Temporary movement of natural persons under GATS is an area where market forces should be allowed to operate more than has been the case so far. Even limited liberalization would provide gains to the world economy exceeding those that could be obtained from liberalization in traditional areas of trade! Increase in trade through mode 4 as part of the increase in labour mobility internationally would lead to global income increases of up to 150 per cent. Some models show that increasing developed countries´ quotas for incoming mode 4 by 3 per cent of their labour forces would generate annual gains of more than US$150 billion. The growing number of bilateral arrangements in the area of MNP, providing for easier access by professionals at various skill levels and special access in certain other categories, especially between developed and developing countries, amply demonstrates the existence and importance of market demand and supply for cross-border MNP. Current national practices outpace what countries offer in their specific commitments in the context of multilateral trade negotiations.
Despite being recognized as the key area of importance for developing countries, mode 4, under which benefits go directly to people in developing countries, has not featured prominently in the Doha Agenda. This may need to be taken into account at the WTO Ministerial Meeting in Cancún. Effective market access in mode 4 would depend on how it will be addressed in the context of discussions on domestic regulation under the Article VI and the recognition of qualifications and equivalent experience, and on multilateral progress in making visa and permit systems less restrictive for trade.
