. /.   WORLD TRADE  
ORGANIZATION  WT/REG238/3 
1 October 2008 
 
 (08-4629) 
Committee on Regional Trade Agreements Original:   English 
  
 
PROTOCOL OF MONTEVIDEO ON TRADE IN SERVICES 
IN THE MERCOSUR 
 
Questions and Replies
 
 
 
 The following communication, dated 19 September 2008, is being circulated at the request of the delegations of Argentina, Brazil, Paraguay, and Uruguay. 
  This document reproduces the follow-up questions  addressed to the Parties and the responses 
submitted.  
  
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Questions from the delegation of the European Communities
 
 
1. Request for update on the process of ratificati on of the Protocol of Montevideo on Trade 
in Services in MERCOSUR by Paraguay.  (Reference to question 2 of WT/REG228/2). 
 The Protocol of Montevideo on Trade in Serv ices is currently undergoing the process of 
parliamentary approval.  It has been approved by  a number of Commissions in the Chamber of 
Senators, but the report of only one Commission is  still outstanding.  Once approved by the Chamber 
of Senators, the project will be submitted for consideration by the Chamber of Deputies. 
  It is not possible to estimate the date of its final approval, taking into account the fact that 
Congress has begun a new term this year and, natu rally, it establishes its own programme of work, 
independently from the Executive Branch.  2. Request for information on levels of lib eralization achieved in the six rounds of 
negotiations concluded under the Protocol of Montevideo on Trade in Services in MERCOSUR 
and on the objectives of the seventh round.  (Reference to question 4 of WT/REG228/2). 
 The results of the first six rounds of negotiati ons concluded under the Protocol of Montevideo 
on Trade in Services can be accessed on the MERCO SUR website (www.mercosur.org.uy).  Under 
the icon “Decisions”, select the year 2006 and the results are available by downloading decision 
01/06.   With respect to the objective of the seven th round, there are no specific guidelines for 
Members.  The negotiating rounds are based entir ely on the request-offer procedure, with each 
Member submitting to the others specific requests of  their priority interests in their markets. 
Responses are tabled by each Member and a pro cess of negotiation seeks to achieve a mutually 
acceptable balance of rights and obligations, as h as been the case in the previous six rounds. 
 
 WT/REG238/3 
Page 2  
 
  Questions from the delegation of Japan
 
 3. Request for information on Government Procurement commitments by Members of 
MERCOSUR, in light of the fact that Gov ernment Procurement in cludes both goods and 
services.  (Reference to question 11 of WT/REG228/2). 
 MERCOSUR Parties acknowledge that Governme nt Procurement does include the acquisition 
by governments of both goods and services.  They re iterate, however, that the Protocol of Montevideo 
on Trade in Services explicitly excludes Govern ment Procurement of services for governmental 
purposes and without a view to commercial resale from the scope of its coverage, as specified in 
Article XV of the Protocol.  This is, as pointed out  in para. 81 of the Factual Presentation, the same 
approach as taken in GATS for the treatment of Govern ment Procurement of services.  In this respect, 
MERCOSUR Parties are of the view that this Committ ee is not the appropriate forum for a discussion 
of MERCOSUR’s Government Procur ement policies and negotiations. 
  Should any Member be interested in obtaining further information on the Protocol on 
Government Procurement in MERCOSUR, it is availa ble in the same website mentioned in response 
to the previous question ( www.mercosur.org.uy
), and can be found also under the decisions of 2006 
with the number 23/06.  As stressed in para. 82 of the Factual Presenta tion, however, this Protocol has 
not yet entered into force.  
Questions from the delegation of the United States
 
 
4. The answer to question 4(b) in the Questions and Replies document noted that the initial 
commitments between the Parties have been improved through subsequent negotiations.  We would appreciate knowing more about these negotiation s and, in particular, if the Parties have a 
sense of when Members may be able to review the improved schedules of commitments. 
 As stated above, in response to question 2, the results of the first six rounds of negotiations 
concluded under the Protocol of Montevideo on Trade in Services can be accessed on the 
MERCOSUR website (www.mercosur.org.uy).  Unde r the icon “Decisions”, select the year 2006 and 
the results are available by downloading decision 01/06.   As these results have not yet been approved 
by Congress in our respective countries, they have no t yet come into force.  Once they are in force, 
they will be notified to the WTO under the terms of  para. 14 of the decision on the Transparency 
Mechanism for Regional Trade Agreements (WT/L/671)  and thus subject to review within this 
Committee. 
 
5. Finally, we too are interested in the answer to question 9 in the Questions and Replies 
document, which refers to PTAs yet to be notified.  We think the question is a fair one, and hope 
that the Parties will reconsider more fully answering it. 
 Mercosur Parties reiterate thei r understanding that the status of other agreements negotiated 
by them, individually or collectively, fall outside the scope of this review exercise.  Para 12 of 
decision WT/L/617 explicitly states that “Membe rs’ written questions or comments on the RTA 
under consideration  shall be transmitted to the Parties …”.  Para 13 goes on to state that “All written 
material submitted, as well as the minutes of the m eeting devoted to the consideration of a notified 
agreement …”. 
  Nonetheless, we take note of the interest e xpressed in these other agreements and will forward 
them to the appropriate authorities within our respective Governments for appropriate action. 
 
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