RESTRICTED  WORLD TRADE  
ORGANIZATION  WT/ACC/SPEC/VUT/8/Add.2 
3 November 2010 
 (10-5842) 
Working Party on the 
Accession of Vanuatu Original:   English 
 
 
 
DRAFT REPORT OF THE WORKING PARTY ON  
THE ACCESSION OF VANUATU  
 
Draft Schedule – Vanuatu  
 
Part II – Draft Schedule of Specific Commitments on Services 
List of Article II MFN Exemptions 
 
Addendum  
  
 As indicated in paragraph [139] of the Draft Report of the Working Party on the Accession of 
Vanuatu (WT/ACC/SPEC/VUT/8), the Draft Schedule of Specific Commitments on Services resulting from the negotiations between Vanuatu and WTO Members will be annexed to the Protocol 
of Accession of Vanuatu and is reproduced hereunder. 
 
  
_______________ 
   
  WT/ACC/SPEC/VUT/8/Add.2 
Page 2 Modes of Supply :  (1)  Cross-border Supply  (2)  Consumption abroad  (3) Commercial Presence  (4) Presence of Natural Persons 
Sector Limitations of Market Access Limitations  on National Treatment Additional commitments 
I. HORIZONTAL COMMITMENTS 
All sectors included in this schedule (3)  Government approval is required for 
all foreign investors under Foreign Investment Act No. 15 of 1998 and 
its Amendments in effect as of 
the date of accession.
1  The decision 
is made on objective published 
criteria. 
  
(4) Unbound except for measures 
affecting the entry and temporary stay of natural persons with 
managerial and technical skills 
which are in short supply in Vanuatu or fall within the following 
categories: 
 
 i. business managers  
 ii.  intracorpor ate transferees 
(Managers, executives and 
specialists, who are employees 
of firms that provide services within Vanuatu through a 
branch, subsidiary or affiliate 
established in Vanuatu) 
 iii. professionals under 
employment contract Vanuatu 
provides entry in accordance with the terms established under 
the Labour (Work Permits) Act 
and its Amendments in effect as of the date of accession for (3)  Subject to limitation on purchase of 
real estate. 
 
The Vanuatu Constitution prohibits 
freehold ownership of land.  Indigenous Ni-Vanuatu alone can own land under 
customary law provisions.  Indigenous 
citizens and expatriates can hold land in leasehold.  
                                                      
1 The Government of Vanuatu currently requires foreigners to invest a minimum of US$40,000 (VT 5 million) in order to establish a business in Vanuatu.  Vanuatu 
reserves the right to raise this minimum in line with general cost increases.  
   WT/ACC/SPEC/VUT/8/Add.2
 Page 3Modes of Supply :  (1)  Cross-border Supply  (2)  Consumption abroad  (3) Commercial Presence  (4) Presence of Natural Persons 
Sector Limitations of Market Access Limitations  on National Treatment Additional commitments 
   bona fide  business visitors and 
service sellers2.  These terms will 
not be made more restrictive, 
except in accordance with 
the provisions of the General Agreement on Trade in Services 
(GATS).   
                                                      
2 Service sellers are defined for the purpose of this offer as natural persons who are seeking te mporary entry for the purpose o f negotiating for the sale of services for that 
service supplier, where those representatives will not be engaged in making direct sales to the general public.  
  WT/ACC/SPEC/VUT/8/Add.2 
Page 4 Modes of Supply :  (1)  Cross-border Supply  (2)  Consumption abroad  (3) Commercial Presence  (4) Presence of Natural Persons 
Sector Limitations of Market Access Limitations  on National Treatment Additional commitments 
II. SECTOR SPECIFIC COMMITMENTS 
1. BUSINESS SERVICES 
A. Professional Services 
(a) Legal services, home and host 
country law, including international law 
 (CPC 861) (1) Supply must be through a domestic 
law firm 
(2) None 
(3) Commercial presence must take the 
form of sole proprietorship or partnership. 
(4) Unbound, except as indicated in 
the horizontal section (1) None 
 (2) None 
(3) None 
  
(4) Unbound, except as indicated in 
the horizontal section  
(b)   Accounting, auditing and 
bookkeeping services 
 (CPC 862) (1) None  
(2) None 
(3) None  
(4) Unbound, except as indicated in 
the horizontal section (1) None  
(2) None 
(3) None  
(4) Unbound, except as indicated in 
the horizontal section  
(d) Architectural services  
 (CPC 8671) (1) None  
(2) None 
(3) None  
(4) Unbound, except as indicated in 
the horizontal section (1) None  
(2) None 
(3) None  
(4) Unbound, except as indicated in 
the horizontal section  
(e) Engineering services 
 (CPC 8672) (1) None  
(2) None 
(3) None  
(4) Unbound, except as indicated in 
the horizontal section (1) None  
(2) None 
(3) None  
(4) Unbound, except as indicated in 
the horizontal section  
(i) Veterinary services 
 (CPC 932) (1) None  
(2) None 
(3) None  (4) Unbound, except as indicated in 
the horizontal section (1) None  
(2) None 
(3) None  (4) Unbound, except as indicated in 
the horizontal section  
B. Computer and Related Services 
 (CPC 84) (1) None  
(2) None (3) None  
(4) Unbound, except as indicated in 
the horizontal section (1) None  
(2) None (3) None  
(4) Unbound, except as indicated in 
the horizontal section   
   WT/ACC/SPEC/VUT/8/Add.2
 Page 5Modes of Supply :  (1)  Cross-border Supply  (2)  Consumption abroad  (3) Commercial Presence  (4) Presence of Natural Persons 
Sector Limitations of Market Access Limitations  on National Treatment Additional commitments 
F. Other Business Services 
(c) Management consulting services 
(CPC 865) (1) None  
(2) None (3) None  
(4) Unbound, except as indicated in 
the horizontal section (1) None  
(2) None (3) None  
(4) Unbound, except as indicated in 
the horizontal section  
(f) Services incidental to agriculture, 
hunting and forestry  
(CPC 88110, 88120) (1) None  
(2) None 
(3) None  
(4) Unbound, except as indicated in 
the horizontal section (1) None  
(2) None 
(3) None  
(4) Unbound, except as indicated in 
the horizontal section  
2. COMMUNICATION SERVICES 
Commitments are taken consistent with "Notes for Scheduling Basi c Telecom Services Commitments" (S/GBT/W/2/Rev.1) and "Market A ccess Limitations on Spectrum 
Availability" (S/GBT/W/3). 
B. Courier Services (1) None  
(2) None (3) None  
(4) Unbound, except as indicated in 
the horizontal section (1) None  
(2) None (3) None  
(4) Unbound, except as indicated in 
the horizontal section  
C. Telecommunication Services 
 
 (1), (2), (3) None, from 1 January 2012   
(4) Unbound, except as indicated in 
the horizontal section (1), (2), (3) None, from 1 January 2012   
(4) Unbound, except as indicated in 
the horizontal section Vanuatu undertakes the obligations 
contained in the attached Reference Paper 
at the end of the monopoly period. 
(a) Voice telephone services (b) Packet-switched data transmission 
services 
(c) Circuit-switched data transmission 
services 
(d) Telex services 
(e) Telegraph services (f) Facsimile services 
(g) Private leased circuit services (1) None 
(2) None 
(3) Unbound until 31 December 2011 as 
provided by a monopoly by Telecom Vanuatu Limited.  Starting no later 
than 1 January 2012:  None 
(4) Unbound, except as indicated in 
the horizontal section (1) None 
(2) None 
(3) After 1 January 2012:  None 
  
 
(4) Unbound, except as indicated in 
the horizontal section Vanuatu undertakes the obligations 
contained in the attached Reference Paper 
at the end of the monopoly period.  
  WT/ACC/SPEC/VUT/8/Add.2 
Page 6 Modes of Supply :  (1)  Cross-border Supply  (2)  Consumption abroad  (3) Commercial Presence  (4) Presence of Natural Persons 
Sector Limitations of Market Access Limitations  on National Treatment Additional commitments 
(h) Electronic mail 
(i) Voice mail (j) On-line information and data base 
retrieval 
(k) Electronic data interchange (l) Enhanced/value-added facsimile 
services (including store and 
forward, store and retrieve) 
(m) Code and protocol conversion 
(n) On-line information and/or data 
processing (including transaction processing) (1) Services provided only over circuits 
leased from Telecom Vanuatu Limited.  Starting no later than 
1 January 2012:  None 
(2) None (3) Services provided only over circuits 
leased from Telecom Vanuatu 
Limited.  Starting no later than 1 January 2012:  None 
(4) Unbound except as indicated in 
the horizontal section (1) After 1 January 2012:  None 
  
 
(2) None (3) After 1 January 2012:  None 
 
  
(4) Unbound except as indicated in 
the horizontal section  
(o) Other 
 
 Mobile services Analogue/Digital 
cellular services PCS (Personal 
Communications Services) Paging 
services Mobile data services (1) Services provided only over circuits 
leased from Telecom Vanuatu 
Limited.  Starting no later than 1 January 2012:  None 
(2) None 
(3) Services provided only over circuits 
leased from Telecom Vanuatu 
Limited.  Starting no later than 1 January 2012:  None 
(4) Unbound except as indicated in 
the horizontal section. (1) After 1 January 2012:  None 
 
  
(2) None 
(3) After 1 January 2012:  None. 
 
  
(4) Unbound except as indicated in 
the horizontal section.  
D. Audiovisual 
(a) Motion picture and videotape 
production and distribution services  
 (CPC 9611) (1) None 
(2) None 
(3) None 
  
(4) Unbound, except as indicated in 
horizontal section (1), (2), (3)  None, except unbound for 
support programmes established and 
funded by the Government of 
Vanuatu to preserve or promote the cultural identity of Vanuatu 
(4) Unbound, except as indicated in 
horizontal section   
   WT/ACC/SPEC/VUT/8/Add.2
 Page 7Modes of Supply :  (1)  Cross-border Supply  (2)  Consumption abroad  (3) Commercial Presence  (4) Presence of Natural Persons 
Sector Limitations of Market Access Limitations  on National Treatment Additional commitments 
3.  CONSTRUCTION AND RELATED ENGINEERING SERVICES 
A.   General construction work for 
buildings  
 (CPC 512) (1) Unbound∗ 
(2) None 
(3) None except brick layers, electrician, 
painters and decorators, jobbing plumbers, masons, plumbers, 
welders, fitters, turners or other 
artisans where the number of full 
time employees in the parent 
company is less than 7 
(4) Unbound, except as indicated in 
the horizontal section (1) None 
(2) None (3) None 
 
  
 
  
(4) Unbound, except as indicated in 
the horizontal section  
B. General construction for civil 
engineering  
 (CPC 513) (1) Unbound* 
(2) None (3) None  
(4) Unbound, except as indicated in 
the horizontal section (1) None 
(2) None (3) None 
(4) Unbound, except as indicated in 
the horizontal section  
4.  DISTRIBUTION SERVICES 
A. Commission agents' services   
 (CPC 621) (1) None 
(2) None 
(3) None, except for licensing 
 requirements  
 
  
(4) Unbound, except as indicated in 
the horizontal section (1) None 
(2) None 
(3) Non-citizens and non-resident 
foreign investors must pay an additional annual fee of VT 91,800 
and must have received an approval 
certificate from the Vanuatu Investment Promotion Authority.   
(4) Unbound, except as indicated in 
the horizontal section In accordance with the Foreign Investment 
Act of 1998, approva l certificates are 
issued by the Vanuatu Investment 
Promotion Authority in a transparent and automatic manner 
B. Wholesale trade services 
 (CPC 622) (1) None 
(2) None 
(3) Unbound  
 
  
 
(4) Unbound, except as indicated in 
the horizontal section (1) None 
(2) None 
(3) Non-citizens and non-resident 
foreign investors must pay an 
additional annual fee of VT 91,800 
and must have received an approval certificate from the Vanuatu 
Investment Promotion Authority 
(4) Unbound, except as indicated in 
the horizontal section In accordance with the Foreign Investment 
Act of 1998, approva l certificates are 
issued by the Vanuatu Investment Promotion Authority in a transparent and 
automatic manner 
                                                      
∗ Unbound due to lack of technical feasibility.  
  WT/ACC/SPEC/VUT/8/Add.2 
Page 8 Modes of Supply :  (1)  Cross-border Supply  (2)  Consumption abroad  (3) Commercial Presence  (4) Presence of Natural Persons 
Sector Limitations of Market Access Limitations  on National Treatment Additional commitments 
C. Retailing services 
 (CPC 631, 632, 6111, 6113, 6121) (1) None 
(2) None (3) Unbound 
 
  
 
 (4) Unbound, except as indicated in 
the horizontal section (1) None 
(2) None (3) Non-citizens and non-resident 
foreign investors must pay an 
additional annual fee of VT 91,800 and must have received an approval 
certificate from the Vanuatu 
Investment Promotion Authority 
(4) Unbound, except as indicated in 
the horizontal section In accordance with the Foreign Investment 
Act of 1998, approva l certificates are 
issued by the Vanuatu Investment Promotion Authority in a transparent and 
automatic manner. 
D. Franchising services 
 (CPC 8929) (1) None 
(2) None (3) None 
(4) Unbound, except as indicated in 
the horizontal section (1) None 
(2) None (3) None 
(4) Unbound, except as indicated in 
the horizontal section  
5.  EDUCATIONAL SERVICES 
 (CPC 921-929) (1) None 
(2) None 
(3) None except services funded from 
state resources, and subject to 
approval by the Government of 
Vanuatu to ensure adequate standards of qualification of 
individuals and of organisations  
(4) Unbound, except as indicated in 
the horizontal section (1) None 
(2) None 
(3) None except services funded from 
state resources 
 
  
 
(4) Unbound, except as indicated in 
the horizontal section  
6.   ENVIRONMENTAL SERVICES 
 940 (CPC 1-3) (1) None 
(2) None 
(3) None, except that provision of the 
service at the Central or local level 
may be subject to public monopoly 
or exclusive rights granted to private operators, through for instance 
concession contracts 
(4) Unbound, except as indicated in 
the horizontal section (1) None 
(2) None 
(3) None, except that provision of the 
service at the Central or local level 
may be subject to public monopoly 
or exclusive rights granted to private operators, through for instance 
concession contracts 
(4) Unbound, except as indicated in 
the horizontal section   
   WT/ACC/SPEC/VUT/8/Add.2
 Page 9Modes of Supply :  (1)  Cross-border Supply  (2)  Consumption abroad  (3) Commercial Presence  (4) Presence of Natural Persons 
Sector Limitations of Market Access Limitations  on National Treatment Additional commitments 
7.  FINANCIAL SERVICES 
A. All insurance and related services 
(CPC 812) (1) None 
(2) None (3) None 
(4) Unbound, except as indicated in 
horizontal section (1) None 
(2) None (3) None 
(4) Unbound, except as indicated in 
horizontal section  
B. Banking and other related services  
 (CPC 811-813) (1) None 
(2) None  
(3) Banks must comply with provisions 
of relevant banking legislation 
(4) Unbound, except as indicated in 
horizontal section (1) None 
(2) None 
(3) None 
 (4) Unbound, except as indicated in 
horizontal section  
8. HEALTH RELATED AND SOCIAL SERVICES 
A. Hospital services  
 (CPC 9311) (1) None 
(2) None (3) None, except services funded from 
state resources 
(4) Unbound, except as indicated in 
the horizontal section (1) None 
(2) None (3) None, except services funded from 
state resources 
(4) Unbound, except as indicated in 
the horizontal section  
C. Social services  
 (CPC 933) (1) None 
(2) None (3) None 
(4) Unbound, except as indicated in 
horizontal section (1) None 
(2) None (3) None 
(4) Unbound, except as indicated in 
horizontal section  
9.  TOURISM AND TRAVEL RELATED SERVICES 
A.   Hotels and restaurants  
 (CPC 641) (1) None  
(2) None  
(3) None, except hotels with less than 
10 beds, takeaway retail food outlets and kava bars. 
(4) Unbound, except as indicated in 
the horizontal section (1) None  
(2) None  
(3) None, except hotels with less than 
10 beds and restaurant with less than 20 seats. 
(4) Unbound, except as indicated in 
the horizontal section  
B. Travel agencies (excluding tour 
operating services) (1) None 
(2) None 
(3) None 
(4) Unbound, except as indicated in 
horizontal section (1) None 
(2) None 
(3) None 
(4) Unbound, except as indicated in 
horizontal section   
  WT/ACC/SPEC/VUT/8/Add.2 
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Sector Limitations of Market Access Limitations  on National Treatment Additional commitments 
11. TRANSPORT SERVICES 
C. Air Transport Services 
(d) Maintenance and repair of aircraft (1) None 
(2) None (3) None 
(4) Unbound, except as indicated in 
horizontal section (1) None 
(2) None (3) None 
(4) Unbound, except as indicated in 
horizontal section  
(e) Selling and marketing of air 
transport services.3 (1) None 
(2) None 
(3) None 
(4) Unbound, except as indicated in 
horizontal section (1) None 
(2) None 
(3) None 
(4) Unbound, except as indicated in 
horizontal section  
 
                                                      
3  As defined in paragraph 6(b) of the Annex on Air Transport Services. 
 
  WT/ACC/SPEC/VUT/8/Add.2 
 Page 11 
 
 
  REFERENCE PAPER  
Scope  
The following are definitions and principles on the regulatory framework for the basic 
telecommunications services. 
Definitions  
Users  mean service consumers and service suppliers. 
Essential facilities  mean facilities of a public telecommunica tions transport network or service that: 
 (a) are exclusively or predominantly provided  by a single or limited number of suppliers; 
and 
 (b) cannot feasibly be economically or t echnically substituted in order to provide 
a service. 
A major supplier  is a supplier which has the ability to mate rially affect the terms of participation 
(having regard to price and supply) in relevant  market for basic telecommunications services as 
a result of: 
 (a) control over essential facilities; or 
 (b) use of its position in the market. 
1. Competitive safeguards  
1.1. Prevention of anti-competitive practices in telecommunications  
 Appropriate measures shall be maintained for the purpose of preventing suppliers who, alone 
or together, are a major supplier from engaging  in or continuing anti-competitive practices. 
1.2. Safeguards  
 The anti-competitive practices referred to above shall include in particular: 
 (a) engaging in anti-competitive cross-subsidization; 
 (b) using information obtained from comp etitors with anti-competitive results; and 
 (c) not making available to other services supp liers on timely basis technical information 
about essential facilities and commercially re levant information which are necessary 
for them to provide services. 
2. Interconnection  
2.1. This section applies to linking with supplie rs, providing public telecommunications transport 
networks or services in order to allow the user s of one supplier to communicate with users of 
another supplier and to access services provi ded by another supplier, where specific 
commitments are undertaken. WT/ACC/SPEC/VUT/8/Add.2 
Page 12  
 
  2.2. Interconnection to be ensured
 
 Interconnection with a major supplier will be ensured at any technically feasible point in 
the network.  Such interconnection is provided: 
 (a) under non-discriminatory terms, cond itions (including technical standards and 
specifications) and rates and of a quality no less favourable than that provided for 
its own like services or for like services of non-affiliated service suppliers or for 
its subsidiaries or other affiliates; 
 (b) in a timely fashion, on terms, conditions (including technical standards and 
specifications) and cost-oriented rates that ar e transparent, reasonable, having regard 
to economic feasibility, and sufficiently unbundl ed so that the supplier need not pay 
for network components or facilities that it does not require for the service to be 
provided; and 
 (c) upon request, at points in addition to the network termination points offered to 
the majority of users, subject to charges that reflect the cost of construction of 
necessary additional facilities. 
2.3. Public availability of the pr ocedures for interconnection negotiations  
 The procedures applicable for interconnecti on to a major supplier will be made publicly 
available. 
2.4. Transparency of interconnection arrangements  
 It is ensured that a major supplier will make  publicly available either its interconnection 
agreements or a reference interconnection offer. 
2.5.  Interconnection: dispute settlement  
 A service supplier requesting interconnection with  a major supplier will have recourse, either: 
 (a) at any time; or 
 (b) after a reasonable period of time which has been made publicly known to 
an independent domestic body, which may be  a regulatory body as referred to in 
paragraph 5 below, to resolve disputes re garding appropriate te rms, conditions and 
rates for interconnection within a reasonable period of time, to the extent that these 
have not been established previously. 
3. Universal service  
 Any Member has the right to define the ki nd of universal service obligation it wishes to 
maintain.  Such obligations will not  be regarded as anti-competitive per se , provided they are 
administered in a transparent, non-discrimin atory and competitively neutral manner and are 
not more burdensome than necessary for the kind  of universal service defined by the Member.  WT/ACC/SPEC/VUT/8/Add.2 
 Page 13 
 
 
  4. Public availability of licensing criteria  
 Where a licence is required, the following will be made publicly available:  (a) all the licensing criteria and the period of  time normally required to reach a decision 
concerning an application for a licence; and 
 (b) the terms and conditio ns of individual licences. 
 The reasons for the denial of a licence will be  made known to the applicant upon request. 
5. Independent regulators
 
 The regulatory body is separate from, and not accountable to, any supplier of basic 
telecommunications services.  The decisions of and the procedures used by regulators shall be impartial with respect to all market participants. 
6. Allocation and use of scarce resources
 
 Any procedures for the allocation and use of scarce resources, including frequencies, numbers 
and rights of way, will be carried out in an objective, timely, transparent and  non-discriminatory manner.  The current state of allocated frequency bands will be made 
publicly available, but detailed identification of frequencies allocated for specific government 
uses is not required.  
  WT/ACC/SPEC/VUT/8/Add.2 
Page 14 VANUATU - LIST OF ARTICLE II (MFN) EXEMPTIONS 
  
Sector or 
Sub-Sector Description of measure indicating its 
inconsistency with Article II Countries to which the measure applies Intended Duration Conditions creating the need for the 
exemption 
All sectors  
 Citizens and permanent residents of 
Melanesian Spearhead Group Countries may 
be granted a waiver from the normal 
investment and right of temporary sojourn obligations of Vanuatu law.  Papua New Guinea, Solomon Islands, 
Fiji and New Caledonia Indefinite To facilitate the regional economic 
integration of the Melanesian states. 
 
  
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