GATS N HIGHER EDUCATION

8/7/2019 GATS N HIGHER EDUCATION

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GATS &

HIGHER

EDUCATION

Prepared By:- Sunil DeoreRoll No.:-143


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CONTENTS

ABOUT WTO

GATS

TRADE IN EDUCATION SERVICES

HIGHER EDUCATION IN INDIA

EFFECT OF GATS ON HIGHER EDUCATION

GATS & HIGHER EDUCATION IN INDIA

AN OPPORTUNITY

NEGOTIATING PROPOSALS


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SOMETHING ABOUT

WTO

GATT(1947)

WTO(1995)

TRADE INGOODS+AGRICULTURE+SERVICES+INTELLECT

UAL PROPERTY.BINDING TRADE DISPUTE

TO ASSIST THE FREE FLOW OF TRADE BYFACILITATING THE REMOVAL OF TRADETARIFFS OR OTHER BORDER RESTRICTIONS

ON THE IMPORT & EXPORT OF GOODS &SERVICES

TO SERVE FORUM FOR TRADE NEGOTIATIONS

TO SETTLE TRADE DISPUTES


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THE GATS

GENERAL AGREEMENT ON TRADE IN

SERVICES

153 MEMBER COUNTRIES (WTO)

IN FORCE SINCE 1995 USUALLY INSPIRED FROM GATT FOR

SERVICES

IT IS ONE OF THE MULTILATERAL

AGREEMENT IN WTO VARIOUS SECTORS OF SERVICE


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THEGATS

The GATS is very broad. It covers:

yAll services

except air traffic rights and

governmental services

yAll measures affecting trade in services

yAll levels of government

Includes sub-national, local andregional

Non-governmental agencies if they are

exercising delegated powers.


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GATSCOMMITMENTS

Market accesso Limitations (including in the

form of economic needs tests)on:o The number of service

suppliers,o the value of service

transactions,o the number of service

operations,o the number of natural

persons employed in a

sector,o Foreign capitalparticipation

o Restrictions on types of legalentity

National treatment

Foreigners grantedtreatment no lessfavourable than like

national services andservice suppliers.

Can be formallyidentical or different key is whether it altersthe conditions of

competition


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GATSCOMMITMENTS

GATS does not require market opening,but provides a range of options:y Exclude education entirely from commitments

If make no commitments, only general obligations

apply MFN, transparency etcy Exclude some education services from

commitmentsE.g., only make commitments for adult short-term

language courses

y

Exclude some modes of supplyE.g., permit students to study overseas (mode 2) butprohibit branch campuses (mode 3)

y Limit market accessE.g., restrict the provision of degree courses to nationalproviders;


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GATSCOMMITMENTS

y Treat some foreign suppliers better than others

y Commit to less than current access

y Commit to liberalise in the future

y Developing countries can open fewer sectorsand attach conditions GATS does not require

market opening.


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GATS OBLIGATIONS

MOST FAVOURED NATION TREATMENT

-MEANS TREATING ONES TRADING PARTNER

EQUALLY

MEASURES-LAWS , REGULATIONS,PRACTICES FROM REGION,

NATION &LOCAL GOVT.THAT MAY AFFECT

TRADE

TRANSPERANCY-FOR GUARANTEE TRANSPERANCY GOVERNMENT

MUST PUBLISH LAWS & REGULATIONS.


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GATSAND REGULATION

Often see the statement GATS regulatestrade in education services

But the emphasis is on trade

It is not the education services that theGATS regulates, but the trade. GATS isan agreement which regulates trade, noteducation.

The increase in trade in education has

created regulatory gaps, but the GATS willfill theseGATS negotiates the liberalisation, but not

the regulation that must underpin it.


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MAIN CATEGORIES OF

TRADE IN EDUCATION

Cross border supply-Includes any type ofcourse provided through distance education or internet,testing services or education material which can crossnational boundaries (does not require the physicalmovement of the consumer)

Consumption abroad-Mainly involve theeducation of foreign students (require movement of theconsumer to the country of the supplier)

Commercial presence-Foreignuniversities, institutions or investors in another country(provider establishes facilities in another country)

Presence of natural persons-Abilityof people to move between countries to provide educationalservices.


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SUBSECTORS IN

EDUCATIONSERVICES

Primary pre-school and other primary education services

Secondary

Higher

Adult

Other

general secondary, higher secondary, technical and vocational

secondary, and technical and vocational secondary education

services for handicapped students

post-secondary technical and vocational and other

higher education services

education services for adults who are not in the regular school

and university system and includes education services throughradio or television broadcasting or by correspondence

education services at the first and second levels in specific

subject matters not elsewhere classified and all other education

services that are not definable by level


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WHAT IS TRADE IN EDUCATION

SERVICES?

INTERNATIONALISATION

CROSS-BORDEREDUCATION

TRADE


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TRADE BARRIERS

LACK OF TRANSPARENCY OF GOVERNMENT

REGULATORY, POLICYAND FUNDING

FRAMEWORKS

DOMESTIC LAWS AND REGULATIONS TAX TREATMENT FOR FOREIGN SUPPLIERS

INAPPROPRIATE RESTRICTIONS ON

ELECTRONIC TRANSMISSION OF COURSE

MATERIALS

EXCESSIVE FEES FOR LICENCES AND GRANTS

RESTRICTIONS ON USE OF IMPORTED

EDUCATION MATERIALS


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EFFECTS OF

INTERNATIONALISATION OF

EDUCATION

Positive AspectsInnovation

New providers

Greater student access

Increased economic gainNew hybridization and fusion of

cultures through mobility of people


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Negative aspectsThe threat to the role of government

Service for Public / Public goodQuality of education

Homogenization of culture


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HIGHER EDUCATION IN

INDIA

UNIVERSITIES UNDER THE GOVERNMENT

PRIVATE UNIVERSITIES

DEEMED UNIVERSITIES (AIDED)

DEEMED UNIVERSITIES (UNAIDED)

COLLEGES UNDER GOVERNMENT

PRIVATE COLLEGES (AIDED)

PRIVATE COLLEGES (UNAIDED)

DISTANCE LEARNING NON-UNIVERSITY SECTOR (POLYTECHNICS AND

INDUSTRIAL TRAINING INSTITUTES)

FOREIGN INSTITUTIONS


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INDIA &HIGHER EDUCATION

UNDER GATS

NO COMMITMENTS MADE UNDER URUGUAYROUND

HIGHER EDUCATION SERVICES OFFERED INREVISED OFFER IN 2005

FOREIGN PARTICIPATION TROUGH TWINING,COLLABORATION, FRANCHISING,&SUBSIDIARIES IS PERMITTED.

INDIA HAS RECEIVED REQUEST FROM SEVERAL

NATIONS INCLUDING US,JAPAN,SINGAPORE,NEWZEALAND, AUSTRALIA.

100%FDI IS ALLOWED ON EDUCATIONALSERVICES.


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NEGOTIATING PROPOSALS

THEPROPOSAL FROMAUSTRALIA

FACILITATING EDUCATION & TRAINING

COURSES TO LACKING COUNTRIES.

FACILITATION OF EXCHANGE OFSTUDENTS, IDEAS, EXPERIENCES.

NETWORKING RELATIONSHIP AMONG

INDIVIDUALS & INSTITUTIONS.

GOVERNMENT MUST RETAIN THEIR RIGHTTO DETERMINE OWN DOMESTIC FUNDING

& EDUCATIONAL POLICIES.


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PROPOSAL FROMAUSTRALIA CONT.

FREE FLOW OF INTERNATIONAL

STUDENTS TRANSPERANCY IN GOVT REGULATORY

POLICY&FUNDING FRAMEWORKS

REMOVAL OF RESTRICTIONS ON IMPORT

OF EDUCATIONAL MATERIALS USE OF INTERNET IN EDUCATIONAL

TRADE SERVICES


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THEPROPOSAL FROMNEW ZEALAND

IMPORTANCE OF EDUCATION IN

ECONOMIC DEVELOPMENT

TRADE IN EDUCATION SERVICES FURTHER

LIBERALISED REMOVAL OF BARRIERS FOR TRADE OF

EDUCATIONAL SERVICES

QUALITY OF EDUCATION NOT MENTIONED

IN THIS PROPOSAL


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THEPROPOSAL FROMUSA

THEY PROPOSED PRIVATE EDUCATIONSYSTEM WITH GOVT.SERVICES

LISTS A NUMBER OF OBSTACLES TO BEREMOVED IN FUTURE

1. PROHIBITION OF EDUCATIONALSERVICES OF FOREIGN COUNTRIES

2. RESRTICTIONS ON TRANSFER OFACADEMIC MATERIAL

3. ECONOMIC NEED TEST OF SUPPLIERS4. TAX RTEATMENT FOR SUPPLIERS

5. RESTICTIONS ON HIRING SKILLEDTEACHER FROM OTHER COUNTRY FORSMALL PERIOD OF TIME.


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THEPROPOSAL FROMJAPAN

PROPOSED IMPROVEMENT IN QUALITY OF

EDUCATION & RESEARCH

PROTECTION OF CONSUMERS FROM LOW

QUALITY SERVICES MEASURES TO STANDARD OF DEGREES &

DEPLOMAS INTERNATIONALY

EQUIVALENT.

MAINTENING THE QUALITY OF HIGHER

EDUCATION ACROSS THE BORDER

NECESSITY OF INFORMATION NETWORK

BETWEEN SERVICE PROVIDERS.


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WHY LIMITED PROGRESS?

WIDE RANGE OF PRACTICES ANDCULTURAL ASSUMPTIONS

FEAR OF LOSS OF REGULATORYSOVEREIGNTY

ABSENCE OF FORMAL LICENSING ORQUALIFICATION SYSTEMS IN SOMECOUNTRIES

LACK OF INDUSTRIAL FRAMEWORK.

LACK OF AWARENESS ABOUT EDUCATION

SERVICES RESOURCE INTENSIVE AND COMPLEX

NEGOTIATIONS


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THANK

YOU...!

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GATS N HIGHER EDUCATION