/W/75

Ch 3 “Market Access”—separate articles on “Establishment”, “Cross-Border Provision of Services”, “Temporary Entry for Services Providers”

“Definitions” includes movement of consumers

12/14 docs.wto.org/dol2fe/Pages/S…
Oct 19, 1989—the first time the four modes appear together clearly, but not called “modes”.

In an EU paper on definition of trade in services. MTN.GNS/W/76
docs.wto.org/dol2fe/Pages/S…

The approach ended up in GATS

13/14 Image
It's pretty clear therefore that the final formulation came from the EU, although the ideas had already been percolating in the negotiating group for almost 2 years.

@ScheeleJonathan says the EU was thinking about it before the paper was circulated

14/14
Correction. In the previous tweet that should be "percolating in the negotiating group for almost THREE years"
CORRECTION June 19, 1987

Thread continues here
The 🧵⬆️ is now blogged tradebetablog.wordpress.com/2022/02/15/ori…

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More from @CoppetainPU

Peter Ungphakorn Profile picture
Feb 10
This is an interesting WTO staff working paper by Ting-Wei (Alex) Chiang and Xiaoping Wu of the Intellectual Property Division

It's complicated, but that's the nature of #COVID19 vaccines and vaccine patents

Direct link to the paper: wto.org/english/res_e/…

Some takeaways

1/6
The paper looks at the different types of vaccine technology and their "patent families" (patent applications for the same or similar technical content), evolution, distribution of inventions and patents globally, types of companies involved, and more

2/6 wto.org/english/res_e/…
• Vaccine types vary in the number of patent families involved. Viral vector (AstraZeneca etc) and mRNA (Pfizer, Moderna, etc) have more

• Private firms dominate, SMEs contributing most, public labs do basic science research

• Earlier years count

3/6 wto.org/english/res_e/…
Read 6 tweets
Peter Ungphakorn Profile picture
Feb 3
The 🇪🇺 Commission says this is the first Sri Lankan 🇱🇰 geographical indication to be registered in the EU.

For those of us with long memories, it's more than that.

Back in 2005-2006 Sri Lanka complained its exports to the EU were blocked.

Details: spsims.wto.org/en/SpecificTra…

1/3
Sri Lanka raised this in the WTO committee on food safety and animal/plant health (SPS) in 2005–2006.

🇱🇰 complained that EU rules on sulphur dioxide were inconsistent ⬇️, preventing imports of its cinnamon.

The EU and @FAOWHOCodex were sympathetic.

2/3 wto.org/english/news_e… Image
By late 2006, the issue was resolved.

15 years later Sri Lanka has a protected geographical indication for its cinnamon in the EU

WTO processes may be slow, but sometimes they produce results.

3/3 wto.org/english/news_e… Image
Read 4 tweets
Peter Ungphakorn Profile picture
Jan 27
JOB/GC/281 is here tradebetablog.files.wordpress.com/2021/11/walker…

See 🧵⬇️

And …

1/2
… and an explanation is here.

2/2 tradebetablog.wordpress.com/2021/11/26/wto…
PS. Feb 28 deadline (good luck with that ambassador @CastilloDacio)

Read 4 tweets
Peter Ungphakorn Profile picture
Jan 26
The situation in Switzerland will determine whether/when an in-person WTO Ministerial Conference can be scheduled.

What is the situation in 🇨🇭?

1/6
1. Case numbers continue to rise, but hospitalisations and deaths seem to have peaked and are a bit lower in 🇨🇭.

2/6 covid19.admin.ch/en/overview?ti…
2. Omicron is now almost 90% of cases detected in 🇨🇭. Does that partly explain why cases are still rising but hospitalisations and deaths have eased?

The vaccination rates are not great—68% with two doses, 38% boosted. Much better among over-65s.

3/6 covid19.admin.ch/en/overview?ti…
Read 6 tweets
Peter Ungphakorn Profile picture
Jan 26
Starting today: six “plurilateral” meetings in the WTO spread over two weeks

Plurilaterals = meetings/agreements among only part of the WTO’s membership

Some: also called joint-statement initiatives (JI⬇️)

Seen as the way ahead, but controversial

1/7 wto.org/english/news_e…
Today (Jan 26), tomorrow (Jan 27) and Tuesday (Feb 1)—Plurilateral on investment facilitation for development

(Why suddenly the need to call WTO discussions “structured”? Are any unstructured?)

2/7 tradebetablog.wordpress.com/2022/01/03/17-…
Today (Jan 26), tomorrow (Jan 27) and Tuesday (Feb 1)—Plurilateral on investment facilitation for development

Here’s the agenda for today and tomorrow

3/7
Read 7 tweets
Peter Ungphakorn Profile picture
Jan 25
TODAY: informal WTO General Council meeting, mainly on procedure

PURPOSE: chair @CastilloDacio reporting to the full membership on his consultations, Jan 18-19

TOPICS:
• If/when to hold the postponed ministerial conference
• WTO response to the pandemic
• How to proceed

1/6
MINISTERIAL CONFERENCE NEW DATE?

Few keen on “virtual” meeting

DG @NOIweala: Secretariat looking at 3 options

1. Hold soon—no ceremony, businesslike, slimmed down
2. Medium (eg summer) possible
3. Long term, can prepare for it

Swiss amb. said COVID-19 in 🇨🇭 unpredictable

2/6
Chair @CastilloDacio said some members proposed a tentative date (“a window”) should be set to focus minds and keep up the momentum; others said that would be premature but members should keep up the momentum.

3/6
Read 7 tweets

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