India's facilitation proposal expected to push services trade

India's proposal in World Trade Organisation (WTO) on trade facilitation in services agreement is expected to boost global services trade, a government official said here.
"India's proposal in WTO on trade facilitation in services is not about seeking additional market access but to make existing market access meaningful," Ministry of Commerce & Industry Joint Secretary Sudhanshu Pandey said here.
Speaking at a session on services organized by Confederation of Indian Industry (CII) Pandey said that it is expected to boost global services trade. It will also result in reduction of transaction costs associated with unnecessary regulatory and administrative burden on trade in services.

India tabled its proposal on trade facilitation in services at the WTO in October 2016, with the objective to briefly outline the concept of a TFS agreement.
"Services have never been given the due importance in trade negotiations despite the sectors' significant contribution in World GDP, Pandey emphasized.
Last week Indian industry raised this issue with the WTO Chief Roberto Azevedo, when he was in Delhi to interact with industry members. Indian industry urged WTO members to help in garnering support for India's proposal on Trade Facilitation in Services.

WTO members adopted the TFA in Goods in 2014, a significant milestone in the ongoing WTO Doha round of trade negotiations. It is soon going to be annexed to WTO legal text. Only two more ratifications are required before it reaches the mandatory 2/3rd number. Like the TFA in goods, India proposed a counterpart agreement in services.

The TFS agreement will address the key issues that are pertinent to facilitating trade in services, such as transparency, streamlining procedures, and eliminating bottlenecks. In brief, the agreement is aimed at ensuring that the market access arising out of existing as well as future liberalization commitments are effective and meaningful.
The session also focused upon 3rd Global Exhibition on Services, to be jointly organised in April 2017 at Greater Noida, by the Ministry of Commerce, Confederation of Indian Industry (CII) and Services Export Promotion Council.