The human resources development ministry is likely to oppose the commerce ministry's proposal to improve its offer to the World Trade Organisation regarding higher education by removing fees of students and salaries of professors from the purview of the University Grants Commission.
Officials said the HRD ministry had raised serious objections to the commerce ministry's proposal and was keen on withdrawal of the existing offer on education services made to the WTO in August last year.
The commerce ministry has proposed that foreign educational institutions offering higher education will continue to be subject to domestic regulations, such as the one for a certain number of years of experience, to check fly-by-night operators.
However, once in, the institutes should be freed from the UGC stipulations on fixing salaries of professors and fees of students.
Last August, India had submitted a revised services offer to the WTO, which covered higher education services, too. According to the offer, service providers will be subject to regulations applicable to domestic providers in the country of origin.
They will also be subject to the condition that fees to be charged can be fixed by an appropriate authority and that such fees do not lead to charging of capitation fees or to profiteering.
The offer also stipulated that in case of foreign investors having prior collaboration in that specific service sector in India, FIPB approval would be required.
The improved offer for higher education is part of the commerce ministry's draft Cabinet note on the improved revised services offer to be made to the WTO by July 31.
The ministry, however, will submit the revised offers depending on the response from other countries. "There is a likelihood that the deadline could be postponed until December in the wake of the deadlock over tariff cuts in agriculture and industrial goods, but we want to obtain the necessary Cabinet clearances," an official said.
