Project Title

FTAAP Capacity Building Workshop on Scheduling of Market Access Commitments in Services Trade and Investment under the 2nd REI CBNI 

Project Year

2016   

Project Number

CTI 02 2016A 

Project Session

Session 1   

Project Type

Standard 

Project Status

Completed Project   
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Project No.

CTI 02 2016A 

Project Title

FTAAP Capacity Building Workshop on Scheduling of Market Access Commitments in Services Trade and Investment under the 2nd REI CBNI 

Project Status

Completed Project 

Publication (if any)

 

Fund Account

APEC Support Fund 

Sub-fund

ASF: Free Trade Area of the Asia-Pacific and Global Value Chains (FTAAP and GVCs) 

Project Year

2016 

Project Session

Session 1 

APEC Funding

99,500 

Co-funding Amount

73,400 

Total Project Value

172,900 

Sponsoring Forum

Committee on Trade and Investment (CTI) 

Topics

Trade Facilitation 

Committee

Committee on Trade and Investment (CTI) 

Other Fora Involved

 

Other Non-APEC Stakeholders Involved

 

Proposing Economy(ies)

Korea 

Co-Sponsoring Economies

China; Japan; Malaysia; Viet Nam 

Expected Start Date

01/06/2016 

Expected Completion Date

31/12/2016 

Project Proponent Name 1

Choi Sung-Yo 

Job Title 1

First Secretary 

Organization 1

International Economic Affairs Bureau, Ministry of Foreign Affairs 

Postal Address 1

60 Sajik-ro 8-gil, Jongno-gu, Seoul, Republic of Korea (110-787) 

Telephone 1

82-2 21007653 

Fax 1

Not Applicable 

Email 1

apeco@mofa.go.kr 

Project Proponent Name 2

Not Applicable 

Job Title 2

Not Applicable 

Organization 2

Not Applicable 

Postal Address 2

Not Applicable 

Telephone 2

Not Applicable 

Fax 2

Not Applicable 

Email 2

Not Applicable 

Declaration

Choi Sung-Yo 

Project Summary

This project consists of a capacity-building workshop, which contributes to the 2nd phase of the Capacity Building Needs Initiative Program, and addresses scheduling in services trade and investment.

Scheduling is regarded as one of the most complicated and technical areas, but one of the increasingly important field in the FTA negotiations. In that sense, it is important to equip today’s FTA negotiators of member economies with good knowledge and skills on scheduling in services trade and investment for the realization of FTAAP.

The workshop will help the capacity building of the government officials who are directly involved in FTA negotiations and trade policy makers by enabling the participants to share their hands-on experiences and the difficulties they have encountered during negotiations and consultations with their own line ministries.

In addition, experts from international organizations, governments and academia will be invited to share their knowledge and expertise in this field. The two-day workshop may cover such topics as the overviews and key elements of market access negotiations and scheduling methods in the services trade and investment chapters of FTAs. Also, more detailed presentations and discussions on scheduling principles and case studies will be conducted. To make the discussions more interactive, participants will be encouraged to share their own experiences.

Relevance

One of the biggest challenges to the realization of the Free Trade Area of the Asia-Pacific (FTAAP) is the widening gap among the APEC member economies in terms of FTA capabilities. To address this gap, 13 capacity-building programs were successfully implemented between 2012 and 2014 as part of the Capacity Building Needs Initiative (CBNI). 

In 2014, APEC Leaders endorsed the Action Plan Framework for the second CBNI to maintain and utilize the momentum created in the first phase of the initiative. The proposed workshop is conducive to the successful implementation of the second phase of the CBNI programs since the proposed workshop deals with trade in services and investment, which are becoming increasingly important in FTA negotiations. 

The workshop will help promote a better understanding among participants and will encourage a rich exchange of views on scheduling in services trade and investment for FTA negotiations among APEC member economies. Detailed discussions on market access negotiations and various scheduling methods will be conducted. In addition, participants will share their experiences and the difficulties they have encountered during consultations with their own line ministries and negotiations as well as how they have overcome those difficulties. 

Given that the APEC Services Cooperation Framework, which was adopted at the last AELM in Manila, mandated us to further intensify the efforts to liberalize services trade and investment and enhance the competitiveness of the services sector of the region, this workshop is expected to greatly contribute to implementing such a mandate.

Objectives

The project consists of a two-day FTAAP capacity-building workshop in Korea, in June 2016, with the following objectives:

a) To help enhance the capacities of FTA negotiators and trade policymakers from APEC’s developing economies in addressing scheduling issues in services trade and investment in FTA negotiations;

b)  To encourage APEC member economies to share their experiences, best practices and views on i) market access negotiations in trade in services and investment,  ii) various methods of scheduling in recent FTAs/RTAs in the region and beyond, iii) the difficulties they encountered during internal consultations and negotiation processes and how they overcame those difficulties; and,

c) To enhance a comprehensive understanding among government officials involved in the negotiation of services trade and investment on the implications of services trade and investment in the today’s global trading environment.

Alignment

a) The second CBNI, under which the proposed workshop will be held, was endorsed in 2014 in the outcome documents of the CSOM, AMM and AELM with broad support from APEC member economies. The second CBNI is, in particular, recognized as one of the activities set forth in the Beijing Roadmap to be undertaken for the realization of the FTAAP. 

b) The second CBNI directly supports closer regional economic integration, a priority for APEC in 2016. 

c) Trade in services was identified as one of the sectors that need to be addressed in the Action Plan Framework for the second CBNI.

TILF/ASF Justification

This project is being pursued under the Capacity Building Needs Initiative (CBNI), which is included in the Beijing Roadmap as one of the projects which aims to further enhance the negotiating capacity of developing economies. Majority of the participants in the workshop will be from developing economies, and are currently engaged or will be engaged in the future negotiation of regional or mega-regional FTAs. The participants will be able to be equipped with necessary professional knowledge and technical skills to address the main challenges from the proposed workshop. 

Therefore, the project is expected to greatly contribute to the capacity building needs of APEC developing economies. Especially, given that the theme of the proposed workshop is “scheduling of market access commitments in trade in services and investment”, which is deemed one of the most complicated areas in the FTA negotiations, it is believed that the project will have a greater impact on developing economies in terms of capacity building.  In addition, APEC developing economies will play a pivotal role in the organization of this workshop through active participation of the FTA negotiators and policy makers. We plan to invite  speakers from developing economies to encourage the sharing of best practices on how to address the challenges in carrying out market access negotiations in services trade and investment.

Beneficiaries and Outputs

Outputs: The project will be implemented through a two-day capacity building workshop to be held in Seoul, June 27-28 in 2016.  Presentations and outcomes from the workshop will be compiled into a report, allowing lessons learnt to be disseminated through electronic means more broadly within APEC economies.  The organizers will upload the report which focuses on the following themes to the APEC Project Database website: 

-  Implications of services trade and investment in today’s global economy;

-  Recent discussions on investment liberalizations;

-  Basic structure of WTO GATS and how to make specific commitments in services negotiations;

- How to list non-conforming measures in the negative list approach in services trade negotiations; and

- Sharing of experiences in overcoming challenges in listing non-conforming measures.

Outcomes: The participants will have greater understandings on the market access negotiations in services trade and investment after attending the workshop. As a result, based on the deeper knowledge and experiences on this area, the policy makers and trade negotiators of the region will have much more informed decisions related to market access negotiations in services trade and investment.   Moreover, trade negotiators and researchers who have not attended the workshop may have benefits from the workshop by reading the presentation materials disseminated.

BeneficiariesThe direct project participants will be FTA negotiators and trade policy makers from APEC economies, who will benefit from the project in terms of enhanced technical knowledge and ability to prepare for and engage in FTA negotiations.  In addition, the possible organizers of CBNI programs, will be potential participants of the workshop. For example, Japanese government is keen on organizing capacity building workshops, and showed interest in sending their experts to the proposed workshop, in order to have a learning experience on how to organize CBNI workshop. 

Given that the workshop focuses on learning professional knowledge and technical skills for the market access negotiations in services trade and investment, and that an active role from the participants in the workshop is required in order for the successful outcome of the workshop, it is recommended that participants have some basic knowledge about the WTO General Agreement on Trade in Services and basic structure of services negotiations in RTAs/FTAs. The PO will evaluate the qualifications of prospective participants for the workshop and will decide whether the candidates have enough knowledge or background in trade negotiations or policy areas in the services trade and investment. 

Users of the outputs will be negotiators and trade officials, including those not able to attend the capacity building workshop, who will be able to draw on the report of the workshop and a compilation of workshop materials in their preparation for FTA negotiations.  The outcome report will include (a) implications of services trade and investment in today’s global economy, (b) recent discussions on investment liberalizations, (c) how to make specific commitments in services negotiations in terms of positive list approach and how to list non-conforming measures in the negative list approach in services trade negotiations, and (d) sharing of experiences in overcoming challenges in listing non-conforming measures. 

In addition, this workshop will serve as an open and informal dialogue for exchange of views among seasoned experts from academia and international organizations, to identify challenges and current trend in trade negotiations on services and investment. As experts from the WTO Secretariat and UNCTAD Secretariat will participate in the workshop, together with a renowned scholar in trade in services, we expect the workshop will provide the academia and experts of global trade arena with another valuable opportunity for enriched discussions on current landscapes in trade in services and investment.

Dissemination

The workshop’s outcomes will be presented to CTI 3 as well as to GOS and IEG for information.  In addition, the workshop report (which will include presentations and a summary of proceedings) will be made available on line at the APEC project data base through the assistance of the APEC Secretariat. 

The organizer will make publicly available the presentation material and the outcome report at the website of the Ministry of Foreign Affairs of the Republic of Korea. 

The target audience will be trade policy officials from APEC economies working on FTAs, including researchers and analysts, negotiators, coordinators and legal advisers. There is no intention to sell outputs arising from this project.

Gender

Women will be directly involved in the project in every process of the project. The project proponents are women and the participation of female speakers will be encouraged from developing the workplans of the proposed workshop. 

Moreover, this capacity building workshop is believed to contribute to enhancing knowledge of both women and men who are involved in the FTA negotiations and policy planning in trade in services and investment. PO will encourage APEC economies to consider recommending qualified female candidates for participation in the workshop, not discriminating male candidates. 

In general, as more than majority of CBNI workshop participants have been women for the past several years, we are quite sure that the project will greatly benefit female trade negotiators and policy makers and those female officials will have better chances of representing the delegation in the future FTA negotiations through the accumulated learning and experiences.  In the long run, those female officials will have better chances of making a great contribution to the regional economic integration of the Asia Pacific region. The female officials’ perspectives will be embedded in the workshop from the initiation phase to the implementation and evaluation stages.

Work Plan

The following timeline of actions is planned: 

CTI 1 2016: Project oversee will develop the draft program and give a brief presentation of the workshop.

May 30 2016: Project overseer will finalize workshop program and speakers and ask the APEC economies to nominate the participants for the workshop. Information note will be provided to prospective participants. (The draft program of the proposed workshop will be listed below. In developing the draft program, PO inserted a session on simulation game, reflecting the comments from APEC economies in the evaluation of the 1st phase of CBNI programs that more efforts need to be made to make the workshops more interactive ones.) 

June 27-28 2016: Conduct a two day workshop in Seoul that aims to enhance trade policy capacity of APEC economies by sharing knowledge and expertise for scheduling of commitments in market access negotiations in services trade and investment in FTA negotiations.

CTI 3 2016: PO will briefly report the outcome of the CBNI workshop.

Draft Program: Market Access Commitments in Services Trade and Investment

June 27-28, 2016, Seoul, Republic of Korea

Master of Ceremony & Moderation: Prof. Hankyoung Sung, School of Economics, University of Seoul

Day 1 (June 27)

Monday

9:30 am – 10:00 am

Arrival/Registration/Coffee

10:00 am – 10:20 am

Welcoming Remarks/Photo Session

Ambassador Lee Taeho, Deputy Minister for Economic Affairs,

Ministry of Foreign Affairs, Republic of Korea

10:20 am – 10:30 am

Introduction/Overview of Workshop

Prof. Hankyoung Sung, School of Economics, University of Seoul

Session 1

10:30 am – 12:30 am

Understanding the Importance of Service and Investment in APEC

-  Mr. Bernard Hoekman (European University Institute)

-  UNCTAD Secretariat(TBC)

The first session will offer an introductory framework for the day 1 discussions, including the increasing importance of service trade and investment in today’s global economic environment, including the role of services in the development of Global Value Chains. Structural reform in services and investment regime may be touched upon in the discussions. 

General Discussions (Questions & Answers with Participants)

12:30 am – 2:00 pm

Luncheon

Session 2

2:00 am – 3:20 pm

WTO Service Negotiations

Ruosi Zhang, Trade in Services Division, WTO Secretariat (Tentative)

Overview of GATS and negotiations in trade in services

The second session will then provide an overview of the WTO service negotiations so as to enhance understanding on the basic framework of trade negotiations on services and GATS. The speakers and discussants will touch upon the key characteristics, including history and major issues of the DDA negotiations and TiSA (Trade in Service Agreement) that is being discussed among some economies.

Services classification issues

Recent developments in services classification as well as the relations between the CPC and W/120 will be presented. In particular, the importance of well-crafted services classification system in the market access negotiations in services trade will be discussed.

Investment-related issues in the WTO Agreements

-  TRIMS Agreement and beyond

Overview of the TRIMS Agreement and recent discussions on developing multilateral investment rules will be discussed. The major contents of the TRIMS Agreement and comparisons of the TRIMS Agreement in relation to the FTA Investment chapter will be discussed.

General Discussions (Questions & Answers with Participants)

3:20 pm – 3:50 pm

Coffee Break

Session 3

3:50 pm – 4:50 pm

Making market access commitments (Positive List Approach)

TBC, Expert of the WTO Secretariat

The third session will focus on how to list the market access commitment in trade in services. An expert from the WTO Secretariat will present basic principles and challenges as well as contentious issues in making market access commitments. 

General Discussions (Questions & Answers by the Participants)

4:50 pm – 5:00 pm

Wrap- up and Overview of Day 1

Prof. Hankyoung Sung, School of Economics, University of Seoul

6:30pm – 8:30 pm

Welcome Dinner (Hosted by Ambassador Lee Taeho)

Day 2 (June 28)

Tuesday

8:30 am– 9:00 am

Arrival/Registration/Coffee

9:00 am – 9:10 am

Introduction

Prof. Hankyoung Sung, School of Economics, University of Seoul

Session 4

9:10 am – 11:10 am

Listing up non-conforming measures (negative list approach)

Mr. Tom Fine, Senior Director for Services, USTR (Tentative)

Mr. Guillermo Malpica, Director General for Int’l Services and Investment, Ministry of Economy, Mexico (Tentative)

A trade negotiator from APEC economies, who have plenty of experiences in negotiations using negative list approach will present architecture, basic methodology, underlying logic and examples of the negative list approach. Experiences on the preparation process of annexes on non-conforming measures will be shared and ways to overcome challenges will be discussed. Pros and cons on positive list approach or negative list approach will be discussed as well.

General Discussions (Questions & Answers by Participants)

11:10 am – 11:30 am

Coffee Break

Session 5

11:30 am – 1:00 pm

Discussions and Sharing Experience of APEC members

Led by Dr. Chung Chul (KIEP) and Prof. Hankyoung Sung

The fifth session will consist of two main activities. Firstly, four or five participants will share their experiences and lessons learned in market access negotiations in service trade and investment. 

Secondly, participants will be engaged in a policy experiment on negotiations. They would be involved in simulation games mimicking real negotiations and would be small- prized by their performance in experiments. The experiments will help the participants to enhance their negotiating techniques and communication skills.

General Discussions (Questions & Answers by Participants)

1:00 – 1:10 pm

Wrapping Up and Evaluations

1:10 pm – 2:00 pm

Luncheon

Risks

Risk

Risk Management Strategy

Low interest

Announcements have been made several times and will be made afterwards on the workshop at the Committee on Trade and Investment 2 and Senior Officials’ Meeting 2 in 2016. Bilateral contact will also be utilized to make sure that enough interest is gathered for the workshop.

Duplication of work of other fora

Co-sponsors will be consulted on agenda and speakers to ensure relevance.

Unable to collate workshop materials/ speakers do not provide presentations

Engagement with speakers will ensure they understand the importance of providing copies of presentations and speaking notes to enable collation of workshop materials.  Ensure accurate and timely reporting of workshop outcomes at the workshop itself.

Unable to organize workshop on the proposed dates of June 27-28

Administrative circular of the proposed workshop will be circulated by the end of May, including the list of speakers. Early identification of speakers will be beneficial to the organization of the workshop as well as the broad participation from APEC economies.

Monitoring and Evaluation

The organizer will collect comments from all the APEC economies on the draft workshop agenda, selection of speakers, experts and participants for the workshop.  The project will also adhere strictly to APEC project implementation procedures, including the timeline and budget. 

Survey forms will be distributed to workshop participants as well as the speakers to assess the effectiveness and quality of the workshop with regard to the relevance on the topics, presentation by speakers, overall impact and suggestions for further improvement and/or activities for future projects. The report and all the documents of the capacity building workshop will be made available to the participants and the APEC member economies through the APEC project database website. 

Participants’ views will be taken into account in the preparation of materials for dissemination and the project completion report, which will be provided to the CTI and APEC Secretariat. 

The main indicators of the success of the project are: 

The number of economies participating in the workshop

(the number of developing economies participating in the workshop)

11 (8)

The number of participants in the workshop

25

The share of female participants in this workshop

40%

Linkages

We will seek to invite speakers from a broad range of organizations such as the UNCTAD and the WTO experts as well as from member economies’ governments. World renowned scholars will be sought to participate in the workshop as a speaker. We believe that workshop will promote collaboration between APEC and these non-APEC stakeholders by inviting speakers from those organizations. 

Cross-fora work between the GOS(Group on Services), the IEG(Investment Experts’ Group) and the CTI will be promoted, as the workshop deals with both services trade and investment field as well as interactions between those issues. The outcome of the report will be circulated to both the GOS and the IEG and the invitation will be also sent to those groups for possible participation in the workshop. Building on the experiences of sharing information and challenges on negotiations in services trade and investment, both the CTI and the other groups, namely the GOS and the IEG, will be benefited by such a cross-for a work. 

The proposed workshop will not duplicate the contents of the workshop that is to be held by Peru in Lima at the margin of SOM3, given that the latter will cover various chapters in the services negotiations, such as the financial services chapter and telecommunications services chapter, under the negative list approach, while the former will deal with scheduling issues more specifically. 

APEC is the funding source for this project because one of the long held visions of the APEC is the regional economic integration and the regional economic integration is carried out through an extensive network of FTAs/RTAs and through the conclusion of mega FTAs. The APEC is well positioned to provide the funding for this workshop, as it is implementing the APEC REI CBNI Framework, the goal of which is to prepare APEC economies to equip with the necessary knowledge and technical skills to better cope with challenges in the FTA/RTA negotiations. The result of the workshop will enhance the capacity of the APEC negotiators in the relevant fields and contribute to the achievement of the regional economic integration.

Sustainability

Workshop presentations and outcomes will be compiled, in a bid to distribute the workshop materials more broadly within their economies. The compilation of related documents will serve as a good education material for new FTA negotiators as well as a reference for policy makers to make an informed decision in services trade and investment liberalization and facilitation. 

All the materials will also be made available via the APEC website, APEC Project Database. Evaluation questionnaires will invite workshop participants to provide feedback, including on possible future activities that could be developed under the framework of the REI CBNI Action Plan Framework. 

After the workshop, Korea may develop a follow-up workshop/activity in collaboration with the co-sponsors such as China, Malaysia, Japan and Vietnam on trade in services and investment. Other economies who are interested in such subject matters are also encouraged to organize the workshops, as a continuity of dialogues in these areas.

Project Overseers

The project will be overseen by Ms. Sung-yo Choi. She is working for the Regional Economic Organization Division of the Ministry of Foreign Affairs of Korea since August 2015. Before joining the division, Ms. Choi worked for the Mission of Korea to Geneva, responsible for trade in services, IPRs, and government procurement negotiations. Before coming to Geneva, Ms. Choi worked for the multilateral trade bureau and the FTA bureau of the Ministry, where she was directly involved in the services trade negotiations, both bilaterally and multilaterally. 

Ms. Hyun-sook Nam (hsnam13@mofa.go.kr) is the alternative contact point for this project. She is working at the Regional Economic Organization Division of the Ministry of Foreign Affairs of Korea.

Cost Efficiency

Not Applicable

Drawdown Timetable

Not Applicable.

Direct Labour

Not Applicable.

Waivers

Not Applicable.

Are there any supporting document attached?

No 
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Project No.

Project Title

Project Status

Publication (if any)

Fund Account

Sub-fund

Project Year

Project Session

APEC Funding

Co-funding Amount

Total Project Value

Sponsoring Forum

Topics

Committee

Other Fora Involved

Other Non-APEC Stakeholders Involved

Proposing Economy(ies)

Co-Sponsoring Economies

Expected Start Date

Expected Completion Date

Project Proponent Name 1

Job Title 1

Organization 1

Postal Address 1

Telephone 1

Fax 1

Email 1

Project Proponent Name 2

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Fax 2

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Declaration

Project Summary

Relevance

Objectives

Alignment

TILF/ASF Justification

Beneficiaries and Outputs

Dissemination

Gender

Work Plan

Risks

Monitoring and Evaluation

Linkages

Sustainability

Project Overseers

Cost Efficiency

Drawdown Timetable

Direct Labour

Waivers

Are there any supporting document attached?

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Reprogramming Notes

Consolidated QAF

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PD Sign Off

Batch

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