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Access to Services in the EU Market: With Specific Focus on Movement of Natural Persons

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Abstract

This paper examines the opportunities and challenges faced by service providers from India when supplying services through the movement of skilled professionals (Mode 4) to the European Union. Despite several efforts of liberalization of services through Mode 4 by EU, the paper observes that EU Members maintain several restrictive measures impacting non-EU nationals. This paper assesses some of these barriers and makes some recommendations that India could consider during its negotiations with the EU in order to achieve meaningful market access.

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Notes

  1. 1.

    World Bank, ‘World Development Indicators: Structure of output’. http://wdi.worldbank.org/table/4.2#, accessed 4 November 2016.

  2. 2.

    General Agreement on Trade in Services, Annex on Movement of Natural Persons Supplying Services under the Agreement (15 April 1994) 1869 U.N.T.S. 183.

  3. 3.

    World Trade Organization (2009, para 49).

  4. 4.

    Ibid., para 43.

  5. 5.

    Ibid., para 74.

  6. 6.

    Ministry of Finance, Government of India (2016).

  7. 7.

    Ibid.

  8. 8.

    European Commission, ‘India—Trade—European Commission’. http://ec.europa.eu/trade/policy/countries-and-regions/countries/india/, accessed 4 November 2016.

  9. 9.

    Ibid.

  10. 10.

    EuroStat, ‘International trade in services’. http://ec.europa.eu/eurostat/statistics-explained/index.php/International_trade_in_services, accessed 4 November 2016.

  11. 11.

    Ibid.

  12. 12.

    Ibid.

  13. 13.

    European Union, ‘Member countries of the EU’. https://europa.eu/european-union/about-eu/countries_en#on-the-road-to-eu-membership, accessed 4 November 2016.

    Note: EU will comprise of 27 countries if the UK leaves pursuant to the UK Referendum on leaving their membership to the European Union—Brexit impact.

  14. 14.

    EU Immigration Portal, ‘Germany’. http://ec.europa.eu/immigration/what-do-i-need-before-leaving/germany/worker/highly-qualified-worker_en#, accessed 7 November, 2016.

  15. 15.

    Hercog and Wiesbrock (2012).

  16. 16.

    See Footnote 14.

  17. 17.

    See Footnote 15.

  18. 18.

    OECD STRI, ‘France’. http://www.oecd.org/tad/services-trade/STRI_FRA.pdf, accessed 7 November, 2016.

  19. 19.

    OECD STRI, ‘Germany’. http://www.oecd.org/tad/services-trade/STRI_DEU.pdf, accessed 7 November 2016.

  20. 20.

    Ministry of External Affairs, Government of India (2001).

  21. 21.

    OECD STRI, ‘United Kingdom’. http://www.oecd.org/tad/services-trade/STRI_GBR.pdf, accessed 7 November 2016.

  22. 22.

    Ibid.

  23. 23.

    Home Office and The Rt Hon James Brokenshire (2016).

  24. 24.

    UK Visas and Immigration (2016).

  25. 25.

    It should be noted that EC’s Revised Offer dated 29 June, 2005 is only in respect of 25 countries of the EC, and does not include the more recent accessions by Bulgaria and Romania. In respect of the EC 27, no further revisions to the 2005 Revised Offer have been made as yet.

  26. 26.

    World Trade Organization (2009, para 26).

  27. 27.

    World Trade Organization, ‘Movement of natural persons’. https://www.wto.org/english/tratop_e/serv_e/mouvement_persons_e/mouvement_persons_e.htm, accessed 23 November, 2016.

  28. 28.

    Ibid.

  29. 29.

    EU—Canada Comprehensive Economic and Trade Agreement (CETA), art 7—relevance?, Chap. 10.

Abbreviations

BV:

Business Visitors

CARIFORUM:

Caribbean Forum

CETA:

EU—Canada Comprehensive Economic and Trade Agreement

CSS:

Contractual Service Supplier

EEA:

European Economic Area

ENT:

Economic Needs Test

EQF:

European Qualifications Framework for lifelong learning

EU:

European Union

FTA:

Free Trade Agreement

GATS :

General Agreement on Trade in Services

GATT:

General Agreement on Tariffs and Trade

ICT:

Intra-Corporate Transferee

IP:

Independent Professional

LDC:

Least Developed Country

MAC:

Migration Advisory Committee

MR:

Mutual Recognition

OECD:

Organisation for Economic Co-operation and Development

STRI:

Service Trade Restrictions Index

U.K.:

United Kingdom

WTO :

World Trade Organization

References

  • Ministry of External Affairs, Government of India. (2001). Report of the high level committee on the Indian diaspora (Chap. 11, p. 138).

    Google Scholar 

  • Ministry of Finance, Government of India. (2016, February, 26). Economic survey 2015–16: Services sector remains the key driver of economic growth contributing almost 66.1% in 2015–16. Press Information Bureau.

    Google Scholar 

  • Hercog, M., & Wiesbrock, A. (2012). Making Europe more attractive to Indian highly-skilled migrants?. CARIM-India Research Report.

    Google Scholar 

  • Home Office and The Rt Hon James Brokenshire. (2016, March, 24). Visa changes to reduce reliance on foreign workers. https://www.gov.uk/government/news/visa-changes-to-reduce-reliance-on-foreign-workers. Accessed November 7, 2016.

  • UK Visas and Immigration. (2016, November, 3). Changes to the immigration rules. https://www.gov.uk/government/news/changes-to-the-immigration-rules. Accessed November 7, 2016.

  • World Trade Organization. (2009, September, 15). Presence of natural persons (Mode 4). Background Note by the Secretariat, S/C/W/301.

    Google Scholar 

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Correspondence to R. V. Anuradha .

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Anuradha, R.V., Ray, R. (2019). Access to Services in the EU Market: With Specific Focus on Movement of Natural Persons. In: Singh, M., Cremer, W., Kumar, N. (eds) Open Markets, Free Trade and Sustainable Development. Springer, Singapore. https://doi.org/10.1007/978-981-13-7426-5_11

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  • DOI: https://doi.org/10.1007/978-981-13-7426-5_11

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