New Disciplines on Good Regulatory Practice for Services Trade Enter into Force for some World Trade Organization (WTO) members

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The new disciplines on services domestic regulation, announced at WTO’s 13^th Ministerial Conference in Abu Dhabi, have been negotiated under the General Agreement on Trade in Services (GATS).
- GATS, entered into force in 1995 as a result of Uruguay Round Negotiations, is a legally binding WTO treaty covering international trade in services.
Disciplines aim to ensure that qualification requirements and procedures, technical standards and licensing requirements do not constitute unnecessary barriers to trade in services.
- Disciplines are binding only on those WTO members who inscribe them into their GATS schedules.
- India, although a member of GATS, is yet to commit to new disciplines.
- Developing economies that adopt the disciplines can delay the application of specific provisions in sectors where they face implementation difficulties for up to 7 years.

Significance of the disciplines
- Will reduce trade costs in services with overall savings of USD 127 billion.
- Reduction in costs of business startup procedures
- Broader financial inclusion and boost to participation in global value chains

Benefits to India: Disciplines will be applied on a “most-favoured nation” principle, and will benefit all WTO members including India.
- Potential benefits to India include market access, boost in services exports, competitiveness in global services market, conducive environment for MSMEs etc.