ASEAN Cooperation on Trade in Health Services. Prince Mahidol Award Conference 2008

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1 ASEAN Cooperation on Trade in Health Services Prince Mahidol Award Conference January - 1 February 2008 Bangkok Prepared by Dr. Bounpheng Philavong, ASEAN Secretariat

2 Outline of presentation An ASEAN Economic Community by 2015 Liberalisation of Trade in Services in ASEAN Facilitating Trade with the ASEAN Single Window Priority Sectors for Economic Integration ASEAN Health Ministers Meeting Vientiane Action Programme Roadmap for Integration of Health Care Sector

3 An ASEAN Economic Community by 2015 ASEAN Vision 2020 and 2003 Bali Concord II: The creation of a stable, prosperous and highly competitive economic region in the goal of o ASEAN economic integration. 12 th ASEAN Summit, 13 January 2007, Cebu, Philippines: ASEAN Economic Community by ASEAN: a single market and production base. Elimination of tariffs and non-tariffs barriers. Free movement of professionals. ASEAN investors will be permitted to invest in sectors formally closed to foreigners and the services sector will also be opened up. Customs clearance will be procedures will be streamlined and harmonised with the ASEAN Single Window. Blueprint for realisation the ASEAN Economic Community.

4 Liberalisation of Trade in Services in ASEAN In 1995, ASEAN Economic Ministers: ASEAN Framework Agreement on Trade in Services (AFAS): Substantially eliminating the barriers to trade in services within ASEAN.

5 ASEAN Framework Agreement on Trade in Services (AFAS) Consistent with International rules in GATS of WTO GATS- Plus principles Integration of the services- through successive rounds of negotiations resulting in packages of services liberalisation commitments Five packages already concluded Mutual Recognition Arrangements (MRA): Help facilitate the movement of professional services providers To-date: 2 MRAs covering Engineering Services and Nursing Services

6 Facilitating Trade with The ASEAN Single Window ASEAN Agreement to establish and implement the ASEAN Single Window signed in Set up National Single Windows- Single Implementation Technical Guide By 2008: Brunei Darussalam, Indonesia, Malaysia, Philippines, Singapore and Thailand. By 2012: Cambodia, Lao PDR, Myanmar and Viet Nam. National Single Window - a clearance system that enables: A single submission of information and data, A single and simultaneous processing of the data, and A single point of decision-making through close collaboration among the line Ministries and other parties.

7 Priority Sectors for Economic Integration In 2003 The ASEAN Economic Ministers identified 11 priority sectors in ASEAN for accelerated economic integration. Sector Agro-based products Air travel Automotives e-asean Electronics Fisheries Healthcare Logistics (added in 2006) Rubber-based based products Textiles and apparels Tourism Wood-based products Coordinator Myanmar Thailand Indonesia Singapore Philippines Myanmar Singapore Viet Nam Malaysia Malaysia Thailand Indonesia Sectors chosen based on comparative advantage. All priority sectors ( apart from the logistics sector ) have a roadmap, adopted in 2004, that charts the path to full integration On 8 December 2006 (Cebu, Philippines): Signing of ASEAN Framework rk (Amendment) Agreement for the Integration of the Priority Sectors and the ASEAN A Sectoral Integration (Amendment) Protocol for the Integration of the Priority Sectors. The ASEAN Economic Ministers launched Phase 2 of the priority sectors for integration initiative.

8 ASEAN Health Ministers Meeting (AHMM) The 5 th AHMM, April 2000, Yogyakarta, Indonesia, endorsed Declaration on Healthy ASEAN 2020 One of the mission statements related to GATS: ASEAN should strengthen the national and collective ASEAN capacity on the issues of health implications from globalisation and trade liberalisation.

9 Vientiane Action Programme ( ) 2010) Endorsed by 10 th ASEAN Summit in November 2004 in Vientiane, Lao PDR ASEAN Socio-Cultural Community Programme Areas and Measures Addressing health development concerns Develop strategies for ASEAN to strengthen capacity and competitiveness in health related products and services, including: harmonisation of standards and regulations for health services and a greater coordination with policy makers in the trade sector enhancing human resources for health in the area of globalisation ation and trade liberalisation

10 Roadmap for Integration of Health Objectives: Care Sector Strengthen regional integration through liberalisation and facilitation measures in the area of trade in goods, services and investments ents Promote private sector participation Measures Recommendations from Bali Concord II and private and public sector Full implementation is key to achieve goal of integrating the health care sector by 2010.

11 Coverage 1. Tariff Elimination 2. Non-Tariff Measures 3. Rules of Origin 4. Customs procedures 5. Standards and Conformance 6. Logistics Services 7. Outsourcing and Industrial Complementation 8. ASEAN Integration System of Preferences 9. Investments 10. Trade and investment Promotion 11. Intra-ASEAN trade and Investment Statistics 12. Intellectual Property Rights 13. Trade in Services 14. Movement of Business Persons, Experts, Skilled Labour, Talents and a Professionals 15. Facilitation of Travel in ASEAN 16. Human resource Development 17. Investments 18. Standards and Comformity 19. Capacity Building

12 Trade in Services Member Countries shall accelerate the liberalisation of trade in priority services sectors by Eliminate all limitations in Mode 1 (cross-border supply) and Mode 2 (consumption abroad) Achieve Mode 3 (commercial presence) foreign equity participation targets Set clear targets for liberalising other Mode 3 limitations Improve Mode 4 commitments The application of the ASEAN Minus X formula Accelerating the development of Mutual Recognition Arrangements Promotion of joint ventures and cooperation, including in the third country markets Accelerating the development of Mutual Recognition Arrangements

13 Movement of Business Persons, Experts, Skilled Labour, Talents and Professionals Develop an ASEAN Agreement to facilitate the movement of business persons, including the adoption of an ASEAN Business Travel Card. Identify and develop other mechanisms that will complement existing ASEAN Initiatives to further facilitate the movement of experts, professionals, skilled labour and talents. Accelerate completion of MRAs to facilitate free movement of experts, professionals, skilled labour and talents, taking into account Member States domestic laws and regulations.

14 Thank you for your kind attention

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