WT/TPR/S/343 /Rev.1  
9 November  2016 
(16-6146) Page: 1/83 
Trade Policy Review Body   
 
TRADE POLICY REVIEW  
REPORT BY THE SECRET ARIAT  
SINGAPORE  
Revision  
This report, prepared for the seventh Trade Policy Review of Singapore, has been drawn up by the 
WTO Secretariat on its own responsibility. The Secretariat has, as required by the Agreement 
establishing the Trade Policy Review Mechanism (Annex 3 of the Marrakesh Agreement 
Establishing the World Trade Organization), sought clarification from Singapore on its trade 
policies and practices.  
 
Any technical questions arising from this report may be addressed to  Thomas Friedheim 
(Tel: 022 739 5083), Masahiro Hayafuji (Tel: 022 739 5873), and Nelnan Koumtingué 
(Tel: 022 739 6252).  
 
Document WT/TPR/G/ 343 contains the policy statement submitted by Singapore.  
 
 
Note: This report was dr afted in English.  WT/TPR/S/343 /Rev.1  • Sing apore  
 
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  CONTENTS  
SUMMARY  ................................ ................................ ................................ ........................  5 
1   ECONOMIC ENVIRONMENT  ................................ ................................ ..........................  8 
1.1   Recent Economic Developments  ................................ ................................ ....................  8 
1.2   Trade Performance  ................................ ................................ ................................ .....10 
1.3   Foreign Direct Investment (FDI)  ................................ ................................ ................... 14 
2   TRADE AND INVESTMENT  REGIME  ................................ ................................ ............  15 
2.1   General Framework  ................................ ................................ ................................ ....15 
2.2   Trade Policy Objectives  ................................ ................................ ............................... 15 
2.3   Trade Agreements and Arrangements  ................................ ................................ ........... 16 
2.3.1    WTO ................................ ................................ ................................ ...................... 16 
2.3.2   Regional and preferential agreements  ................................ ................................ ........ 16 
2.3.2.1    ASEAN  ................................ ................................ ................................ ................. 18 
2.3.2.2    Costa Rica  ................................ ................................ ................................ ............ 18 
2.3.2.3    Gulf Cooperation Council  ................................ ................................ ........................ 19 
2.3.2.4    The Separate Customs Territory of Taiwan, Penghu, Kinmen and Matsu 
(Chinese  Taipei) ................................ ................................ ................................ ................. 20 
2.3.2.5    European Union  ................................ ................................ ................................ ....20 
2.3.2.6    Turkey  ................................ ................................ ................................ ................. 21 
2.3.2.7    Trans -Pacific Partnership Agreement (TP P) ................................ ............................... 21 
2.3.3    Other agreements and arrangements  ................................ ................................ ......... 21 
2.4   Investment Regime  ................................ ................................ ................................ ....22 
3   TRADE POLICIES AND P RACTICES BY MEASURE  ................................ ........................  24 
3.1   Measures Directly Affecting Imports  ................................ ................................ .............. 24 
3.1.1    Customs proced ures and requirements  ................................ ................................ .......24 
3.1.2    Customs valuation  ................................ ................................ ................................ ...26 
3.1.3    Rules of origin  ................................ ................................ ................................ ......... 27 
3.1.4    Tariffs  ................................ ................................ ................................ .................... 27 
3.1.5    Internal taxes ................................ ................................ ................................ .......... 28 
3.1.5.1    Goods and services tax (GST)  ................................ ................................ ................. 28 
3.1.5.2    Excise duties  ................................ ................................ ................................ ........ 29 
3.1.6    Import prohibitions, restrictions, and licensing  ................................ ............................ 30 
3.1.7   Anti-dumping, countervailing, and safeguard measures  ................................ ................ 33 
3.2   Measures Directly Affecting Exports  ................................ ................................ .............. 33 
3.2.1    Export proce dures and requirements  ................................ ................................ .......... 33 
3.2.2    Export taxes, charges, and levies  ................................ ................................ ............... 33 
3.2.3    Export prohibitions, restrictions, and licensing  ................................ ............................. 33 
3.2.4    Export finance, insurance, and guarantees  ................................ ................................ ..35 
3.2.5    Export assistance  ................................ ................................ ................................ .....35 
3.2.6    Free trade zones  ................................ ................................ ................................ ......37 WT/TPR/S/343 /Rev.1  • Singapore  
 
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  3.3   Measures Affecting Production and Trade  ................................ ................................ .......38 
3.3.1    Subsidies  ................................ ................................ ................................ ................ 38 
3.3.2    Standards and other technical requirements  ................................ ............................... 39 
3.3.3    Sanitary and phytosanitary requirements  ................................ ................................ ....40 
3.3.4    Competition policy  ................................ ................................ ................................ ...42 
3.3.5    Price controls  ................................ ................................ ................................ .......... 43 
3.3.6    State trading and state -owned en terprises  ................................ ................................ ..44 
3.3.7    Government procurement  ................................ ................................ ......................... 45 
3.3.8    Intellectual property rights  ................................ ................................ ........................ 46 
4   TRADE POLICIES BY SE CTOR  ................................ ................................ .....................  50 
4.1   Manufacturing  ................................ ................................ ................................ ............ 50 
4.2   Services  ................................ ................................ ................................ .................... 52 
4.2.1    Financial services  ................................ ................................ ................................ .....52 
4.2.1.1    Banking services  ................................ ................................ ................................ ...55 
4.2.1.2    Insurance  ................................ ................................ ................................ ............ 58 
4.2.2    Telecommunications services  ................................ ................................ .................... 59 
4.2.3    Postal services  ................................ ................................ ................................ ........ 61 
4.2.4    Transport services  ................................ ................................ ................................ ...62 
4.2.4.1    Maritime transport  ................................ ................................ ................................ 62 
4.2.4.2    Air transport  ................................ ................................ ................................ ......... 65 
4.2.5    Professional services  ................................ ................................ ................................ 67 
4.2.5.1    Legal services  ................................ ................................ ................................ .......67 
4.2.5.2    Accountancy services  ................................ ................................ ............................ 68 
REFERENCES  ................................ ................................ ................................ ..................  71 
5   APPENDIX TABLES  ................................ ................................ ................................ .... 72 
 
CHARTS  
 
Chart 1.1 Pr oduct composition of merchandise trade, 2011 and 2014  ................................ .......11 
Chart 1.2 Direction of merchandise trade, 2011 and 2014  ................................ ....................... 12 
 
TABLES  
 
Table 1.1 Selected macroeconomic indicators, 2011 -15 ................................ ...........................  8 
Table 1.2 Balance of payments, 2011 -15 ................................ ................................ .............. 13 
Table 1.3  Inflows of FDI by source and sector, 2011 -14 ................................ .......................... 14 
Table 2.1 Singapore's participation in RTAs and FTAs, January 2016  ................................ ........ 17 
Table 3.1  Overview of the TradeFIRST Assessment Framework, March 2016  ............................. 25 
Table 3.2 Applied and bound MFN tariffs, 2016  ................................ ................................ ......27 
Table 3.3 GST r elief schemes, February 2016  ................................ ................................ ........ 28 
Table 3.4 Excise duty rates and changes over 2012 -15 ................................ ........................... 29 WT/TPR/S/343 /Rev.1  • Sing apore  
 
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  Table 3.5 Goods subject to import prohib itions or non -automatic licensing  ................................ 30 
Table 3.6 Goods subject to export prohibitions and non -automatic licensing  .............................. 34 
Table 3.7 Ove rview of the Global Company Partnership Programme  ................................ ......... 36 
Table 3.8 Competition statistics, 2006 -14 ................................ ................................ ............. 42 
Table 3.9 Government procureme nt, fiscal years 2008 -14 ................................ ....................... 45 
Table 3.10 Intellectual property protection, 2016  ................................ ................................ ...47 
Table 3.11 Number of raids and total value seiz ed, 2011-15 ................................ .................... 49 
Table 4.1 Manufacturing output, value -added and employment by industry cluster, 
2011 and 2015  ................................ ................................ ................................ .................. 51 
Table 4.2 Number  of financial institutions, 2011 -15 ................................ ................................ 52 
Table 4.3 Incentive schemes administered by the Monetary Authority of Singapore, 2016  ........... 53 
Table 4.4 Selected performance indicators in banking, 2011 -15 ................................ ............... 55 
Table 4.5 Selected indicators of the insurance industry, 2011 -14 ................................ ............. 58 
Table 4.6 Selected indicators in the information and communications sector, 2011 -14 ................ 59 
Table 4.7 Number of telecommunication licences awarded by the IDA, 2011 -15 ........................ 61 
Table 4.8 Selected indicators of postal services, 2011 -15 ................................ ........................ 62 
Table 4.9 Selected performance indicators of the maritime sector, 2011 -15 .............................. 63 
Table 4.10 Main features of the Maritime Sector Incentive, 2016  ................................ ............. 65 
Table 4.11 Air traffic, 2011 -15 ................................ ................................ ............................. 65 
Table 4.12 Main non -tax incentive schemes in the air transport sector  ................................ ......67 
 
BOXES  
 
Box 4.1 Key features of legal and accountancy services regimes , 2016  ................................ .....68 
 
APPENDIX TABLES  
 
Table A1.1 Merchandise exports by product group, 2011 -14 ................................ .................... 72 
Table A1. 2  Merchandise imports by product group, 2011 -14 ................................ ................... 73 
Table A1. 3 Merchandise exports by destination, 2011 -14 ................................ ....................... 74 
Table A1. 4 Merchan dise imports by origin, 2011 -14 ................................ .............................. 75 
 
Table A2. 1 Notifications submitted by Singapore, January 2012 –January 2016  ......................... 76 
 
Table A3. 1 Summary analysis of Singapore's bound rates  ................................ ...................... 80 
Table A3. 2 Incentives, 2016  ................................ ................................ ............................... 81 
 WT/TPR/S/343 /Rev.1  • Singapore  
 
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  SUMMARY  
1. Singapore's e conomy has performed well since its last trade policy review in 2012, although 
the pace of growth has been more moderate than in the previous review period. The rate  of 
economic growth averaged 3.4 % per year during 2012 -15, along with low inflation and low  
unemployment (both averaging around 2% annually). The Government expects the economy to 
grow by 1 -3% in 2016.   
2. For several years now, G overnment policy has focused on encourag ing an economic 
restructuring from labour -intensive growth towards innovation a nd productivity -led growth . Since 
2010, a n incentive structure has been put in place to encourage skill -enhancing investments in the 
workforce and labour -saving technologies. At the same time, some measures are intended to 
reduce reliance on foreign worker s, while improving opportunities for Singaporeans.   
3. Openness to trade and investment remains the key feature of Singapore's trade policy, as 
the country's trade (goods and services) reaches nearly four times the size of annual GDP. A large 
volume of this is entrepôt trade – almost half of merchandise exports in 2014 were re -exports. 
Singapore's trade is underpinned by a network of 21 regional and bilateral free trade agreements 
(FTAs) with 32  trading partners. Merchandise trade with preferential trading pa rtners accounted 
for about 80% of Singapore's impor ts and 74% of exports in 2014.  
4. Since the last review, three new FTAs – with Costa Rica, the Gulf Cooperation Council, and 
Chinese Taipei – have come into force. The recently -concluded FTAs with the Europe an Union and 
Turkey, as well as the Trans -Pacific Partnership Agreement (TPP), are not yet in force. Regional 
integration within ASEAN has taken a step forward with the establishment of the ASEAN Economic 
Community (AEC) in 2015, which aims to create a sin gle market with a free flow of goods, 
services, and investment among its 10 member countries.   
5. There have been no major changes in Singapore's investment regime. The few foreign 
investment  restrictions are mainly in retail banking, legal services, broadca sting services, and 
some government -linked companies (GLCs).  FDI inflows increased to US$72.1 billion in 2014 (up 
from US$46.8 billion in 2011) and were mainly in financial and insurance services (47.5%) .  
6. Singapore has been a steadfast advocate of the rul es-based multilateral trading system and 
promotor of trade liberalization in the WTO . It has participated in plurilateral initiatives, such as 
the expansion of the Information Technology Agreement . Singapore was one of the first WTO 
Members to deposit its instrument of acceptance of the Trade Facilitation Agreement. It has 
notified all the provisions under its Category A commitments and is to implement them 
immediately upon entry into force of the Agreement. Singapore operates its Trade Facilitation and 
Integrated Risk -based System (TradeFIRST), whereby Customs accords trade facilitation measures 
to companies under a five -tiered scheme (from basic to premium).   
7. Almost all products enter duty -free under the applied MFN tariff regime, except for six tariff 
lines (beer and some other spirits), which are subject to specific duties. On the other hand, only 
about 70% of Singapore's tariffs are covered by tariff bindings, with a simple average bound rate 
of 6.9%. Excise duties were increased in 2013 -15 on tobacco p roducts, alcoholic beverages , and 
some petroleum products ; the rates for motor vehicles remain unchanged. Import controls are 
maintained by various administering agencies mainly for health, safety, security and 
environmental reasons, or under international  agreements. The control regimes for goods subject 
to import prohibition and automatic or non -automatic licensing remain unchanged.    
8. The transparency of Singapore's trade regime is enhanced by regular notifications to WTO 
bodies and committees. Singapore  has introduced a number of changes to its SPS requirements, 
as notified to the SPS Committee. The BSE -related import restrictions (i.e. six years of 
non-detection of BSE before re -establishing trade with a country) have been replaced by 
requirements based  on OIE guidelines. The TBT regime remains substantially unchanged. A 
specific trade concern was raised in the TBT Committee regarding Singapore's announcement that 
it would consider a plain packaging requirement for tobacco products. A public consultation  on this 
matter was held until March 2016; its outcome is pending.   WT/TPR/S/343 /Rev.1  • Sing apore  
 
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  9. Export controls are implemented mainly for health, safety, security, or environmental 
reasons or to fulfil international commitments. Singapore does not apply export taxes. To promote 
exports, Singapore provides grants and tax incentives, and subsidizes insurance premiums to 
facilitate companies' access to trade finance .   
10. Singapore has a wide array of tax and non -tax incentive schemes, some of which have 
benefited from "enhancements" duri ng the period under review. There are horizontal incentives 
such as the Productivity and Innovation Credit (PIC), and incentives for research & development or 
headquarter establishment in Singapore,  as well as programmes designed for particular activities 
or sectors such as financial services and maritime services. However, information regarding 
budgetary expenditures, as well as revenue foregone (tax expenditures ) related to Singapore's 
incentive schemes, is not readily available. Singapore regularly infor ms the WTO that it does not 
provide any notifiable subsidies under WTO rules on subsidies.   
11. Government -linked companies (GLCs) are active in a range of sectors through the 
Government's holding company Temasek, which manages its investments in GLCs. Temasek  
receives no subsidies or special consideration from the Government by virtue of ownership, 
according to the authorities. Singapore has notified the WTO that it does not maintain any state 
trading enterprises.   
12. Singapore's economy -wide competition regime is relatively new. Established in 2004, the 
Competition Commission of Singapore (CCS) has stepped up in its enforcement activities during 
the review period with a number of infringement decisions again st anti -competitive practices. 
Following the recommenda tion of the CCS, Singapore has extended a block exemption for liner 
shipping agreements until end -2020.   
13. Singapore's government procurement procedures remain unchanged. As a party to the 
revised WTO Agreement on Government Procurement, Singapore's new lib eralizing commitments 
now cover "executive search services". In the area of intellectual property, Singapore has modified 
its patent regime from self -assessment to a positive patent grant system, whereby patent 
applications have to meet the patentability c riteria of novelty, inventiveness and industrial 
applicability before a request can be made.  
14. The manufacturing sector remains an important pillar of the economy with around 20% of 
nominal GDP in 2015. The Government is supportive of a strong manufacturing  base, whilst it 
favours a restructuring towards high er value -added, capital -intensive industries. The authorities 
consider that the manufacturing sector has positive spill -over effects on the rest of the economy, 
including improving the economy's resilien ce in global economic downturns. The contribution of 
agriculture and fisheries to the economy is negligible.  
15. Services contributed about 69% to GDP in 2015, led by wholesale and resale trade (16%), 
followed by business services (15%), and financial and ins urance services (13%). Singapore is a 
net importer of services.   
16. In the area of financial services, Singapore's laws do not distinguish operationally between 
foreign and domestic banks, except in retail banking. Foreign retail banks are subject to limitat ions 
on the number of places of business (branches and ATMs) that they may operate. Those foreign 
retail banks benefiting from Qualifying Full Bank (QFB) privileges are allowed to operate a total of 
25 places of business and may enter into a mutual agreeme nt to share one ATM network. 
Ten foreign full banks have been awarded QFB privileges (end -2015).  
17. Over 5,000 maritime service companies are established in Singapore, including more than 
130 international shipping groups, banks with shipping portfolios, shi pbroking firms, marine 
insurance companies, and law firms with maritime practices. The Government's maritime policy 
aims to strengthen Singapore's competitiveness as an international maritime centre and 
transhipment port with infrastructure investments ahe ad of demand, underpinned by incentive 
schemes that are tailored to the needs of the maritime industry.  In air transport, t he Government 
actively pursues the negotiation of new or expanded air services agreements to strengthen 
Singapore's position as an a ir hub. Its network of bilateral air services agreements spans 
130 countries, over 60 of which are open skies agreements. At Singapore's Changi Airport – one of 
Asia's principal air hubs – major expansion works are in the pipeline.  WT/TPR/S/343 /Rev.1  • Singapore  
 
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  18. In the area of legal ser vices, the regulatory framework has been modernized, which has led 
to the establishment of the Legal Services Regulatory Authority and the Singapore International 
Commercial Court. Singapore has a liberal regime for the practice of foreign and internationa l law. 
The practice of Singapore Law by foreign law firms and foreign lawyers, on the other hand, is 
restricted and d epends on the type of licence. A Qualifying Foreign Law Practice licence allows the 
practice of Singapore law in permitted areas of legal p ractice, essentially commercial law. As at 
March 2016, nine foreign law practices had been licensed under this scheme.  
19. Singapore has been a model of development for decades as it has successfully developed 
into a high -income country with a GDP per capita of nearly US$5 3,000 in 2015 . To a large extent, 
growth has been based on an open and transparent trade and investment regime using 
Singapore's  location as an advantage . Nevertheless, the Government is taking steps to restructure 
the economy towards innovat ion-led growth and higher productivity. Recently, the Government 
created a Committee on the Future Economy with the task of charting a course for Singapore's 
economic transformation beyond 2016 and helping to pick future growth industries.   
 WT/TPR/S/343 /Rev.1  • Sing apore  
 
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  1  ECONOMIC ENVI RONMENT  
1.1  Recent Economic Developments  
1.1.  Since its last trade policy review , Singapore's economy has continued to perform well, 
although growth has slightly moderated. Economic growth averaged around 3. 4% per year during 
2012-15, with low inflation (averag ing around 1.9% annually), and low unemployment ( averaging 
around 2% annual ly). Singapore's GDP has grown by an average of 9.5% annually since 
independence in 1965. In 2015, GDP per capita was estimated at around US$52,900, and 
Singapore ranked 11th (out of 18 8 countries) on the UNDP's Human Development Index.1 The 
authorities expect that GDP will grow by 1 -3% in 2016.  
1.2.  Growth was mainly led by external demand and consumption , while investment fell in 2015. 
Consumer price index inflation declined quickly; the au thorities expect that it will stand  at around 
-1% to 0% in 2016, reflecting a steep decline in oil prices and softer housing and car permit 
prices. The unemployment rate increased from 2.1% in 2007 to 3% in 2009; it declined to 1.9% in 
2015.  
1.3.  Services cons titute the most important sector in terms of contribution to nominal GDP 
(around 69%) and total employment (around 71%). Manufacturing accounts for around 20% of 
GDP and around 14% of employment. Construction contributes 5.2% to Singapore's GDP 
(Table  1.1). The share of agriculture, fisheries and quarrying is negligible.  
Table 1.1 Selected macroeconomic indicators, 2011 -15 
  2011  2012  2013  2014  2015a 
Nominal GDP (S$ billion)  346.2  361.5  375.8  388.2  402.5  
Inflation (CPI, %age change)  5.3 4.5 2.4 1.0 -0.5 
Unemployment rate (%)  2.0 2.0 1.9 2.0 1.9 
National account (2010 prices, %age change)       
Real GDP   6.2 3.7 4.7 3.3 2.0 
Private consumption  4.3 3.5 3.1 2.2 4.5 
Public consumption  -3.1 -1.9 11.1 -0.1 6.6 
Gross fixed capital formation  5.2 8.3 5.7 -2.6 -1.0 
Exports of goods and services  5.6 1.8 4.8 4.3 2.5 
Less: Imports of goods and services  4.0 3.0 4.5 3.9 2.1 
Share of nominal GDP (value -added)       
Manufacturing  20.2 20.0 18.5 18.8 19.8 
Construction  4.5 4.8 5.0 5.2 5.2 
Water supply, electricity and gas sales  1.6 1.6 1.5 1.5 1.4 
Services  69.4 69.2 70.3 70.0 69.2 
Wholesale and retail trade  20.4 19.0 18.3 16.8 15.6 
Transportation and storage  6.8 7.0 7.0 7.4 7.4 
Accommodation and food service s 2.1 2.2 2.2 2.2 2.1 
Information and communications  3.8 3.9 4.1 4.2 4.2 
Finance and insurance  10.7 11.0 11.6 12.2 12.6 
Business services  14.6 15.1 15.9 15.7 15.5 
Other services industries  11.0 11.0 11.4 11.6 11.7 
Money and credit       
Money sup ply (M1; % c hange)  16.1 7.7 9.9 3.6 0.1 
Lending to non -banking sector (% change)  30.3 16.7 17.0 5.7 -1.2 
3-month interbank rate (%)  0.39 0.38 0.40 0.46 1.19 
Public financeb (% of GDP)       
Operating revenue  14.6 15.3 15.1 15.6 16.0 
Total expenditure  13.3 13.5 13.7 14.5 16.9 
Special transfers ( -) 2.4 2.4 2.3 3.3 2.9 
Net investment returnsc 2.3 2.1 2.2 2.2 2.4 
                                                
1 UNDP online information.  Viewed at:  http://hdr.undp.org/en/composite/HDI/ .  WT/TPR/S/343 /Rev.1  • Singapore  
 
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    2011  2012  2013  2014  2015a 
Overall balance  1.1 1.6 1.3 0.0 -1.7 
Government debt (end -period, calendar year)  102.3  106.5  103.9  99.8 104.7  
External sector       
Real effective exchan ge rate (% change – increase is 
an appreciation)  5.5 4.6 2.7 -0.4 -2.2 
S$/US$ (period average)  1.26 1.25 1.25 1.27 1.37 
Current account (% of GDP)  22.7 17.9 17.6 17.4 19.7 
Gross official reserves (US$ billion)  237.7  259.3  273.1  256.9  247.7  
Import coverd 8.1 8.0 8.9 8.8 10.3 
a Preliminary.  
b Central government. Based on fiscal year, e.g. 2011 is FY2011, from 1 April to 31 March. 
FY2014 and FY 2015 are budgeted estimates.  
c The figures are for fiscal years.  
d In months of following  year's imports of goods  and services.  
Source:  Department of Statistics Singapore online information. Viewed at: http://www.singstat.gov.sg/ ; 
IMF online information; and data provided by the authorities.  
1.4.  The Government's expenditure ( including special transfers), as a percentage of GDP, 
increased from 15.9% in 2012 to 19. 8% in 2015. The increase in 2015 is mainly due to higher 
spending on land and air transport , and on healthcare subsidies and expansion of healthcare 
infrastructure. Th e overall balance has declined from a surplus of 1.6% of GDP in 2012 to a deficit 
of 1.7% in 2015. The primary balance in 2015 was around -0.9% compared with around 1.8% in 
2012.2 The government debt has declined from 2012; it stood at around 10 5% of GDP i n 201 5.3 In 
2015, gross official foreign reserves stood at around US$2 50 billion. The key themes in the 
Government's Budget 2015 included people development, supporting enterprises in innovation and 
internationalization, investing in infrastructure, streng thening assurance in retirement, and 
supporting families and community; the Government also introduced revenue measures in the 
2015 Budget  to provide for increased spending needs.4 The Budget 2016, announced in 
March  2016, indicates an increase in overall spending; it includes measures to support smaller 
businesses  and investment in public infrastructure projects , as well as an increase in corporate 
income tax rebates, extension of special employment credit, and deferral of foreign worker levy 
changes.5 
1.5.  The main goal of the monetary policy conducted by the Monetary Authority of Singapore 
(MAS) is price stability as a basis for sustainable growth. Singapore's monetary policy framework 
continues to be centred on the exchange rate. Under this system, the MAS ma nages the value of 
the Singapore dollar against an undisclosed trade -weighted basket of currencies (i.e. the 
Singapore dollar nominal effective exchange rate (S$NEER)). The S$NEER is allowed to fluctuate 
within a target band. Singapore thus has a managed f loat exchange rate regime. When necessary, 
the MAS intervenes in the foreign exchange market against the US dollar to maintain the S$NEER 
within the policy band or moderate sharp movements of the exchange rate. Amid the significant 
downshift in the inflati on outlook, the MAS loosened its monetary policy in January 2015 after a 
moderately tight monetary stance in 2014, by reducing the rate of appreciation of the S$NEER 
policy band. The MAS further reduced slightly the rate of appreciation in October 2015 as the 
growth outlook had weakened. According to the IMF, Singapore's monetary policy/exchange rate 
regime continues to serve the economy well.6 The exchange rate system is free of restrictions on 
payments and transfers for current international transactions.   
1.6.  As in some other Asian economies, Singapore is faced with a rapidly aging population. 
Income inequality also remains a challenge for the Singapore economy. To tackle these, social 
                                                
2 Primary balance is defined as operating revenue less total expenditure.  
3 The authorities maintain that Singapore's government borrowings are not for spending; they are 
issued to develop the domestic debt market and Special Singapore Government Securities (SSGS) are issued 
specifically to meet the investment needs of the Central Provident Fund (CPF) Board.  
4 Singapore Government online information. Viewed at: 
http://www.singaporebudget.gov.sg/budget_2015/h ome.aspx . 
5 Singapore Government online information. Viewed at: 
http://www.singaporebudget.gov.sg/budget_2016/home.aspx . 
6 IMF (2015).  WT/TPR/S/343 /Rev.1  • Sing apore  
 
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  safety nets (e.g. retirement benefits through the Central Provident Fund ( CPF)7) have recently 
been strengthened. This included a more progressive interest rate structure where Singaporeans 
with lower balances enjoy higher government -provided interest rates on their CPF savings. In 
addition, the 2015 Budget included the introduc tion of a new Silver Support Scheme in 2016. To 
better support the elderly with lesser means in their retirement years, the scheme will provide a 
quarterly income supplement to the bottom 20 % to 30% of elderly Singaporeans aged 65 and 
above. T he Government  also aims to raise the quality of its foreign workforce and encourage 
businesses to reduce their reliance on manpower and increase their productivity, and to keep a 
level playing field for Singaporeans of different ages. For this purpose, the Government r aised the 
qualifying salary for new Employment Pass (EP) applications from S$3,000 to S$3,300, to keep 
pace with rising salaries. As of January 2014, applicants must earn a salary of at least S$3,300 a 
month, depending on qualifications and experience.8 
1.2  Trade Performance  
1.7.  Singapore's trade -to-GDP ratio declined to around 368% on average during 2012 -14, 
compared with around 400% during 2008 -11 subsequent to the global financial crisis; the ratio 
averaged around 363% between 2000 and 2011. In 2014, Singapore ranked 9th among world 
merchandise exporters and  10th among  importers. In services trade, Singapore ranked 6th both 
among exporters and importers.9 
1.8.  Singapore's merchandise exports include a large volume of entrepôt trade; re -exports 
accounted for around 47 % of Singapore's total merchandise exports in 2014. Singapore continues 
to rely heavily on manufactured exports (Table  A1.1 and Chart 1.1), which accounted for 70.9% of 
total merchandise exports in 2014 (68.3% in 2011). They are mainly machinery and transp ort 
equipment, and chemicals . Fuels represented around 17% of total merchandise exports in 2014 
and agricultural exports only 2.9%. Similarly, manufactured products accounted for around 61.3% 
of merchandise imports in 2014 (60.1% in 2011). Fuels represente d 31% of total merchandise 
imports in 2014 and agricultural imports 4.0% (Table A1.2).  
1.9.  In 2014, exports to the Asia and Oceania regions account ed for 76.9% of total merchandise 
exports; the share of ASEAN was 31.2%, almost unchanged since 2011. The EU and the 
United  States accounted for 8.1% and 5.9%, respectively (Table A1.3 and Chart 1.2). China and 
the EU were Singapore's largest source of merchandise imports in 2014 (12.1% and 12.0%, 
respectively), followed by Malaysia (10.7%) and the  United  States (10. 3%). The share of ASEAN 
countries in total imports decreased slightly from 21.4% to 20.6% during 2011 -14 (Table A1.4).  
1.10.   Balance of payments data indicate that Singapore is a net importer of services (Table 1.2). 
In 2015, transport services accounted for 33. 8% of total services exported, followed by "other 
business services" (e.g. professional and technical services, and other miscellaneous business  
services ) with 24.2%, and financial services with 14.5%. The main services imports in 2014 were 
transport servi ces (30.7%) and "other business services" (28.8%).  
 
                                                
7 The CPF is a mandatory savings scheme financed  by contributions from employers and employees. It 
covers around 90% of the resident population and is the centrepiece of Singapore's "self -reliance" system for 
the provision of social services.  
8 The authorities state that, for example, young graduates f rom good educational institutions can qualify 
if they earn at least S$3,300; older applicants will have to command higher salaries to qualify, commensurate 
with the work experience and quality they are expected to bring.  
9 Considering the countries of the EU together and excluding intra -EU trade. WTO Statistics Database, 
"Trade Profiles: Singapore". Viewed at: https://www.wto.org/english/res_e/booksp_e/trade_profiles15_e.pdf . WT/TPR/S/343 /Rev.1  • Singapore  
 
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  Chart 1.1 Product composition of merchandise trade, 2011 and 2014  
Chart 1.1    Product composition of merchandise trade, 2011 and 2014
2011 2014
(a)    Exports (f.o.b.)
Other consumer
goods  7.2%
Manufactures
68.3%
Total:  US$409.5 billion Total:  US$409.8 billion
(b)    Imports (c.i.f.)
Chemicals
6.9%Transport
equipment  4.3%
Manufactures
60.1%Office machines &
telecom equipment
24.1%Other electrical 
machines  4.0%
Non-electrical 
machinery  
8.6%
Other 1.9%Other electrical 
machines  3.9%Office machines
& telecom equipment
30.7%
Other semi -
manuf.  5.2%
Chemicals
7.0%Manufactures
61.3%Office machines & 
telecom equipment
24.8%
Total:  US$365.8 billion Total:  US$366.2 billionManufactures
70.9%Other electrical
machines  4.0%
Other mining
1.2% Other electrical 
machines  4.2%
Other consumer 
goods  7.9%  
Other  1.7%Office machines
& telecom equipment
30.2%
Other semi -
manufactures  3.1% Non-electrical 
machinery  7.6%Transport equipment  
3.6%
Other mining
1.2%
Source :  UNSD, Comtrade database (SITC Rev.3).Other consumer
goods  7.3%Other consumer
goods  9.2%
Fuels
16.8% Other semi -
manufactures  2.8%Non-electrical 
machinery  6.9%
Other semi -
manuf.  4.9%Transport equipment  
4.5%
Agriculture
4.0%Agriculture
3.8%Transport 
equipment  3.9%Chemicals
12.6%Chemicals
12.9%Agriculture
2.5%Agriculture
2.9% 
Fuels
19.8%
Fuels
31.0% Fuels
32.6%Other mining
1.8%Other mining  
1.8%Non-electrical
machinery
8.8%Other
8.2%Other  
8.3%
 
Source:  UNSD Comtrade database (SITC Rev.3).  WT/TPR/S/343 /Rev.1  • Sing apore  
 
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  Chart 1.2 Direction of merchandise trade, 2011 and 2014  
Chart 1.2
Direction of merchandise trade, 2011 and 2014
2011 2014
(a)    Exports (f.o.b.)
Asia
75.2%
Total:   US$409.5 billion Total:  US$409.8 billion
(b)    Imports (c.i.f.)
Other 
6.5%
EU-28
12.6%
Chinese Taipei
7.4%
UAE
3.2%United States
10.8%
Korea, Rep. of
5.9%EU-28
12.0%
Indonesia
5.1%UAE
4.2%United States
10.3%
Total:   US$365.8 billion Total:   US$366.2 billionChina
10.4%
Other Middle 
East  4.2 %
China
12.1%China
10.4%United States
5.5%
Other Asia
11.8%United States
5.9%
Indonesia
9.4%
Source:  UNSD Comtrade database.Japan
5.5%Korea, Rep. of
4.1%EU-28
8.1%
Malaysia
12.2%
Japan
7.2%Other  
8.2%
Chinese Taipei
8.2%Hong Kong, China
11.0%EU-28
9.6%
Indonesia
10.4%Korea, Rep. of
3.8%Australia  3.9%
Hong Kong, China
11.0%China
12.6%Other Asia
12.5%
Other Middle 
East  3.7%Other Asia   
11.6%Japan
4.5%Thailand  3.7%
Australia  3.8%
Asia
57.1%Asia
58.4%Asia
76.9%
Malaysia
10.7%Indonesia
5.3% Malaysia
10.7%Korea, Rep. of
5.9%Saudi Arabia
4.8%Saudi Arabia
4.0%Japan
4.1%Other 
9.1%Other
9.7%
Thailand  3.4%
Chinese Taipei
3.7%
Malaysia
12.0%Chinese Taipei
3.9%
Other Asia   
9.6%
Note:  Regional group "Asia" includes "Oceania".
 
 
Note:  Regional group "Asia" includes "Oceania".  
Source:  UNSD Comtrade database.  WT/TPR/S/343 /Rev.1  • Singapore  
 
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  Table 1.2 Balance of payments, 2011 -15 
(S$ million)  
 2011  2012  2013 2014  2015a 
Current account balance  78,480  64,800  66,300  67,377  79,136  
Goods balance  93,132  87,931  94,653  100,891  113,457  
 Exports  545,992  546,654  547,266  554,705  518,378  
 Imports  452,860  458,723  452,612  453,813  404,921  
Services balance  896 -2,486  -7,799  -5,994  -5,305  
 Exports of services  149,581  159,664  175,503  191,008  191,940  
 (% of total )  
 Maintenance and repair services  6.2 5.7 6.2 5.3 4.9 
 Transport  35.8 35.0 32.3 34.1 33.8 
 Travel  15.1 14.7 13.7 12.7 12.0 
 Insurance  3.2 2.8 3.0 3.1 3.3 
 Government  0.2 0.2 0.2 0.2 0.2 
 Construction  1.3 1.3 1.3 0.8 0.8 
 Financial  12.8 13.0 13.0 13.5 14.5 
 Telecommunications, computer and 
 information  3.3 3.3 3.5 3.2 3.5 
 Charges for the use of intellectual 
 property  1.4 1.5 2.3 2.5 2.4 
 Personal, cu ltural and recreational  0.4 0.4 0.4 0.4 0.4 
 Other business services  20.2 22.1 24.1 24.2 24.2 
Imports of services  148,685  162,150  183,302  197,002  197,245  
 (% of total)  
 Maintenance and repair services  0.6 0.5 0.5 0.5 0.4 
 Transport  28.2 27.6 26.1 29.4 30.7 
 Travel  18.2 17.8 16.7 15.7 15.4 
 Insurance  3.8 3.7 3.4 2.9 3.1 
 Government  0.2 0.2 0.2 0.1 0.1 
 Construction  0.6 0.6 0.5 0.3 0.3 
 Financial  2.6 2.5 2.5 2.8 3.1 
 Telecommunications, computer and 
 information  4.1 4.2 4.7 5.3 5.5 
 Charges for t he use of intellectual 
 property  16.5 16.7 15.1 12.7 12.0 
 Personal, cultural and recreational  0.4 0.4 0.3 0.3 0.3 
 Other business services  24.7 25.8 30.0 30.0 28.8 
Primary income balance  -7,539  -11,495  -11,409  -19,174  -18,974  
 Receipts  82,608  80,655  83,696  80,242  80,892  
 Payments  90,147  92,149  95,105  99,415  99,866  
Secondary income balance   -8,008  -9,152  -9,146  -8,346  -10,042  
 General government (net)  -355 -364 -363 -391 -378 
 Other sectors (net)  -7,653  -8,788  -8,783  -7,955  -9,664  
Capital and finan cial account 
balanceb -58,050  -28,870  -46,707  -58,577  -77,052  
Overall balance  21,488  32,606  22,731  8,618  1,501  
a Preliminary.  
b The capital account is consolidated under the financial account.  
Note:  Figures may not add up to the totals due to rounding.  
Source:  Ministry of Trade and Industry (2016),  Economic Survey of Singapore 2015,  February. Viewed at: 
https://www.mti.gov.sg/ResearchRoom/Pages/Economic -Survey -of-Singapore -2015.aspx ; and data 
provided by the authorities of Singapore.  WT/TPR/S/343 /Rev.1  • Sing apore  
 
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  1.3  Foreign Direct Investment (FDI)  
1.11.   Singapore's annual FDI inflows rose to US$72 billion in 2014 (Table 1.3). The United States 
was Singapore's major investor accounting for 16.3% of t otal inflows in 2014 (year for which the 
most recent data are available), followed by the United Kingdom and Luxembourg (at 10.6% 
each). Inflows of FDI were mainly in financial and insurance services (47.5%) ; professional , 
scientific and technical, adminis trative and support services  (20.9%); and wholesale and retail 
trade (16.9%) in 2014.  
1.12.   Singapore's outward FDI has also been increasing; in 2014, it amounted to around 
US$41  billion, compared with US$29 billion in 2013 and US$15 billion in 2012.10  
Table 1.3 Inflows of FDI by source and sector, 2011 -14 
(%) 
 2011  2012  2013  2014  
Total  (US$ billion)  46.8 61.0 56.1 72.1 
 (% of total)  
ASEAN  3.7 13.6 6.5 6.3 
Malaysia  4.4 5.3 3.1 3.5 
European Union  (EU28)  47.1 2.5 35.2 31.8 
United Kingdom  14.9 -10.6 4.6 10.6 
Luxembourg  11.6 -2.6 6.1 10.6 
Hong Kong, China  2.5 6.5 4.2 7.1 
Japan  -2.7 5.4 6.8 2.4 
United States  15.7 19.8 4.6 16.3 
Other  33.8 52.2 42.8 36.1 
Sector      
Manufacturing  11.2 -9.5 12.1 3.1 
Construction  -1.8 0.2 0.6 0.1 
Wholesale and retail trade  27.8 28.4 27.0 16.9 
Financial & insurance services  33.9 51.1 39.5 47.5 
Real estate  17.3 12.7 10.4 7.1 
Professional, scientific and technical, 
administrative and support services  9.1 7.5 3.2 20.9 
Other activ ities 11.6 17.0 10.5 25.2 
Source:  Information provided by the authorities of Singapore.  
 
                                                
10 UNCTAD (2015) .  WT/TPR/S/343 /Rev.1  • Singapore  
 
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  2  TRADE AND INVESTMENT  REGIME  
2.1  General Framework  
2.1.  There have been no major institutional changes with respect to the Government's allocation 
of responsibilities for tra de-related matters.1 The Ministry of Trade and Industry (MTI) is 
responsible for the formulation and implementation of Singapore's trade policy. In October 2015, 
the Government appointed two ministers to lead MTI – the Minister for Trade and Industry (Trad e) 
and the Minister for Trade and Industry (Industry). A key division under the Ministry's trade 
branch, the International Trade Cluster (with about 30 staff), pursues Singapore's trade interests 
at the multilateral and regional levels. One of its tasks is  to work on the removal of non -tariff 
measures  in other countries , which is a priority for Singapore. The MTI also houses a Trade 
Academy, which was set up in July 2011 to develop and coordinate training programmes to 
strengthen officials' competence.  
2.2.  Following parliamentary elections in 2015, in October of the same year the Government 
announced the creation of a Committee on the Future Economy (CFE).2 The CFE will build on and 
update the report by the Economic Strategies Committee of 2010, taking into acc ount new global 
and domestic developments.3 The Committee will be chaired by the Minister for Finance and the 
Minister for Trade and Industry (Industry) as deputy, and aims to complete its work by end -2016. 
The CFE will address five areas: (i) Corporate ca pabilities and innovation – to recommend 
strategies to enable companies and industry clusters to develop innovative capacities and use 
technology as well as new business models and partnerships to create value; (ii) Future growth 
industries and markets – to identify and design growth strategies for priority clusters in Singapore, 
and to enable companies to seize opportunities in the global marketplace; (iii) Connectivity – to 
study modern connectivity and flows in the future global economy and recommend how  Singapore 
can continue to be a value -creating hub; (iv) Cities – to recommend strategies to enhance 
infrastructure and develop sustainable urban spaces ; and (v) Jobs and skills – to assess the impact 
of demographics and technology on the labour force, and  recommend strategies to create and re -
design jobs, and to equip Singaporeans with the skills needed for the future.  
2.3.  Singapore's legal system has its roots in the English legal system. The hierarchy of written 
laws consists of the Constitution, Acts of Pa rliament and ordinances, and subsidiary legislation. 
Before a law is passed, a bill is introduced to Parliament by a member of Parliament or a minister, 
representing the Government. A bill becomes an Act of Parliament after it is duly passed by 
Parliament and the President gives his assent. Instruments of primary legislation passed by 
Singapore's colonial legislature, before Singapore became an independent nation in 1965, are 
called ordinances. Under an Act of Parliament or ordinance, a government authority  may be 
delegated to draft subsidiary legislation to expand on technical and enforcement matters. 
Subsidiary legislation includes such instruments as proclamations, rules, regulations, orders, 
notifications, and by -laws. As subsidiary legislation does not need to be enacted by Parliament, it 
can be brought into force faster and may be amended without initiating changes in the parent act 
or ordinance. Legislation enters into force on the publication date in the Government Gazette 
(unless otherwise provided f or).  
2.2  Trade Policy Objectives  
2.4.  Singapore's trade policy objectives have remained unchanged since its last trade policy 
review: (i)  to expand international economic opportunities for Singapore -based companies; (ii) to 
seek a predictable and fair trading envi ronment for Singapore -based companies by supporting a 
rules-based multilateral trading system; and (iii) to minimize impediments to the flow of imports 
and exports by continuously improving Singapore's trade and business environment. Singapore 
seeks to ach ieve these goals by engaging its trade partners at the multilateral, regional and 
bilateral levels, while working domestically to improve the flow of goods, services and investments 
into Singapore.  
                                                
1 For ministerial responsibilities, see WTO document WT/TPR/S/267/Rev.1, 18  October 2012, 
Table  AII.1.  
2 Ministry of Finance online information. Viewed at: http://www.mof.gov.sg/news -
reader/articleid/1565/parentId/59/year/2015?category=Press%20Releases .  
3 The Economic Strategies Committee was dissolved in 2010, following the release of its 
recommendations, see WTO document WT/ TPR/S/267/Rev.1, 18 October 2012.  WT/TPR/S/343 /Rev.1  • Sing apore  
 
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  2.5.  Singapore remains a firm supporter of the WTO, which it c onsiders to be the best platform to 
ensure continued growth for all economies. The authorities state that, in an uncertain global 
economic environment, it is all the more important to uphold the WTO's role in monitoring, 
notifications and dispute settlemen t. 
2.3  Trade Agreements and Arrangements  
2.3.1   WTO  
2.6.  This is Singapore's seventh trade policy review ; the last TPR was held in 2012. Singapore 
grants at least most -favoured -nation (MFN) treatment to WTO Members and non -members. It is a 
party to the revised plurilatera l Agreement on Government Procurement, and participates in the 
Information Technology Agreement, including its recent expansion in December 2015. It is a 
signatory to the GATS protocols on telecommunications (Fourth Protocol) and financial services 
(Fifth Protocol). Singapore has observer status in the Committee administering the Plurilateral 
Agreement on Trade in Civil Aircraft.  
2.7.  Singapore was one of the first WTO Members to deposit its instrument of acceptance of the 
Trade Facilitation Agreement (on 8 Janu ary 2015). Singapore notified all the provisions under its 
Category A commitments, and therefore is to implement them immediately upon entry into force 
of the Agreement.4  
2.8.  Singapore has been a firm and long -standing supporter of the Doha Development Agenda  
(DDA). At the 9th WTO Ministerial Conference in Bali in December 2013, the Minister for Trade and 
Industry called on Members to work towards improved market access and services commitments; 
finish the work on the ITA; update rules; start tackling new issu es such as trade and environment, 
investment, non -tariff barriers and e -commerce; and to preserve the regular functions of the 
multilateral trading system, such as monitoring and dispute resolution.5 Singapore has signalled in 
the past that it would be wil ling to make improvements in its services offer in the context of the 
DDA negotiations.6 At the 10th WTO Ministerial Conference in Nairobi in December 2015, the 
Minister for Trade and Industry (Trade) appealed to Members to preserve and strengthen the 
multilateral trading system, and to collectively find ways to breathe new life into the WTO's 
negotiating arm and ensure that the WTO – as a vital pillar of global economic governance – 
remains relevant, dynamic and productive.7  
2.9.  Over the review period, Singap ore has not been involved in any WTO disputes as a 
complaining or defending party, while it has participated as a third party in 13 disputes.  
2.10.   Singapore has maintained its solid record of making WTO notifications (Table A2.1).  
2.3.2   Regional and preferential agre ements  
2.11.   In Singapore, trade with preferential trading partners accounted for  about 80% of imports 
and 74% of exports in 2014.8 Singapore has a network of 21 regional and bilateral free trade 
agreements (FTAs) with 32  trading partners (Table 2.1). Since the last trade policy review in 2012, 
three new FTAs – with Costa Rica, the Gulf Cooperation Council, and Chinese Taipei – entered into 
force. Singapore's FTAs with the European Union and Turkey, as well as the Trans -Pacific 
Partnership Agreement (TPP), are no t yet in force. Singapore is party to a number of overlapping 
regional trade agreements (RTAs) and FTAs, and the incidence of overlap is set to increase with 
the implementation of the TPP. The authorities  view these agreements as complementary ; they 
provid e flexibility for traders, and  allow businesses to benefit from multiple preferential 
arrangements for better optimization of their supply chains.  
                                                
4 WTO document WT/PCTF/N/SGP/1, 18 June 2014.  
5 Plenary Statement by the Min ister for Trade and Industr y (Trade) of Singapore at the 9th WTO 
Ministerial Conference . Viewed at: https://www.wto.org/english/thewto_e/minist_e/ mc9_e/stat_e/sgp.pdf . 
6 WTO document WT/TPR/M/267/Add.1, 12 October 2012, p. 65.  
7 Plenary Statement by the Min ister for Trade and Industry (Trade) of  Singapore at the 10th WTO 
Ministerial Conference . Viewed at: 
https://www.wto.org/english/thewto_e/minist_ e/mc10_e/statements_e/sgp_e.pdf . 
8 WTO Secretariat estimate based on UNSD  Comtrade database.  WT/TPR/S/343 /Rev.1  • Singapore  
 
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  2.12.   Singapore's main priorities in FTA negotiations , according to the authorities, are to achieve 
comprehensive coverage resulting in either immediate or staged (no more than 10 years) tariff 
elimination on all goods, with simple, flexible, and liberal rules of origin to facilitate trade. In terms 
of trade rules, Singapore is seeking to minimize the use of trade rem edies, such as non -application 
of anti -dumping measures. It also seeks to eliminate WTO -inconsistent non -tariff barriers (NTBs), 
and achieve greater market access and removal of restrictions for services and investment as well 
as disciplines that provide f or the protection of investors and investment.  To facilitate outward 
processing activities, Singapore's focus is on rules of origin that provide for tariff shift/process 
rules and regional cumulation.  The authorities maintain that Singapore's FTAs compleme nt the 
Government's trade policy objectives at the multilateral level, whilst ensuring that the 
commitments undertaken in FTAs are consistent with its WTO obligations.  
Table 2.1 Singapore's participation in RT As and FTAs, January 2016  
Partner  ASEAN  ASEAN -FTAs  
(entry into force)  Bilateral FTAs  
(entry into force)  
Australia   X (2010) X (2003)  
Bahrain, Kingdom of (GCC)    X (2013)  
Brunei Darussalam  X  X (2006a) 
Cambodia  X   
Chile   X (2006a) 
China   X (2005 & 2007b) X (2009)  
Costa Rica    X (2013)  
Iceland (EFTA)    X (2003)  
India  X (2010 & 2015b) X (2005)  
Indonesia  X   
Japan   X (2008 & 2009 ) X (2002 & 2007b) 
Jordan    X (2005)  
Korea, Republic of   X (2007 & 2009b) X (2006)  
Kuwait, the State of (GCC)    X (2013)  
Lao PDR  X   
Liechtenstein (EFTA)    X (2003)  
Malaysia  X   
Myanmar  X   
New Zealand   X (2010)  X (2001 & 2006a) 
Norway (EFTA)    X (2003)  
Oman (GCC)    X (2013)  
Panama    X (2006)  
Peru   X (2009)  
Philippines  X   
Qatar (GCC)    X (2013)  
Saudi Ara bia, Kingdom of (GCC)    X (2013)  
Switzerland (EFTA)    X (2003)  
Chinese Taipei    X (2014)  
Thailand  X   
United Arab Emirates (GCC)    X (2013)  
United States    X (2004)  
Viet Nam  X   
a Refers to the Trans -Pacific Strategic Economic Partnership comprising  Brunei, New Zealand, and 
Chile.  
b Refers to the entry into force of separate agreements on goods and services.  
Source:  WTO Secretariat.  WT/TPR/S/343 /Rev.1  • Sing apore  
 
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  2.3.2.1   ASEAN  
2.13.   The creation of the ASEAN Economic Community (AEC) in 2015 was a long -standing goal of 
the 10  ASEAN member count ries to achieve a single market and production base, with a free flow 
of goods, services, and investment within the region. The AEC's key building blocks are the ASEAN 
Trade in Goods Agreement (ATIGA), the ASEAN Framework Agreement on Services (AFAS), and 
the ASEAN Comprehensive Investment Agreement (ACIA). The AEC also has mechanisms that 
address: financial integration and taxation; energy cooperation; competition policy; IPRs; 
consumer protection; food, agriculture and forestry; SME development; infrastru cture 
development; and information and communication technology.  
2.14.   The ATIGA entered into force in 2010 and provides for tariff elimination within ASEAN by 
2018, subject to limited exceptions. Through the ATIGA, Brunei, Indonesia, Malaysia, Philippines, 
Singapore and Thailand have collectively eliminated intra -ASEAN import duties on 99.65% of their 
tariff lines. Cambodia, Lao PDR, Myanmar, and Viet Nam have reduced import duties to 0 -5% on 
98.86% of their tariff lines.9 Singapore has eliminated up -front MFN i mport duties on the 
six remaining dutiable tariff lines. The country -specific  exceptions, i.e. products that are 
permanently excluded from tariff reduction, are included in the "General Exceptions Lists".10 The 
tariff phase -out is complemented by a number o f trade facilitation initiatives, such as an ASEAN 
harmonized tariff nomenclature and the removal of NTBs through harmonization and mutual 
recognition agreements on conformity assessment.  
2.15.   The AFAS, implemented since 1995, provides for preferential services  market access 
through incrementally improved packages of commitments. The services commitments made in 
these packages include new subsectors, higher foreign equity participation, and fewer restrictions 
to trade in various modes of supply. ASEAN members ar e currently in the process of implementing 
the 10th and final package of services commitments, at which stage Singapore will have eased 
restrictions to cross -border trade in more than 130 out of a total of about 160 services subsectors 
(GATS classification  list). In parallel, a new ASEAN Trade in Services Agreement (ATISA) is under 
discussion, which would enhance the current AFAS.  
2.16.   The ACIA came into force in 2012, aiming to facilitate, protect and liberalize cross -border 
investment in ASEAN.11 The liberaliz ation of investment under ACIA covers five sectors 
(manufacturing, agriculture, fisheries, mining and quarrying, and services incidental to these 
sectors); investment liberalization is also pursued under AFAS (GATS mode 3).  
2.17.   In terms of infrastructure deve lopment, ASEAN countries are in the process of establishing 
an ASEAN Single Aviation Market (ASAM) and an ASEAN Single Shipping Market (ASSM), and 
expect to implement several new transport agreements in the coming years, including on land 
transport.  
2.18.   ASEAN has RTAs in place with China, the Republic of Korea, Japan, India, Australia and 
New Zealand (Table 2.1).  Singapore is currently participating in negotiations by ASEAN with India 
and Japan on services and investment ; and with Hong Kong, China on an ASEAN -Hong Kong FTA . 
Furthermore, ASEAN and its six RTA partners launched negotiations in 2012 for a 16-party 
Regional Comprehensive Economic Partnership (RCEP) Agreement.  RCEP negotiations are ongoing.   
2.19.   Singapore's trade with its ASEAN partners accounted for 21%  of its total imports and 30.6% 
of total exports in 2013 -15. 
2.3.2.2   Costa Rica  
2.20.   In 2008, Singapore and Costa Rica launched negotiations to conclude a free trade 
agreement. The Singapore -Costa Rica Free Trade A greement (SCRFTA) was signed on 6  April 2010 
                                                
9 Cambodia, Lao PDR, Viet Nam, and Myanmar have tariff lines that they will further liberalize by 2018.  
10 These are products that are permanently excluded  from tar iff reduction for reasons of national 
security,  protection of public morals, protection of human,  animal, and plant life and health, and the protection  
of articles of artistic, historic, and archaeological  value.  
11 The ACIA incorporates and enhances on th e predecessor agreements on investment: the ASEAN 
Agreement for the Promotion and Protection of Investments  (1987) and the  Framework Agreement on the 
ASEAN Investment Area (1998). WT/TPR/S/343 /Rev.1  • Singapore  
 
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  and entere d into force on 1 July 2013, with full implementation of commitments expected by 
1 January 2022. The SCRFTA was notified to the WTO in September 2013 and considered by the 
Committee on Regional Trade Agreements on 23 June 2014 on the basis of a Factual Pre sentation 
prepared by the WTO Secretariat.12 
2.21.   The agreement comprises 19 chapters and 16 annexes covering, inter alia , trade in goods 
and services, rules of origin, customs facilitation, SPS measures, technical barriers to trade, trade 
remedies, government p rocurement, competition, investment, e -commerce, intellectual property, 
bilateral cooperation, transparency, and dispute settlement.  
2.22.   Singapore eliminated import duties on its six dutiable tariff lines immediately upon entry 
into force of the agreement. Cos ta Rica eliminated customs duties up -front on 88.4% of its tariff 
lines13 – giving Singapore an average 6.8 percentage point margin of preference for all products 
vis-à-vis the prevailing MFN tariff. Costa Rica's remaining tariffs are to be eliminated over a period 
of 10  years, and by 2022 Singapore will benefit from 100% duty -free treatment in its trade with 
Costa Rica.  
2.23.   The liberalization of trade in services and investment follows a negative list approach. 
Financial services were excluded from further lib eralization beyond the existing commitments 
under the GATS. The FTA commitments generally provide access to the services markets at the 
current level (app lied regime) and future level  of liberalization.14 A number of horizontal and 
sector -specific commitmen ts are conditioned by reservations for any future measures regarding 
trade in services and investment. Both sides also committed to raising certain thresholds for 
government procurement contracts.  
2.24.   Singapore's trade with Costa Rica accounted for 0.12% of i ts total imports and 0.01% of 
total exports in 2013 -15.  
2.3.2.3   Gulf Cooperation Council  
2.25.   Negotiations between Singapore and the Gulf Cooperation Council (GCC)15 to reach a free 
trade agreement were launched in November 2006. The Gulf Cooperation Council -Singapore Free 
Trade Agreement (GSFTA) was signed on 15 December 2008 and entered into force on 
1 September 2013. The agreement was notified to the WTO in January 2015.16  
2.26.   The GSFTA comprises 10 chapters and 6 exchange of letters. It covers, amongst others, 
trade in goods and services, customs procedures, government procurement, e -commerce, and 
investment. Upon entry into force of the GSFTA, the GCC eliminated MFN tariffs on approximately 
93.9% of all tariff lines; 2.7% of MFN tariffs are to be eliminated in 2018, whi le the remaining 
3.4% will remain at MFN rates as they are not covered by the FTA.  Singapore eliminated customs 
duties on all goods originating from GCC countries from the date of entry into force of the 
Agreement.  The rules of origin require a value -added  share of at least 35% for imports to qualify 
for preferential tariff treatment, although the procedures for claiming preferential tariff treatment 
have yet to be finalized. The agreement provides for the recognition by Kuwait, Oman, Qatar, and 
the UAE of Singapore's halal certification by Majlis Ugama Islam Singapura (MUIS).  
2.27.   In the services sector, the agreement follows a positive list approach. Singapore has made 
commitments for preferential GCC access for services such as financial services, legal servic es, 
integrated engineering services, advertising, retailing, and transport.  
2.28.   Singapore's trade with the GCC accounted for 10.3% of its total imports and 2.0% of its 
total exports in 2013 -15.  
                                                
12 WTO documents WT/REG347/N/1 and S/C/N/709, 17 September 2013; WT/REG347/1,  3 March 2014; 
and WT/REG347/M/1, 28 July 2014.  
13 2.2% of Costa Rica's tariff lines were already duty -free prior to the FTA.  
14 WTO document WT/REG347/M/1, 28 July 2014.  
15 Bahrain, Kuwait, Oman, Qatar, Saudi Arabia,  and the United Arab Emirates.  
16 WTO notif ication WT/COMTD/N/45/Rev.1 and S/C/N/807/Rev.1, 14 January 2015.  WT/TPR/S/343 /Rev.1  • Sing apore  
 
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  2.3.2.4   The Separate Customs Territory of Taiwan, Penghu, Kinmen and Mats u 
(Chinese  Taipei)  
2.29.   Negotiations of an agreement between Singapore and the Separate Customs Territory of 
Taiwan, Penghu, Kinmen and Matsu on Economic Partnership (ASTEP) were launched in 
December  2010 and the agreement was signed in November 2013. The ASTEP  entered into force 
on 19 April 2014, with full implementation expected by 1 January 2028 (end of transition period). 
The ASTEP was considered by the Committee on Regional Trade Agreements on 30 March 201517, 
based on a Factual Presentation drawn up by the WTO Secretariat.18 
2.30.   The ASTEP covers, amongst others, trade in goods and services, rules of origin, customs 
procedures, SPS and TBT measures, investment, competition, e -commerce, government 
procurement, intellectual property, transparency, and dispute settle ment.  
2.31.   The tariff liberalization by Chinese Taipei will take place in stages – 2,633 of its 8,928 MFN 
tariffs (29.5%) were already tariff -free prior to ASTEP's entry into force. On entry into force, MFN 
tariffs were eliminated on 4,781 tariff lines (53.6%) . The remaining MFN customs duties are to be 
eliminated in stages, with 46 tariff lines remaining dutiable on 1 January 2028. Sensitive products 
excluded from tariff elimination include rice, dairy products (e.g. some fresh milk products), 
processed food p roducts (e.g. some mixtures of nuts and beans), and some varieties of red beans. 
Singapore eliminated MFN import duties up -front on its six dutiable tariff lines.   
2.32.   Regarding trade in services, the market access commitments follow a negative list 
approach.  Singapore has made enhanced market access commitments compared with its GATS 
schedule in services sectors such as business services, courier services, telecoms, construction, 
distribution, education, environment, tourism, travel, recreation, and transport .19 The parties have 
scheduled a number of horizontal and sector -specific reservations for any future measures 
regarding investment and cross -border trade.   
2.33.   Singapore's trade with Chinese Taipei accounted for 8.1% of its total imports and 3.9% of 
its total  exports in 2013 -15.  
2.3.2.5   European Union  
2.34.   Negotiations of the European Union -Singapore Free Trade Agreement (EUSFTA) were 
launched in 2009. The chapters on goods and services were concluded in 2012 and the investment 
chapter in 2014. The agreement will come int o force after it has been signed and ratified.  
2.35.   The EUSFTA comprises 17 chapters, a protocol on rules of origin, and various 
understandings. The agreement covers, amongst others, trade in goods and services, non -tariff 
barriers in designated sectors (elect ronics, motor vehicles and parts, pharmaceuticals, medical 
devices), SPS measures, intellectual property rights and enforcement, protection of geographical 
indications (with a higher level of protection than required under the TRIPS Agreement), 
government procurement, competition, transparency, and dispute resolution.20 With respect to 
intellectual property, Singapore has undertaken to amend its Copyright Act within two years of the 
entry into force of the agreement, which will allow producers of sound recor dings to receive 
remuneration when their music is broadcast or played in public.  
2.36.   The EU is to eliminate MFN tariffs on 80% of its tariff lines once the agreement enters into 
force. The remaining tariffs are to be eliminated within three to five years of e ntry into force. 
Singapore is to eliminate MFN import duties on its six dutiable tariff lines up -front upon entry into 
force. The EUSFTA provides for rules of origin that will allow the sourcing from other ASEAN 
countries as originating content ("ASEAN cum ulation") for a selected list of products, and for all 
products from ASEAN countries that have entered into preferential trade agreements with the EU.  
                                                
17 WTO document WT/REG350/M/1, 9 April 2015.  
18 WTO document WT/REG350/1, 19 January 2015.  
19 For a more detailed description of services commitments, see the Secretariat's Factual Presentation  
(WT/REG350/1 ). 
20 The text of the EUSFTA has been made available at: 
http://trade.ec.europa.eu/doclib/press/index.cfm?id=961 . WT/TPR/S/343 /Rev.1  • Singapore  
 
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  2.37.   The agreement follows a positive list approach for services. The market access 
commitments for services c over, amongst others, environmental services, computer and related 
services, professional and business services, financial services, maritime transport services, 
telecom services, and courier and postal services.  
2.38.   Singapore and the EU already have deep trad e and investment ties. Singapore's trade with 
the EU accounted for 12.3% of its total imports and 7.8% of its total exports in 2013 -15. 
2.3.2.6   Turkey  
2.39.   After seventeen months of negotiation, the Turkey –Singapore Free Trade Agreement 
(TRSFTA) was signed on 14 Novemb er 2015. According to the authorities, the TRSFTA is expect ed 
to enter into force in 2017.  
2.40.   The TRSFTA covers, amongst others, trade in goods and services, non -tariff barriers, 
investment, government procurement, intellectual property rights, e -commerce, co mpetition, and 
transparency. On entry into force of the agreement, Singapore is to eliminate its MFN import 
duties on its six dutiable tariff lines, while Turkey is to eliminate its MFN tariffs on 80% of tariff 
lines, increasing to 95% of tariff lines at t he end of a ten -year transition period.  
2.41.   Market access commitments for services cover sectors of mutual interest, such as retail 
services, business services, and construction services. Since Turkey is not a member of the 
Agreement on Government Procurement,  the TRSFTA will for the first time open part of the 
Turkish government procurement market to Singaporean companies, and vice versa.  
2.42.   Singapore's trade with Turkey accounted for 0.1% of its total imports and 0.1% of its total 
exports in 2013 -15.  
2.3.2.7   Trans -Pacific Partnership Agreement (TPP)  
2.43.   The Trans -Pacific Partnership Agreement (TPP)  is an agreement between 12 parties: 
Australia, Brunei Darussalam, Canada, Chile, Japan, Malaysia, Mexico, New Zealand, Peru, 
United  States, Viet Nam, and Singapore. This is Sing apore's first FTA with Canada and Mexico. The 
TPP was concluded on 5 October 2015 after five and a half years of negotiation. Following a legal 
verification exercise by the parties, the text of the agreement was released to the public in English 
on 26 Janu ary 2016.21 The TPP was signed by all parties on 4  February 2016. The TPP is to enter 
into force 60 days after all original signatories have notified completion of their domestic legal 
procedures. If this has not occurred within two years of signature, the agreement will enter into 
force 60 days after the expiry of that two year period if at least six original signatories accounting 
for 85% of the combined GDP of the original signatories have ratified the agreement. The TPP is 
designed in a way that will all ow interested parties to join the agreement.  
2.44.   The TPP consists of 30 chapters, as well as numerous annexes and side letters on bilateral 
matters. The agreement includes provisions on, inter alia , trade in goods; customs and trade 
facilitation; SPS measures;  technical barriers to trade; trade re medies; investment; services; 
e-commerce; government procurement; intellectual property; labour; environment; cooperation 
and capacity building; competition policy; state -owned enterprises; regulatory coherence; 
transp arency and anti -corruption; dispute settlement; and institutional provisions.   
2.45.   Singapore's trade with TPP partners accounted for 30.6% of its total imports and 29.7% of 
its total exports in 2013 -15. 
2.3.3   Other agreements and arrangements  
2.46.   Since its creation in 1989, the 21 members of the Asia Pacific Economic Cooperation  (APEC) 
organization have adopted the principle of "open regionalism" with out necessarily establishing a 
regional free trade area. Trade liberalization at APEC level has been pursued through voluntary 
and non -binding Individual Action Plans (IAPs) that are intended to indicate how countries plan to 
                                                
21 The text of the TPP is available online at: https://www.mfat.govt.nz/en/about -us/who -we-are/treaty -
making -process/trans -pacific -partnership -tpp/text -of-the-trans-pacific -partnership/ . WT/TPR/S/343 /Rev.1  • Sing apore  
 
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  achieve the targeted goal of f ree trade and investment (Bogor Goals). Most APEC members have 
implemented a joint tariff liberalization initiative over the period 2012 -16, whereby tariffs on 
54 environmentally -friendly goods were either reduced or eliminated on an MFN basis. All the 
listed goods are already duty -free in Singapore. The tariff reductions are intended to promote 
regional trade in environmental goods, estimated by APEC at around US$300 billion within the 
region and US$500  billion globally .22 
2.4  Investment Regime  
2.47.   There have been  no major changes to Singapore's investment regime since its last trade 
policy review. The Accounting and Corporate Regulatory Authority (ACRA) is responsible for 
regulating business entities and public accountants, while the mission of Contact Singapore23 is to 
devise strategies to attract overseas Singaporeans and foreigners to invest and work in Singapore.  
2.48.   Singapore does not have a cross -sectoral investment law. The establishment of a business 
(e.g. company, foreign company, sole proprietorship, partnersh ip, limited liability partnership, or 
limited partnership) is governed by the Business Names Registration Act 2014, the Companies Act 
(Cap. 50, 2006 Revised Edition), the Limited Liability Partnerships Act, and the Limited 
Partnerships Act. The registratio n of a business entity requires an authorized representative 
(Singapore citizen, Singapore permanent resident or Singapore Employment Pass holder) in cases 
where the individual proprietor, all partners or all officers of a foreign company do not reside in 
Singapore. In line with Singapore's horizontal GATS commitments, locally incorporated companies 
must have at least one director resident in Singapore, while branches of foreign companies 
registered in Singapore are required to have at least one authorized representative resident in 
Singapore (Singapore citizen, Singapore permanent resident or Singapore Employment Pass 
holder).24 Certain business activities and services are subject to activity licensing or other forms of 
authorization.25  
2.49.   There are few foreign  investment restrictions. Singapore maintains restrictions on foreign 
banks in the domestic retail banking market  (section 4.2.1 .1). Singapore also restricts the practice 
of Singapore law by foreign -qualified lawyers ( section 4.2.5.1). Foreign equity ceili ngs apply to the 
port operator PSA Corporation (49%)26, and to broadcasting services (49%).27 
2.50.   The stay of foreign professionals in Singapore is restricted, but in line with its GATS 
commitments there are no numerical restrictions on intra -corporate transfere es. The applied MFN 
regime allows foreign professionals, managers, executives and specialists to apply for an 
Employment Pass, valid for up to three years, renewable for up to two years, and for a maximum 
stay of five years.  Business visitors, where requir ed, will need to apply for a visa prior to their 
arrival in Singapore. A visit pass with a validity of up to 90 days may be granted at the point of 
entry.  Singapore maintains restrictions on the ownership of residential land and landed residential 
properti es by foreigners.  
2.51.   Singapore has 41 investment guarantee agreements (bilateral investment treaties) in force, 
which are intended to help promote greater cross -border investment flows by providing investors 
with greater levels of protection and legal certain ty. Over the review period, three new investment 
guarantee agreements entered into force, with the United Arab Emirates (8 April 2012), Kuwait 
(15 April 2013), and the Russian Federation (16 June 2013). Singapore also signed new 
                                                
22 APEC o nline information. Viewed at: http://www.apec.org/Press/News -Releases/2016/0128_EG.aspx . 
23 Contact Singapore is an alliance between  the Singapore E conomic Development Board and the 
Ministry of Manpower . 
24 ASEAN online information. Viewed at: 
http://www.asean.org/storage/images/2012/Economic/AIA/Agreement/Singapore%20Rsv%20List%20%20(Fin
al%20582010).pdf . 
25 For example, p ermits are required from the Ministry of Trade and Industry (MTI)  for health, safety, 
environmental, and intellectual property reasons  for certain manufacturing activities ( beer and stout; cigars; 
cigarettes; drawn steel products; chewing gum  (other than medicinal gum and oral dental gu m); and 
matches ). 
26 A 5% equity o wnership limit  for PSA Corporation applies to all individual shareholders (i.e. both local 
and foreign), apart from the Singapore Government.  
27 Individual stakes of 5% or more are subject to approval by the Minister for Com munications and 
Information . WT/TPR/S/343 /Rev.1  • Singapore  
 
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  agreements with Colombia, B urkina Faso, Côte d'Ivoire, and Iran.28 Singapo re has 80 avoidance of 
double taxation agreements (DTAs) in force (as at February 2016). During the review period, 
16 new or revised DTAs entered into force.29  
                                                
28 See also MTI online information. Viewed at: https://www.mti.gov.sg/MTIInsights/Pages/IGAs.aspx . 
29 Barbados (25 April 2014), Belarus (27 December 2014 ), Ecuador (18 December 2015), Guernsey 
(26 November 2013), Isle of Man (2 M ay 2013), Jersey (2 May 2013), Liechtenstein (25 July 2014), 
Luxembourg (28 December 2015), Morocco (15 January 2014), Poland (6  February 2014), Rwanda 
(15 February 2016), San Marino (18 December 2015), Seychelles (18 December 2015), Spain 
(2 February  2012), Switzerland (1 August 2012 ), and Thailand (15 February 2016).  For further details on 
DTAs, see Inland Revenue Authority of Singapore (IRAS) online information , "International Tax" . Viewed at: 
http://www.iras.gov.sg/irasHome/Quick -Links/International -Tax/. WT/TPR/S/343 /Rev.1  • Sing apore  
 
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  3  TRADE POLICIES AND P RACTICES BY MEASURE   
3.1  Measures  Directly Affecting Imports  
3.1.1   Customs procedures and requirements  
3.1.  There have been no major changes to customs procedures since Singapore's last trade policy 
review. Business entities are required to register with the Accounting and Corporate Regulatory 
Authority (ACRA) before engaging in any import/export activity. They must obtain a Unique Entity 
Number1 and activate a customs account with Singapore Customs. Applications for the activation 
of a customs account can be processed within 4 working hours (if no supporting documents are 
required) or 3 working days (from receipt of complete supporting documents).  
3.2.  Customs procedures, including permit applications are carried out online through Singapore 
Customs' single window TradeNet. All trade declarations are sub mitted and processed through the 
system.  An import permit is required for each import consignment (except for goods that are to 
remain in free trade zones for transhipment to other countries). Operators must obtain the import 
permit prior to importation. I n 99% of all cases, a decision is provided within 10 minutes.  
3.3.  Importers are required to register as a "declaring agent" in order to make an application for a 
permit, certificate or any form of approval2; they  are not required to appoint a declaring agent to 
transact on their behalf. In January 2013, Singapore Customs started implementing its Declaring 
Agent Governance Framework. The framework aims to raise the level of proficiency and 
professionalism of the declaring agent industry. Under the framework, de claring agents are 
required to undergo an assessment by Singapore Customs during the registration process and 
subsequent renewals. The assessment covers criteria related to personnel management, training 
on customs procedures, the company's processes and p rocedures, standard operating procedures, 
and the company's information management and controls. Depending on the performance during 
the assessment, companies are classified into one of the following five categories, with increasing 
levels of trade facilit ation accorded: basic, standard, intermediate, enhanced, and premium. The 
validity of the renewal period ranges from one year (basic band) to three years. Furthermore, 
companies benefit from reduced or a waiver of security requirements as they progress thr ough the 
different bands. For instance, premium band companies are not required to lodge a security for 
most type of transactions.  
3.4.  Singapore has no laws or regulations relating to pre -shipment inspection. Physical 
examination of imports is carried out by t he Immigration and Checkpoints Authority (ICA) based 
on specific intelligence or risk profiling. Documentary checks and audits are conducted on past 
shipments.  
3.5.  Singapore deposit ed its instrument of acceptance of the Trade Facilitation Agreement on 
8 Janua ry 2015 . It has notified all the provisions under its Category A commitments, and therefore 
is to implement them immediately upon entry into force of the Agreement.3  
3.6.  The Trade Facilitation and Integrated Risk -based System (TradeFIRST) was launched in 
2011, providing an integrated assessment framework to better engage companies and determine 
the level of trade facilitation accorded under Singapore Customs' schemes. Under TradeFIRST, 
companies are assessed and classified into five tiers of trade facilitation  (basic, standard, 
intermediate, enhanced, and premium), with companies on a higher tier enjoying a greater level of 
trade facilitation than those on a lower tier (Table 3.1). All registered companies are eligible for 
the facilities available under the bas ic category.  
                                                
1 The Unique Entity Number (UEN) was implemented in January 2009 with the goal of serving as the 
single identification number that can be used by registered entities in all i nteractions with government 
agencies. For most businesses and local companies, it is issued by the ACRA . A full list of issuing agencies is 
available online. Viewed at: 
https://www.uen.gov.sg/ueninternet/faces/pages/admin/aboutUEN.jspx?_afrLoop=36079761117 5691&_afrWin
dowMode=0&_adf.ctrl -state=12sbvtb5ta_60 . 
2 A declaring agent is an entity making an application for a permit, certificate, licence or any other 
document or form of approval (through a declarant) on behalf of a declaring entity (including where the 
declaring entity is concurrently registered as that declaring agent).  
3 WTO document WT/PCTF/N/SGP/1, 18 June 2014.  WT/TPR/S/343 /Rev.1  • Singapore  
 
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  Table 3.1 Overview of the TradeFIRST Assessment Framework, March 2016  
Trade facilitation and customs schemes included under each tier Number of 
certified 
companies  
Basic:  
- Waiver of the requirem ent to lodge a security for certain transactions such as the storage or 
temporary import of dutiable goods, if the amount required is S$2,000 or less;  
- Temporary Import Scheme (temporary import of goods with suspension of duty and GST 
(goods and services  tax), or temporary export of GST -paid goods and their re -import without 
GST and duty);  
- Option for port operators to declare simplified permits for the inter -gateway movement of 
containers between different free trade zones via barges (Inter -Gateway Bar ge) or road 
(Inter -Gateway Haulage);  
- Cargo Agent's Import Authorisation (CAIA) Scheme (option for cargo agents to take delivery 
of their air cargos before obtaining the relevant customs permits);  
- Certificate of Origin (CO);  
- TradeNet account  All 
registered 
entities  
Standard:  Basic (above), plus:  
- Licensed Warehouse Scheme (see para . 3.8) Type I;  
- Zero-GST Warehouse Type 1 (for operators that store imported goods with at least 80% 
intended for re -export);  
- Microbrewery  70 
Intermediate:  Standar d (above), plus:  
- Licensed Warehouse Scheme Type II ; 
- Zero-GST Warehouse Scheme Type II  (for operators that store imported goods at one 
location, for regional/international and/or local distribution);  
- Secure Trade Partnership  125 
Enhanced:  Intermediate (above), plus:  
- Strategic Trade Scheme Bulk Permit;  
- Licensed Warehouse Scheme Type III;  
- Zero-GST Warehouse Scheme Type III (for operators that store imported go ods at different 
locations, for international/regional and/or local distribution);  
- Petroleum Licence (to manufacture dutiable petroleum products and store dutiable and non -
dutiable petroleum products in licensed premises with suspension of duty and GST;  
- Air Store Bond Scheme (licensed premises for storing dutiable goods intended for supply to 
airlines operating out of Changi airport terminals, with suspension of duty and GST);  
- Duty Free Shop Scheme (for the sale of dutiable goods at duty -free prices t o travellers 
departing from or returning to Singapore);  
- Excise Factory Scheme (licensed premises for manufacturing and storing dutiable goods with 
suspension of duty and GST);  
- Container Freight Warehouse Licence (allows logistics operators to conduct b ulk breaking and 
consolidation operations on cargos with less than full container load outside a FTZ);  
- Company Declaration Scheme (allows approved operators to remove local goods or goods 
with GST accounted for from the Airport Logistics Park of Singapor e into customs territory 
using a Company Declaration form, in lieu of TradeNet permits);  
- Industrial Exemption Factory Scheme (duty exemption for industries that use dutiable goods 
as raw materials solely to manufacture non -dutiable finished goods)  123 
Premium:  Enhanced (above), plus:  
- Waiver of security for most types of transactions;  
- Reduced container sealing;  
- Waiver of post -importation documentation checks;  
- Secure Trade Partnership Plus;  
- APEX Licence (savings in licence fees and simplified doc umentation requirements);  
- Consolidated declaration;  
- Bonded Truck Scheme (facilitated time -sensitive transhipments between land checkpoints 
and Changi Free Trade Zone)  127 
Source:  Singapore Customs online information. Viewed at : http://www.customs.gov. sg/businesses/customs -
schemes -licences -framework/tradefirst . 
3.7.  Singapore Customs continues to operate its Secure Trade Partnership programme (STP), a 
voluntary certification scheme launched in 2007 with the goal of improving global supply chain 
security. Thr ough the programme, supply chain stakeholders are encouraged to adopt security 
measures in their trading operations. The programme provides for security guidelines that WT/TPR/S/343 /Rev.1  • Sing apore  
 
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  stakeholders should achieve in order to enhance the security of their operations. Compa nies that 
are certified under the programme are viewed as trusted partners, and enjoy benefits. For 
example, companies'  cargos considered to be low -risk will be subjected to less frequent customs 
inspections, and hence there should be time -saving benefits at the border. Companies with high 
security standards in place can be awarded the STP -Plus certification, the highest tier of the 
accreditation programme. Singapore Customs has signed and operationalized mutual recognition 
arrangements or agreements (MRAs)  with several other customs administrations, thereby mutually 
recognizing each other's supply chain security programmes and customs controls. The authorities 
stated that STP-Plus-certified companies are recognized by the trading partner with MRAs as 
low-risk at destination. Since its last review, Singapore has concluded MRAs with: China (2012); 
Chinese Taipei (2013); Hong  Kong,  China (2014); and the United States (2014).4 As at 
January  2016, there were 72  STP- and 77  STP-Plus-certified companies, compared w ith 29 and 
47 respectively in March  2012.  The authorities consider that the programme is consistent with the 
WCO Framework of Standards to Secure and Facilitate Global Trade (SAFE Framework).  
3.8.  During the review period, Singapore Customs reformed its License d Warehouse Scheme 
(LWS). Under the scheme, companies can store imported dutiable goods such as liquor, tobacco, 
motor vehicles and petroleum for an indefinite period of time in a licensed area with import duties 
and goods and services tax (GST) suspended.  Starting in April 2012, the Scheme has been 
restructured to create three tiers of licences: Type I, which is equivalent to the former licence, and 
Type II and Type III where licensees are granted less strict regulatory controls and permit 
requirements. Fo r instance, Type II licensees pay a single annual licence fee, instead of separate 
fees, for the storage of both liquor/tobacco products and motor vehicles. Type III licensees are 
allowed to store both duty -suspended and duty -paid dutiable goods within the  licensed area, to 
operate multiple licensed areas under a single licence, and to pay a single licence fee. The tiered 
structure is also linked to the integrated TradeFIRST assessment framework: operators in the 
Premium and Enhanced tiers are granted a Typ e III licence, while those in the Intermediate and 
Standard tiers are awarded Type II and Type I licences respectively (Table 3.1). Warehouses 
licensed under the LWS or the zero -GST Warehouse Scheme can apply for the Specialised 
Warehouse Scheme (SWS), a s cheme introduced in 2011 to provide storage facilities for goods 
meant for export  (Table 3.3) . 
3.9.  Singapore has also enhanced its TradeXchange platform by launching new services. Launched 
in 2007, TradeXchange is an IT platform that is aimed at facilitating t he exchange of information 
within the trade and logistics community.5 The authorities consider that, by having the trading 
community integrate their trade processes through a single data exchange platform, and pass on 
documents and information in industry -accepted standardized formats, TradeXchange has reduced 
the need for multiple data entries, reducing errors and resultin g in faster completion of 
trade -related processes. New services introduced during the review period include the 
TradeXchange eCO Prepara tion Service, enabling the re -use of data from approved permits to 
apply for the electronic certificate of origin (eCO); the Permit Report Service, allowing operators to 
combine shipment details into one single report; and the TradeXchange Repository Servi ce. 
3.10.   Singapore is actively engaged in other trade facilitation initiatives at the regional level, 
especially within the ASEAN community. For example, Singapore has been supportive of the 
ASEAN Single Window (ASW) initiative and is currently participating in  the ASW Pilot Project on the 
exchange of electronic ASEAN Trade in Goods Agreement (ATIGA) Form D. The ASW initiative aims 
to expedite cargo clearance and customs processing time through the automatic exchange of data.  
3.1.2   Customs valuation  
3.11.   There have been no  changes to customs valuation procedures in Singapore. The customs 
value of goods is determined based on the provisions of the Customs (Valuation) Regulations, 
which follow the valuation sequencing set out in the WTO Customs Valuation Agreement. Imports 
are valued on the basis of their transaction value. Values in foreign currenc y are converted into 
                                                
4 Singapore also has MRAs with Canada (2010), the Republic of Korea (2010), and Japan (2011).  
5 TradeXchange  is a multi -agency initiativ e led by Singapore Customs, the Infocom m Development 
Authority of Singapore, the Economic Development Board , and SPRING Singapore.  WT/TPR/S/343 /Rev.1  • Singapore  
 
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  local currency using the exchange rate set by Singapore Customs and prevailing at the time of 
import.6  
3.12.   Operators may apply for an advance ruling on valuation. There is a fee of S$165 per 
customs ruling issued.7 There have been no advance valuation rulings to date.  
3.1.3   Rules of origin  
3.13.   Singapore does not apply any MFN rules of origin and there is no certificate of origin 
requirement for such imports. Preferential rule s of origin requirements are contained in RTAs and 
FTAs that Singapore is party to.  
3.1.4   Tariffs  
3.14.   During the 2013 fiscal year (FY2013)8, revenues collected from customs and excise duties 
amounted to S$2.2 billion, representing 4.3% of tax revenues (compared to 4 .6% in FY2011).9 
Most of this revenue is from excise duties.  
3.15.   Singapore uses the revised ASEAN Harmonized Tariff Nomenclature (AHTN) as the basis for 
classifying its traded goods.10 The AHTN is based on the 2012 version of the Harmonized 
Commodity Descriptio n and Coding System (HS). There are 9,558 tariff lines at th e HS 8-digit 
level in Singapore' s tariff nomenclature. Singapore' s applied tariffs are at zero, with the exception 
of four product groups, consisting of 6 tariff lines. They are : stout and porter;  other beer made 
from malt, including ale; medicated samsu ; and other samsu . These items are subject to specific 
tariffs (Table 3.2). Tariffs on these four product groups are maintained for socio -cultural reasons.11 
This has not changed since Singapore's pr evious trade policy review.  
Table 3.2 Applied and bound MFN tariffs, 2016  
HS Code  Product description  Applied rate  Bound rate  
22.03  Beer made from malt    
2203.00.10  Stout or porter  S$16.00/litre of 
alcohol  S$4.80/litrea 
2203.00.90  Other beer, including ale  S$16.00/litre of 
alcohol  S$3.60/litrea 
22.08  Undenatured ethyl alcohol of an alcoholic strength 
by volume of less than 80% vol.; spirits, liqueurs 
and other spirituous beverages    
2208.90.10  Medicated samsu  of an alcoholic strength by volume not 
exceeding 40% vol.  S$8.00/litre of 
alcohol  S$27.00/litre of 
alcohol  
2208.90.20  Medicated samsu  of an alcoholic strength by volume 
exceeding 40% vol.  S$8.00/litre of 
alcohol  S$27.00/litre of 
alcohol  
2208.90.30  Other samsu  of an alcoholic strength by volume not 
exceeding 40% vol.  S$8.00/litre of 
alcohol  S$27.00/litre of 
alcohol  
2208.90.40  Other samsu  of an alcoholic strength by volume 
exceeding 40% vol.  S$8.00/litre of 
alcohol  S$27.00/litre of 
alcohol  
a The boun d rate is specified per litre of beverage; the rate per litre of alcohol is not available.  
Source:  Singapore Customs online information. Viewed at: 
http://www.customs.gov.sg/businesses/valuation -duties -taxes --fees/duties -and-dutiable -goods/list -
of-dutiable -goods ; and WTO Secretariat.  
3.16.   As a result of the Uruguay Round , Singapore bound 69.3% of its tariff lines, mostly at 
ad valorem rates ranging from 0 to 10% (Table A3.1). The six tariff lines subject to non -duty-free 
                                                
6 Customs exchange rates are set on a weekly basis and are available on the website of Singapore 
Customs. Viewed at: http://www.customs.gov.sg/eservices/customs -exchange -rates-and-currency -
converter/customs -exchange -rate.  
7 Traders may also apply for a customs  ruling on the classification of goods. There is a S$75 fee per 
product.  
8 The Government's fiscal year (FY) begins on 1 April of the current year and ends on 31 March of the 
following year.  
9 Singapore Statistics online information. Viewed at:  https://www.singstat.gov.sg/docs/default -
source/default -document -
library/publications/publications_a nd_papers/reference/yearbook_2015/excel/topic20.xls . 
10 The AHTN is harmonized at the 8 -digit level across all ASEAN member countries.  
11 WTO document WT/TPR/M/202/Add.1, 15 September 2008.  WT/TPR/S/343 /Rev.1  • Sing apore  
 
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  applied MFN rates are bound at specific rates.  The simple average bound rate is 6.9%. The 
absence of bindings for around 30% of tariff lines might create some unpred ictability in the trading 
regime. However, Singapore's applied MFN tariff has remained unchanged since the previous trade 
policy review. The authorities indicated that Singapore is prepared to increase its binding coverage 
as part of the Doha Development A genda negotiations. As a result of Singapore's commitments 
under the ITA Expansion Agreement, the binding coverage might expand for some categories such 
as electric machinery, chemicals and photographic supplies.  
3.1.5   Internal taxes  
3.1.5.1   Goods and services tax (GST ) 
3.17.   Introduced in 1994, the goods and services tax (GST) is a major source of tax revenue in 
Singapore. During the FY2013, it generated S$9.5 billion in tax revenue, accounting for 18.6% of 
the total tax revenue.12 GST collected on imports accounted for 57.9%  of the total GST collected.  
3.18.   The GST is levied on domestically produced or imported goods and services at the standard 
rate of 7%. A zero -rate applies to the export of goods and the supply of international services.13 
During the review period, the list of eligible international services was expanded to include services 
performed on goods stored in a warehouse under the Specialised Warehouse Scheme. On imports, 
the GST is collected at the point of entry and is based on the c.i.f. value of goods plus import d uty 
and any other charges (such as excise duty), if applicable. Non -taxable supplies include: financial 
services, the sale or lease of residential property (excluding furniture and fittings), and 
investment -grade gold and precious metals (since  1 October  2012).  
3.19.   Various GST relief schemes are available to businesses (Table 3.3). In general, businesses 
can only use the privileges of the relief schemes for their own goods or goods belonging to their 
non-GST registered overseas principals. However, since 2015,  several schemes have been 
reviewed to allow businesses to use the privileges on imports belonging to their local or 
GST-registered overseas customers, which have been sent abroad for value -added activities.  
Table 3.3 GST relief schemes, February 2016  
Scheme  Description  Developments since 2012  
General    
Cash Accounting 
Scheme  Allows eligible small businesses (annual sales of 
less than S$1 million) to account for output tax 
upon receipt of payment from custome rs, instead 
of at the time of supply  No change  
Discounted Sale Price 
Scheme  Allows dealers to charge GST on 50% of the 
selling price of a second -hand/used vehicle that 
was purchased free of GST  No change  
Gross Margin Scheme  GST is accounted for on the gr oss margin instead 
of on the full value of goods supplied (available 
for second -hand dealers)  No change  
Hand-Carried Exports 
Scheme (HCES)  For businesses wishing to zero -rate their supplies 
to overseas customers for goods hand -carried out 
of Singapore via  Changi International Airport  No change  
Import GST Deferment 
Scheme (IGDS)  Allows businesses to pay GST on imports with 
their monthly GST returns instead of at the point 
of importation  Extended to goods belonging to 
local or GST -registered overseas 
custo mers, which have been sent 
abroad for value -added activities  
                                                
12 Singapore Statistics online information. Viewed at : https://www.singstat.gov.sg/docs/ default -
source/default -document  
library/publications/publications_an d_papers/reference/yearbook_2015/excel/topic20.xls . 
13 These are : international transport for goods and services; lease or hire of transport; services related 
to land/buildings/goods located overseas; services related to goods for export; services performe d completely 
overseas; services supplied to overseas persons; supplies related to ships or aircraft; telecommunications 
services; trust services; colocation services for computer server equipment; services related to electronic 
systems for the import and e xport of goo ds; advertising services; supplies related to air and sea containers ; 
and s ervices performed on goods stored in a warehouse under the Specialised Warehouse Scheme . WT/TPR/S/343 /Rev.1  • Singapore  
 
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  Scheme  Description  Developments since 2012  
Major Exporter 
Scheme (MES)  Suspension of GST on non -dutiable goods at the 
point of import and also when the goods are 
removed from an approved warehouse (unless 
the goods are for local consump tion) Same as above  
Zero GST Warehouse 
Scheme  GST suspension on the import of non -dutiable 
overseas goods into the Zero -GST warehouse  No change  
Industry -specific    
Approved Contract 
Manufacturer and 
Trader (ACMT) 
Scheme  Eligible businesses are relieved of the need to 
account for GST on value -added activities 
supplied to non -GST registered overseas 
customers  Extended to goods belonging to 
local or GST -registered overseas 
customers, which have been sent 
abroad for value -added activities  
Approved Refiner a nd 
Consolidator Scheme 
(ARCS)  Benefits include GST suspension on qualifying 
imports  
 Same as above; changes have 
been made to provide for 
repayment of GST when ARCS 
privileges are incorrectly used  
Approved Import GST 
Suspension Scheme  Additional import GS T suspension benefits for 
qualifying aircraft parts (aerospace industry)  No change  
Approved Marine 
Customer Scheme  Zero-rating on purchases or rental of goods, and 
repair or maintenance services on ship parts or 
components  No change  
Approved Marine Fuel 
Trader (MFT) Scheme  Exemption from GST payment when making local 
purchases of approved marine fuel oil  No change  
Approved Third Party 
Logistics (3PL) 
Company Scheme  Exemption from the payment of GST on imports, 
or charging GST on the supplies of overseas 
clients  No change  
Specialised Warehouse 
Scheme (SWS)  Allows the zero -rating of qualifying services 
performed on qualifying goods stored in an 
Approved Specialised Warehouse; and the 
lease/tenancy/licence to occupy a storage space 
in an Approved Specialise d Warehouse  Extended to operators of 
Zero-GST or licensed warehouses 
that store insignificant amounts 
of non -qualifying goods  
Source:  Inland Revenue Authority of Singapore (IRAS) online information. Viewed at: 
https://www.iras.gov.sg/irashome/GST/GST -registered -businesses/GST -schemes/ . 
3.1.5.2   Excise dut ies 
3.20.   Excise duties are imposed on alcohol products, tobacco and tobacco products, petroleum 
products (motor spirits and com pressed natural gas), and motor vehicles. During the review 
period, excise duties were increased on tobacco and tobacco products , alcoholic beverages, and 
some petroleum products  (Table  3.4). 
Table 3.4 Excise duty rates and changes over 2012 -15 
Product  Rate Number of 
tariff lines  
Alcohol products  S$88 per litre of alcohol  since 21.02.2014  (up from S$70), except 
for the following products:  
- stout, beer, cider, perry: S$60 per litre of alcohol (up  from S$48 
previously)  
- shandy: S$60 per litre of alcohol (down  from S$70 previously)  
- certain alcoholic preparations or concentrates: S$113 per kg 
(up from S$90 previously)  50 
Tobacco and tobacco 
products  S$299 to S$352 per kg since 25.02.2013 or 21.02.2014 (up fro m 
S$239 to S$352); for certain cigarettes the rate is S$38.8 cents 
(up from S$32.5  cents) for every gram, or part thereof, of each 
cigarette stick  30 
Motor spirits  S$3.70 per decilitre (dl) to S$7.10 per dl; since 23.02.2015, 
unleaded gasoline of an octan e rating  of 90 and above but below 
97, and of 97 and above, attract respectively S$5.60 per dl (up 
from S$4.10) and S$6.40 per dl (up from S$4.40)  6 
Compressed natural gas  S$0.20 per kg  1 
Motor vehicles  20% except for mopeds and motorcycles (12%)  151 
Source:  Singapore Customs online information. Viewed at: 
http://www.customs.gov.sg/businesses/valuation -duties -taxes --fees/duti es-and-dutiable -goods/list -
of-dutiable -goods . WT/TPR/S/343 /Rev.1  • Sing apore  
 
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  3.1.6   Import prohibitions, restrictions, and licensing  
3.21.   Singapore's framework for import controls has remained substantially unchanged since 
2012. Import controls are maintained mainly for health, safety, environment al and national 
security reasons, or under international agreements. Restricted imports (other than prohibited 
items) are subject to licensing requirements, which may be automatic or non -automatic depending 
on the product. The licensing system applies to r estricted imports from all countries. Products 
subject to automatic import licensing include: mastering and replication equipment for CDs, 
CD-ROMs, VCDs, DVDs and DVD -ROMs; films, video tapes and video games; and publications 
(includes books, magazines, so und recordings, pictures or drawings, and photographs).14 Table 3.5 
lists goods subject to import prohibitions or non -automatic licensing.  
Table 3.5 Goods subject to import prohibitions or non -automatic licens ing 
General description of the restriction  WTO justification/grounds 
for restriction  Administering 
agency  
Prohibitions    
Piranhas  GATT Art. XX(b)  Agri-Food and 
Veterinary Authority  
Chewing gum (except for therapeutic purposes)  GATT Art. XX(b)  Singapore  Customs  
Cigarette and table lighters in the shape of a pistol or 
revolver  GATT Art. XX(b)  Singapore Police 
Force  
Medicines containing amidop yrine, noramidopy rine, 
amygdalin, danthron, pangamic acid and suprofen  GATT Art. XX(b)  Health Sciences 
Authorit y  
Shisha tobacco  GATT Art. XX(b)  Ministry of Health  
Asbestos  GATT Art.  XX(b); 
Rotterdam  Convention  National 
Environment Agency  
Selected breeds of dogs and their crosses (Pit Bull, 
Neapolitan Mastiff, Tosa, Akita, Dogo Argentino, 
Boerboel, Fila Brasi leiro, and Perro de Presa Canario)  GATT Art. XX(b)  Agri-Food and 
Veterinary Authority  
Bengal and Savannah cat 4th generation crosses and 
below from the ancestral stock of Prionailurus 
bengalensis  and Leptailurus serval   GATT Art. XX(b)  Agri-Food and 
Veter inary Authority  
 Arms and related materials, goods and 
technology related to nuclear, ballistic missile 
and weapons of mass destruction programmes 
from the Democratic People's Republic of Korea 
and Irana; 
 Arms and related materials from Eritrea and 
Libya;  
 Charcoal from Somalia; and , 
 Chemical weapons from Syria  United Nations Security Council 
Resolutions  Singapore Customs  
Polychlorinated biphenyls (PCB) and their substitutes  GATT Art. XX(b); Rotterdam and 
Stockholm Conventions  National 
Environment Agency  
Certain ozone -depleting substances (including 
chlorofluorocarbons)  GATT Art. XX(b); Montreal 
Protocol; UNFCCC  National 
Environment Agency  
Import prohibitions except under defined 
conditions    
Controlled telecommunications equipment (scanning 
receivers, m ilitary communication equipment and 
automatic call diverters)  GATT Art. XXI  Infocomm 
Development 
Authority  
Fireworks  GATT Art. XX(b)  Singapore Police 
Force  
Scheduled chemicals under the Chemical Weapons 
Convention (CWC)  GATT Art. XXI(b)(ii); CWC  Singapo re Customs  
Rough diamonds  WT/L/676; UNSC Resolution 
S/RES/1459  Singapore Customs  
Halons  GATT Art. XX(b); Montreal 
Protocol; UNFCCC  National 
Environment Agency  
Non-automatic import licensing    
Meat and fish products  GATT Art. XX(b)  Agri-Food and 
Veterin ary Authority  
                                                
14 WTO document G/LIC/N/3/SGP/11, 18 March 2016.  WT/TPR/S/343 /Rev.1  • Singapore  
 
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  General description of the restriction  WTO justification/grounds 
for restriction  Administering 
agency  
Sand and granite (essential construction materials)  GATT Art. XX(b)  Building and 
Construction 
Authority  
Poppy seeds  GATT Art. XX(b)  Central Narcotics 
Bureau  
Controlled materials or substances used for the 
manufacturing of controlled drug s GATT Art.  XX(b);  
UN Convention Against Illicit 
Traffic in Narcotic Drugs and 
Psychotropic Substances, 1998  Central Narcotics 
Bureau  
Medicinal products including pharmaceuticals 
(chemical and biologic drugs), Chinese proprietary 
medicines  GATT Art. XX(b ) Health Sciences 
Authority  
Tobacco products  GATT Art. XX(b)  Health Sciences 
Authority  
Controlled telecommunication equipment  GATT Art. XXI  Infocomm 
Development 
Authority  
Rice (excluding rice bran)  GATT Art.  XXI(b)(ii)  International 
Enterprise Singapore   
Merchandise/products containing a photograph, 
drawing or design resembling or used in/on Singapore 
currency notes and coins  GATT Art. XX(d)  Monetary Authority 
of Singapore  
Biological agents that are capable of causing death, 
disease or other biologica l malfunction in a human; 
certain microbial toxins  GATT Art. XX(b)  Ministry of Health  
Petroleum and flammable materials  GATT Art. XX(b)  Singapore Civil 
Defence Force 
(SCDF)  
Fruit or jackpot machines  GATT Art. XX(b)  Singapore Police 
Force  
Amusement mach ines, coin - or disc - operated, 
including pintables, shooting galleries, and 
cinematography machines  GATT Art. XX(a)  Singapore Police 
Force  
Specific plants, plant products and other materials 
(insects, micro -organisms and soil)  GATT Art. XX(b)  Agri-Food an d 
Veterinary Authority  
Endangered animal and plant species (CITES 
specimens and products)  GATT Art.  XX(b); CITES  Agri-Food and 
Veterinary Authority  
Animals and animal products (including ornamental 
fish and livestock), eggs, veterinary biologics and 
vaccines, animal feed  GATT Art. XX(b)  Agri-Food and 
Veterinary Authority  
Poisons  GATT Art. XX(b)  Health Sciences 
Authority  
Medical devices  GATT Art. XX(b)  Health Sciences 
Authority  
Controlled drugs  GATT Art.  XX(b);  
United Nations Single 
Convention on Narco tic Drugs, 
1961 Health Sciences 
Authority  
Hazardous substances  GATT Art.  XX(b)  National 
Environment Agency  
Hazardous waste  GATT Art. XX(b);  
Basel Convention on the Control 
of Transboundary Movements of 
Hazardous Wastes and their 
Disposal  National 
Environment Agency  
Radioactive materials, ionizing radiation irradiating 
apparatus and non -ionizing radiation irradiating 
apparatus  GATT Art. XX(b); IAEA's Code of 
Conduct on the Safety and 
Security of Radioactive Sources  National 
Environment Agency  
Arms and explosives; swords; daggers; bayonets; 
spears, spearheads; and nitro -cellulose  GATT Art. XX(b); Convention on 
the Marking of Plastic Explosives 
for the Purpose of Detection  Singapore Police 
Force  
Handcuffs; articles of clothing intended as protection 
against attack, including bullet -proof vests; steel 
helmets; toy guns, including pistols and revolvers  GATT Art. XX(b)  Singapore Police 
Force  WT/TPR/S/343 /Rev.1  • Sing apore  
 
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  General description of the restriction  WTO justification/grounds 
for restriction  Administering 
agency  
Fish and fishery products  GATT Art.  XX(b)  Agri-Food and 
Veterinary Authority  
Precursor substances  GATT Art. XX(b)  Central Narcotics 
Bureau  
Psychotropic substances  GATT Art.  XX(b); United Nations 
Convention on Psychotropic 
Substances, 1971; and United 
Nations Convention Against Illicit 
Traffic in Narcotic Drugs and 
Psychotropic Substances, 1988  Health Sciences 
Authority  
a Restrictions on Iran are currently being amended.  
Source:  WTO document G/MA/QR/N/SGP/2, 28 April 2015 ; and information provided by the authorities of 
Singapore.  
3.22.   Used motor vehicles over three years old, except vintage and classic cars15, cannot be 
impor ted and registered for use on public roads in Singapore. A surcharge of S$10,000 is payable 
for each imported used car registered in Singapore. Singapore has used a vehicle quota system 
(VQS) since 1990 to regulate the rate of growth of vehicles on roads.16 Under the VQS, the 
Government fixes the annual number of new motor vehicles allowed on public roads. The growth 
rate of the vehicle population is fixed at 0.5% per annum between February 2013 and January 
2015, and at 0.25% until January 2018.17 The quota i s allocated bi -monthly through bidding. A 
quota licensee is issued a Certificate of Entitlement  which represents the right to own a vehicle for 
ten years, and  is a prerequisite for registration.  
3.23.   Rice remains subject to non -automatic import licensing under a stockpile scheme 
maintained for food security and price stability purposes.18 Import licences are required for all rice 
imports. Licences are issued by International Enterprise Singapore, a statutory board under the 
Ministry of Trade and Industry. Licence s cost S$50, may be obtained online (with a three -day 
processing time) and are valid indefinitely. Different types of licence s are granted depending on 
the purpose of the import. A "stockpile licence" is required for all imports of stockpile -grade rice 
(white rice, basmati rice, parboiled rice and ponni rice) to be sold for local consumption.19 
Importers of stockpile rice are required to join the Rice Stockpile Scheme (RSS) as licensed 
stockpile participants. They have to pre -commit on the ir monthly import  quantity, with a minimum 
of 50 tonnes for white rice.  They are also obliged to keep a prescribed stockpile quantity in a 
government -designated warehouse.  The prescribed stockpile quantity is twice the monthly import 
quantity  for white rice. For other stock pile-grade rice, it is computed based on twice the average 
import quantity for the preceding period of 6 months, or 5 tonnes, whichever is higher. The 
stockpile belongs to the individual stockpile participants, although the Government has the right to 
acquire the rice (with compensation) during an emergency. The warehousing -related costs of the 
stockpiled rice are borne by consumers. The authorities confirmed that rice prices are determined 
by the market with no government intervention.  
3.24.   Sand and granite are  subject to a non -automatic import licensing requirement administered 
by the Building and Construction Authority. The objective is to ensure that the materials do not 
come from volcanic sources. Consignments for use in land reclamation and in any ship or v essel 
without landing in Singapore are exempted from the licensing requirement.  
                                                
15 Classic cars are defined as ca rs that are at least thirty -five years old from their initial date of 
registration.  
16 The vehicle quota system, together with the Electronic Road Pricing, is one of the main demand 
management tools for road traffic management in Singapore.   
17 Land Transpor t Authority online information. Viewed at: 
http://www.lta.gov.sg/content/ltaweb/en/roads -and-motoring/owning -a-vehicle/vehicle -quota -system .html. 
18 This scheme is operated under the Price Control Act and the Price Control (Rice) Order 1990.  
19 Other licences include: non -stockpile rice licence (for imports of glutinous rice, brown rice, red rice, 
cargo rice, and wild rice); import -for-re-export licence (rice may be imported for re -export only and must be 
stored in a free trade zone); manufacturer licence (only 100% broken rice may be imported and must be used 
for manufacturing purposes and not sold locally; and wholesale licence (the licensee may not import rice, but 
may undertake wholesale dealings in all types of rice).  WT/TPR/S/343 /Rev.1  • Singapore  
 
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  3.1.7   Anti-dumping, countervailing, and safeguard measures  
3.25.   The Countervailing and Anti -Dumping Duties Act is the main legal framework regarding the 
use of anti -dumping and countervai ling measures in Singapore. There have been no changes to 
the legislation during the review period.  Under the Act , the Ministry of Trade and Industry may 
initiate an investigation to determine whether goods are being dumped or whether a countervailing 
subsidy is being provided. Singapore does not have any safeguard legislation. It has no 
anti-dumping or countervailing measures in force.  
3.2  Measures Directly Affecting Exports  
3.2.1   Export procedures and requirements  
3.26.   Major changes to export procedures since the last trade policy review  include the 
implementation of the Advance Export Declaration system, and the revision of the Strategic Trade 
Scheme . Singapore Customs implemented the Advance Export Declaration on 1 April 2013, which 
aims to strengthen the supply chain  security and to align export declaration practices with 
international norms. Declarations for the export of non -controlled and non -dutiable goods by sea 
or air, which could previously be submitted within 3 days of export, now need to be submitted 
before t he goods leave Singapore. This is in line with the export declaration requirements for 
controlled goods, non -dutiable goods, and goods exported by road and rail.  
3.27.   Singapore Customs also revised  its Strategic Trade Scheme (STS), a permit scheme that 
promote s internal export control compliance, and provides traders with greater facilitation when it 
comes to permit declarations involving "strategic goods".  The Scheme was first introduced in 
June 2007, and applies to all businesses that export, tranship, bring in transit strategic goods and 
their related technology, or transfer strategic goods technology. Singapore's Strategic Goods 
Control List includes items from the following four multilateral export control regimes: the 
Australia Group, the Missile Technolog y Control Regime, the Nuclear Supplier Group, and the 
Wassenaar Arrangement. The list was updated in 2013 and 2015. An enhanced STS was 
introduced with effect from 1 April 2014, streamlining permit application procedures. Unlike in the 
previously three -tiered system, companies only need to make one application (STS bulk permit) to 
get approval to export strategic goods out of Singapore.  
3.28.   Businesses must obtain a Unique Entity Number and activate a customs account before 
engaging in exporting activities. Und er the Regulation of Imports and Exports Act (1995), an 
export permit is required for all exports with some exceptions.20 In order to apply for an export 
permit, a business must be registered as a declaring agent and apply for a TradeNet user ID. 
There is a  fee of S$2.88 per permit application.  
3.29.   Certificates of origin are generally issued by Singapore Customs and a few authorized 
organizations.21 Certificates of origin for exports under FTAs are issued by Singapore Customs 
only.  
3.2.2   Export taxes, charges, and le vies 
3.30.   There are no export taxes or levies in Singapore.  
3.2.3   Export prohibitions, restrictions, and licensing  
3.31.   The Regulation of Imports and Exports Regulations22 is the main piece of legislation 
governing export controls in Singapore. Export controls are maintain ed mainly for security, health, 
                                                
20 Goods that are not subject to an export permit unless they are dutiable or controlled items include: 
personal or household effects (excluding motor vehicles); parcel post; d ocuments; trade samples, specimens 
for analysis or test, and gifts, not exceeding S$400 in total value; goods exported by air not exceeding 
S$1,000 in total value; locally sourced "stores " loaded for use on board the vessel (including oil rig s) and 
aircraf ts. 
21 Singapore Chinese Chamber of Commerce and Industry ; Singapore International Chamber of 
Commerce ; Singapore Indian Chamber of Commerce and Industry ; Singapore Malay Chamber of Commerce  
and Industry ; and Singapore Manufacturers Federation.  
22 Under the Regulation of Imports and Exports Act (Cap 272A).  WT/TPR/S/343 /Rev.1  • Sing apore  
 
- 34 - 
 
  and environmental concerns, or under international agreements . Requirements can take the form 
of an advance notification, a licence or a permit. Table 3.6 provide s a list of products subject to 
export prohibitions or non -automatic licensing in Singapore.  
Table 3.6 Goods subject to export prohibitions and non -automatic licensing  
Type of restriction/product  Justification/ grounds for 
restriction  Administering agency  
Export p rohib itions    
Selected breeds of dogs and their crosses 
(Pit Bull, Neapolitan Mastiff, Tosa, Akita, 
Dogo Argentino, Boerboel, Fila Brasileiro, 
and Perro de Presa Canario)  GATT Art. XX(b)  Agri-Food and Veterinary 
Authority  
Bengal and Savannah cat 4th generatio n 
crosses and below from the ancestral stock 
of Prionailurus bengalensis  and Leptailurus 
serval  GATT Art. XX(b)  Agri-Food and Veterinary 
Authority  
 Arms and related materiel, goods and 
technology related to nuclear, ballistic 
missile and weapons of mass 
destruction programmes to the 
Democratic People's Republic of Korea 
(DPRK) and Irana 
 Luxury items to DPRK  
 Arms and related materiel to the Central 
African Republic, Democratic Republic of 
Congo, Eritrea, Iraq, Lebanon, Liberia, 
Libya, Somalia, and all the t erritory of 
Darfur, Sudan – including the new 
states of Eastern and Central Darfur  
 Arms and related lethal materiel to Côte 
d’Ivoire  
 Chemical weapons to Syria  United Nations Security Council 
Resolutions  Singapore Customs  
Polychlorinated biphenyls (PCB) an d their 
substitutes  GATT Art. XX(b); Rotterdam and 
Stockholm Conventions  National Environment 
Agency  
Certain ozone -depleting substances 
(including chlorofluorocarbons)  GATT Art. XX(b); Montreal Protocol; 
UNFCCC  National Environment 
Agency  
Export p rohib itions (except under 
defined conditions)    
Scheduled chemicals under the Chemical 
Weapons Convention (CWC)  GATT Art. XXI(b)(ii); Chemical 
Weapons Convention  Singapore Customs  
Rough diamonds  WT/L/676;  
UNSC Resolution S/RES/1459 
(2003)  Singapore Customs  
Halons  GATT Art. XX(b); Montreal Protocol; 
UNFCCC  National Environment 
Agency  
Non-automatic licensing    
Specific plants, plant products and other 
materials (insects, micro -organisms and 
soil) GATT Art. XX(b)  Agri-Food and Veterinary 
Authority  
Endangered  animal and plant species 
(CITES specimens and products)  GATT Art.  XX(b); Convention on 
International Trade in Endangered 
Species of Wild Fauna and Flora 
(CITES)  Agri-Food and Veterinary 
Authority  
Animals and animal products (including 
ornamental fish and  livestock), eggs, 
veterinary biologics and vaccines, animal 
feed GATT Art. XX(b)  Agri-Food and Veterinary 
Authority  
Poisons  GATT Art. XX(b)  Health Sciences Authority  
Medical devices  GATT Art. XX(b)  Health Sciences Authority  
Controlled drugs  GATT Art.  XX(b);  
United Nations Single Convention on 
Narcotic Drugs, 1961  Health Sciences Authority  
Hazardous substances  GATT Art.  XX(b)  National Environment 
Agency  WT/TPR/S/343 /Rev.1  • Singapore  
 
- 35 - 
 
  Type of restriction/product  Justification/ grounds for 
restriction  Administering agency  
Hazardous waste  GATT Art. XX(b);  
Basel Convention on the Control of 
Trans -boundary Movements of 
Hazardous Wastes and their 
Disposal  National Environment 
Agency  
Radioactive materials, ionizing radiation 
irradiating apparatus and non -ionizing 
radiation irradiating apparatus  GATT Art. XX(b); International 
Atomic Energy Agency's Code of 
Conduct on the S afety and Security 
of Radioactive Sources  National Environment 
Agency  
Arms and explosives; swords; daggers; 
bayonets; spears, spearheads; and nitro -
cellulose  GATT Art. XX(b); Convention on the 
Marking of Plastic Explosives for the 
Purpose of Detection  Singapore Police Force  
Handcuffs; articles of clothing intended as 
protection against attack, including bullet -
proof vests; steel helmets; toy guns, 
including pistols and revolvers  GATT Art. XX(b)  Singapore Police Force  
Fish and fishery products  GATT Art.  XX(b) Agri-Food and Veterinary 
Authority  
Strategic goods and technology  To prevent the proliferation of such 
goods, in line with Singapore's 
counter -proliferation obligations 
under GATT Art. XX(b)  Singapore Customs  
Military equipment/other munitions list  To prevent the proliferation of such 
goods, in line with Singapore's 
counter -proliferation obligations 
under  GATT Art.  XXI(b)(ii)  Singapore Customs  
Precursor substances  GATT Art. XX(b)  Central Narcotics Bureau  
Psychotropic substances  GATT Art.  XX(b);  
United Nations Convention on 
Psychotropic Substances, 1971 ; 
United Nations Convention Against 
Illicit Traffic in Narcotic Drugs an d 
Psychotropic Substances, 1988  Health Sciences Authority  
Rubber  GATT Art.  XX International Enterprise 
Singapore  
Pesticides  GATT Art. XX(b); Rotterdam 
Convention  National Environment 
Agency  
a Restrictions on Iran are currently being amended.  
Source:  WTO document G/MA/QR/N/SGP/2, 28 April 2015 ; and information provided by the authorities of 
Singapore.  
3.2.4   Export finance, insurance, a nd guarantees  
3.32.   Export finance and insurance is only available through private sector institutions. However, 
as part of its mandate of export promotion and overseas growth, International Enterprise (IE) 
Singapore operates a number of financial support progra mmes that encourage private sector 
lending to Singapore -based companies ( section 3.2.5).  
3.33.   In November 2013, IE Singapore launched the Trade Facilitation Scheme (TFS), a 
programme aiming at addressing gaps in trade financing for Singapore -based companies in 
emerging markets. The programme does not provide direct assistance to companies, but rather 
aims at unlocking banks' counterparty risk appetite towards overseas issuing banks. Under the 
scheme, IE Singapore enters into a risk -sharing arrangement with the A sian Development Bank 
(ADB) and Swiss Re Corporate Solutions, to increase the capacity for credit guarantees to 
Singapore -based banks for protection against the non -payment risks of overseas issuing banks.  
3.2.5   Export assistance  
3.34.   IE Singapore is the statutory bo ard responsible for trade promotion. It relies on its network 
of overseas centres in over 35 locations to build networks and alliances, with a view to enhancing 
market access for Singapore -based companies. During the FY2014, it provided assistance to about  WT/TPR/S/343 /Rev.1  • Sing apore  
 
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  28,000 companies, mostly SMEs.23 It facilitated  more than S$44 million in grants to help 
companies expand overseas, about S$756  million in trade and financing loans, and insurance 
schemes covering about S$2.3  billion worth of investment. To help companies internationalize 
more effectively, IE Singapore has simplified its assistance into two comprehensive programmes – 
Global Company Partnerships (GCP) and Market Readiness Assistance (MRA).  
3.35.   The GCP Programme is aimed at providing a customized, in -depth appro ach to support 
companies with more established overseas operations to achieve global competitiveness. 
Companies can receive customized support in four key areas: capacity building, market access, 
manpower development and access to financing (Table 3.7). The grants and schemes are not 
exclusive, and SMEs can be considered for support from more than one programme as long as 
they meet the eligibility and assessment criteria.  
Table 3.7 Overview of the Global Compan y Partnership Programme  
Area/activity or 
programme  Description  Eligibility  Enhancements 
measures, 2012 -15 
Capacity building  
Build crucial 
business 
capabilities for 
overseas expansion  Grants of up to 50% (70% for SMEs) 
of eligible costs incurred in engagi ng 
a third -party professional to build up 
relevant firm -level capabilities  Global HQa anchored in 
Singapore; annual 
sales turnover of at 
least S$500,000; and a 
minimum paid -up 
capital of S$50,000  Funding support 
increased to a 
maximum of 70% for 
SMEs  
Mark et access  
Enhance market 
presence  Grants  of up to 50% (70% for 
SMEs) of eligible costs incurred in 
engaging a third -party professional 
to enhance market presence in 
overseas markets  As above  Funding support 
increased to a 
maximum of 70% for 
SMEs  
Gain en try into new 
markets  Grants of up to 50% (70% for SMEs) 
of eligible expenses incurred when 
entering new markets, capped at 
S$100,000 per year  As above  Funding support 
increased to a 
maximum of 70% for 
SMEs  
Double -tax 
deduction for 
internationalization 
(DTDi) 200% tax deduction on the first 
S$100,000 of eligible expenses for 
the following activities: overseas 
business development; investment 
study trips and missions; and trade 
fairs Businesses registered 
in Singapore or that 
have a permanent 
establishment i n 
Singapore with the 
primary purpose of 
promoting the trade of 
goods or provision of 
services  Enhanced to include 
qualifying salary 
expenses incurred for 
employees posted 
overseas in an 
overseas entity  
Manpower development  
Talent attraction  Grants  of up  to 50% (70% for 
SMEs) of the costs incurred in 
engaging third -party recruitment 
consultancy services to hire top 
senior executives (C -suites) and 
critical talent  Global HQa anchored in 
Singapore; annual 
sales turnover of at 
least S$500,000; and a 
minimum  paid-up 
capital of S$50,000  Funding support 
increased to a 
maximum of 70% for 
SMEs  
Talent 
development  Grants of up to 50% (70% for SMEs) 
of the costs incurred:  
 for nominating a Singaporean 
and permanent resident 
employee on the overseas 
attachment  
 in eng aging a third -party 
professional to conduct 
customized training for 
nominated Singaporean or 
permanent resident employees  As above  Funding support 
increased to a 
maximum of 70% for 
SMEs  
                                                
23 SME is defined as a company whose turnover does not exceed  S$100 million based on the most 
recent audited report .  WT/TPR/S/343 /Rev.1  • Singapore  
 
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  Area/activity or 
programme  Description  Eligibility  Enhancements 
measures, 2012 -15 
International 
human resource 
strategies  Grants of up to 50% (70% for SMEs) 
of the costs incurred in engaging an 
established third -party HR 
consultancy firm for strategic 
international manpower projects  As above  Funding support 
increased to a 
maximum of 70% for 
SMEs  
Access to financing  
International isation  
Finance Scheme 
(IFS) Co-sharing of the default risk to help 
companies secure mid -to-long tenure 
loans for internationalization through 
the co -sharing of default risks with 
participating financial institutions  Singapore -based 
company with at least 
3 strategic business 
functions in Singapore  
The turnover is not to 
exceed S$300 million 
(S$500 million for 
trading companies)  The loan quantum per 
borrower was doubled 
to S$30 million in 
2014 
The coverage was 
expanded in 2015 to 
include support for 
M&A financing  
Political Risk 
Insurance Scheme  Co-funding (up to 50% and the first 
three years) of the premium paid to 
protect overseas investment and 
projects against political risks (up to 
S$500,000 per applicant company)  Global HQa in 
Singapore, and 
turnover not exceeding 
S$500 milli on   None 
Loan Insurance 
Scheme (LIS/LIS+)  Co-sharing of the default risk to help 
companies secure short -term trade 
facilities  Singapore -based 
company with at least 
3 strategic business 
functions in Singapore  
The turnover is not to 
exceed S$300 million 
(S$500 million for 
trading companies)  None 
Trade Credit 
Insurance Scheme 
(TCIS)  Co-funding (up to 50%) of the 
premium paid towards the trade 
credit insurance policy to safeguard 
against buyers' non -payment risks 
(up to S$100,000 per applicant 
company)  Singapore -based 
company, with at least 
3 strategic business 
functions in Singapore  
The turnover is not to 
exceed S$100 million  None 
a Global HQ refers to companies with global management control and decision -making functions based 
in Singapore (e.g. global co rporate officers being based in Singapore, board meetings being held in 
Singapore).  
Source:  Information provided by International Enterprise (IE) Singapore.  
3.36.   Market Readiness Assistance (MRA) is a broad -based programme designed to provide basic 
know -how to companies that are new to overseas market expansion. MRA covers the following 
areas: market access information, learning and networking (through seminars, workshops and 
export readiness assessments), and financial assistance. Financial assistance programme s include:  
 the MRA Grant, which covers up to 70% of eligible costs (capped at S$20,000 per 
company per fiscal year) for professional services relating to overseas market set -up, 
identification of business partners, and overseas market promotion;  
 the Intern ational  Marketing Activities Programme (iMAP), which co -funds companies to 
participate in overseas tradeshows and business missions through trade associations and 
business chambers; and  
 the Market Access Incubation Programme (MAIP), which covers up to 70% of eligible 
costs incurred for approved non -profit driven overseas missions and fairs (capped at 
S$10,000 per start -up per trip).  
3.2.6   Free trade zones  
3.37.   Singapore has nine free trade zones (FTZs) located in five areas: Keppel, Jurong, Pasir 
Panjang, Sembawang, a nd Changi. These largely provide the services and facilities for the 
country's substantial transhipment activities.  WT/TPR/S/343 /Rev.1  • Sing apore  
 
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  3.38.   The Free Trade Zones Act of 1966 is the main legal framework for FTZs in Singapore. There 
were no substantial changes to this Act over the review period.  No duty or taxes are payable on 
goods that are stored in FTZs. Tobacco and liquor may only be stored in FTZs if they are to be 
transhipped. Processes such as re -packaging, sorting, and grading of good s may be undertaken in 
FTZs. Manufacturi ng may also be carried out, upon approval from Singapore Customs.  
3.3  Measures Affecting Production and Trade  
3.3.1   Subsidies  
3.39.   Singapore regularly notifies to the WTO that it does not maintain any subsidies notifiable 
under Article XVI:1 of the GATT 1994 and Article  25.2 of the Agreement on Subsidies and 
Countervailing Measures.24 
3.40.   Singapore provides a range of incentives to support businesses at various stages of their 
development (Table A3.2). Tax incentives can take different forms, including, the deduction of 
eligible expenses from a company's taxable income, allowances on qualifying costs incurred, and 
concessionary tax rates on qualifying income. Singapore also offers various grant schemes. 
Incentives are intended, inter alia , to encourage companies to expand prod uction; invest in 
research and development (R&D) and training; promote investment in technology; and support 
the development of small and medium -sized enterprises (SMEs) and start -up companies. Tax 
incentives are provided mainly under the Income Tax Act (I TA) and the Economic Expansion 
Incentives Act (EEIA). Most tax incentives offer relief from corporate income tax (the standard rate 
is 17%) and withholding tax (WHT) on payments to non -residents or non -resident companies 
(WHT rates generally range from 10%  to 20%).25 
3.41.   Incentives are administered by various government agencies, including: Singapore 
Economic Development Board (EDB); International Enterprise (IE) Singapore; Monetary Authority 
of Singapore (MAS); Maritime and Port Authority of Singapore (MPA); an d the Standards, 
Productivity and Innovation Board (SPRING) Singapore.  
3.42.   There are incentive programmes designed for specific sectors or activities such as financial 
services ( section 4.2.1); the shipping and maritime industry ( section 4.2.4); headquarters 
activities; and R&D, innovation, and product development activities.  
3.43.   During the review period, the Government introduced a new support package to help 
businesses, especially SMEs, restructure, and invest in skills and capability development. The 
package inc ludes:  
 A Wage Credit Scheme, under which the Government subsidizes 40% of wage increases 
given to nationals earning a gross monthly wage of up to S$4,000. The total payout over 
2013-15 was estimated at S$4.1 billion. In the 2015 Budget, the scheme was exte nded 
for two more years with a reduced level of co -funding (20%);  
 A 30% c orporate income tax rebate for SMEs, capped at S$30,000 per year of 
assessment; and  
 A Productivity and Innovation Credit Bonus26, a dollar -for-dollar matching cash bonus 
capped at S$15 ,000 over three years. During the period 2013 -15, over S$450  million 
was disbursed. The programme lapsed in 2015.  
3.44.   Certain tax incentive schemes require no prior approval. Businesses may avail themselves 
of these incentives when filing their annual tax retu rns. While agencies are given some autonomy 
to decide on the potential recipients of incentives that require approval, recipients must satisfy the 
conditions established between agencies and the Ministry of Finance. These conditions generally 
require busin esses to set up substantive operations and incur business spending in Singapore with 
attendant economic benefits. The authorities noted that, as part of the annual budgetary process, 
Singapore conducts reviews of its incentives to ensure they remain consis tent with its economic 
                                                
24 For the latest notification, see WTO document G/SCM/N/284/SGP, 5 February 2015.  
25 WHT c an be viewed at: http://www.iras.gov.sg/irasHome/page01.aspx?id=758 . 
26 Businesses may also tap into the broad -based Productivity and Innovation Credit (PIC), which offers 
tax deductions for investments in equipment or workers ' training to improve productiv ity (Table A3.2) .   WT/TPR/S/343 /Rev.1  • Singapore  
 
- 39 - 
 
  development strategy.  Information regarding the revenue foregone (tax expenditures ) through 
various tax incentives is not available.  
3.3.2   Standards and other technical requirements  
3.45.   Established under the authority of the Ministry of Trade and Industry, the Standards, 
Productivity and Innovation Board (SPRING Singapore) is the national standards and accreditation 
body. SPRING Singapore has the mandate, inter alia , to develop and promote standards and 
quality assurance infrastructure, and ove rsees the safety of household consumer goods. It also 
administers the weights and measures programme, which aims to protect consumers and traders 
by regulating the use of weighing and measuring instruments for trade and pre -packaged goods. 
Other agencies i nvolved in the development of technical regulations include: Infocomm 
Development Authority of Singapore, Agri -Food and Veterinary Authority, Ministry of Health, 
Ministry of Environment and Water Resources, National Environment Agency, and the Public 
Utilities Board.  
3.46.   Singapore's guiding principle for standardization is to align national standards with 
international standards. Singapore encourages the direct use of international standards whenever 
possible. Singapore Standards (SS) are developed when there is no appropriate international 
standard equivalent, or when there is a need to customise standards to meet domestic 
requirements. As at end -2015, Singapore ha d a stock of 553 Singapore Standards, about 40% of 
which were references to international standar ds.  
3.47.   SPRING Singapore, the Agri -Food and Veterinary Authority and the Ministry of Trade and 
Industry are the three national enquiry points under the TBT Agreement. During the review period, 
Singapore did not  raise any specific trade concern s (STCs) in the TBT Committee. On 
4 November  2015, Indonesia raised a n STC regarding Singapore's announcement to consider plain 
packaging for tobacco products.27 A public consultation on plain packaging was held between 
December 2015 and March 2016.28 The outcome is pending . 
3.48.   Singapore's standardization program me is based on a public -private partnership model 
under the industry -led Singapore Standards Council (SSC) appointed by SPRING Singapore. The 
timeframe for drafting and approving a new or revised standard ranges from 6 -12 months for a 
"Technical Reference", to 12 -18 months for a Singapore Standard  (SS), including a code of 
practice. Draft SS s are released for a 60 -day public comment period. Upon approval by the SSC, 
they are published in the Government Gazette. Standards  are reviewed every five years on 
average to assess whether they should be confirmed, revised, amended, archived or withdrawn. A 
standard becomes a technical regulation if referenced by an Act or regulation. There were 
234 technical regulations as at 31 De cember 2014.  
3.49.   Technical regulations are in place mainly in the machinery, telecommunications, medical 
devices, electrical and electronic products, and food sectors. As the safety authority for household 
consumer goods, SPRING administers the Consumer Prote ction (Safety Requirements) Registration 
Scheme (CPS Scheme), and the Consumer Protection (Consumer Goods Safety Requirements) 
Regulations  2011 (CGSR). Under the CPS Scheme , all goods on a control list must meet the 
specified safety requirements through pr e-market testing and certification, and be affixed with the 
SAFETY Mark before they can be advertised, traded or displayed for sale in Singapore. A total of 
45 categories of household electrical, electronic and gas products are covered by the scheme.29 
The scheme is reviewed every 3 -5 years. A review is currently under way . The authorities envisage  
the removal of some obsolete consumer goods from the list and the grouping of remaining 
controlled goods into 33 broad product categories.  The CGSR's objective is  to provide a framework 
for the protection of consumers from unsafe household consumer goods. It applies to consumer 
goods such as toys, children's products, furniture, apparel and textiles. Products must meet 
applicable safety standards (ISO, IEC, ASTM st andards, or other safety requirements specified by 
                                                
27 WTO document G/TBT/M/67, paras. 2.28 -2.36, 3 February 2016.  
28 Health Promotion Board Singapore's announcement of the consultation can be viewed at: 
http://www.hpb.gov.sg/HOPPortal/content/conn/HOPUCM/path/Contribution%20Folders/uploadedFiles/HPB_On
line/News_and_Events/News/2015/PublicConsult.pdf . 
29 A list of controlled good s and the applicable safety standards can be viewed at: 
http://www.spring.gov.sg/Building -Trust/Raising -Confidence/Consumer -Product -Safety/CPS -
Scheme/Documents/List_of_controlled_goods.pdf .  WT/TPR/S/343 /Rev.1  • Sing apore  
 
- 40 - 
 
  SPRING Singapore). There is no requirement for pre -market testing, certification or approval. 
SPRING Singapore conducts post -market surveillance, and has the power to stop the sale of goods 
that do not mee t the applicable safety requirements. Non -compliance by a supplier with the 
CPS/CGSR schemes is subject to a fine not exceeding S$10,000 and/or imprisonment for a term 
not exceeding two years.  
3.50.   Singapore participates actively in international and regional s tandard development fora. It is 
an elected member of the ISO and IEC Councils, has been hosting IEC's Asia -Pacific Regional 
Centre since 2002, and ISO's regional office since 2013. Singapore currently serves as the 
Secretariat of the Pacific Area Standards  Congress, a regional standard s body consisting of 
24 countries. At the ASEAN and APEC levels, Singapore works towards the harmonization of 
standards to facilitate trade (i.e. reducing the need for duplicate testing and certification).  
3.51.   SPRING Singapore adm inisters a number of programmes related to the promotion of 
standard adoption. Under the Capability Development Grant programme  (Table A3.2) , SPRING 
Singapore helps companies upgrade their capabilities in key areas such as: technology innovation, 
branding,  service excellence, productivity improvement, and human capital development. 
Enhancing Quality and Standards (EQS) is one key area which involves the adoption of standards.  
3.52.   The Singapore Accreditation Council (SAC) of SPRING is responsible for accreditin g 
conformity assessment bodies. Its objective is to develop, maintain, and improve the standard of 
conformity assessment activities and to facilitate trade by establishing bilateral and regional  
mutual recognition arrangements . Accreditation is voluntary a nd based on international standards. 
Any conformity assessment body whether local or foreign may operate in Singapore. Accredited 
bodies may use the SAC mark of accreditation. The SAC operates accreditation programmes in: 
calibration and testing laboratori es covering chemical, biological, environmental, medical, medical 
imaging, electrical, non -destructive testing, and testing related to civil and mechanical 
engineering; inspection bodies for areas such as industrial pressure vessels and lifting equipment, 
motor vehicles, and structural steelwork; quality management systems certification bodies such as 
for quality (ISO 9001), environmental (ISO 14001), occupational safety and health (OSHMS), 
HACCP food safety, ISO 22000 and water efficiency; product certific ation bodies; personnel 
certification bodies; and proficiency testing providers.  
3.53.   The SAC is a signatory member of various regional and international mutual recognition 
arrangements (MRAs) such as the Asia Pacific Laboratory Accreditation Cooperation (APLAC ), 
Pacific Accreditation Cooperation (PAC), International Laboratory Accreditation Cooperation (ILAC) 
and International Accreditation Forum (IAF). Through these MRAs, the equivalence of accredited 
test reports and certifications from overseas partners are recognized.  
3.3.3   Sanitary and phytosanitary requirements  
3.54.   The main statutes governing SPS measures are the Agri -Food and Veterinary Authority Act; 
the Animal and Birds Act; the Control of Plants Act; the Wholesome Meat and Fish Act; the Sale of 
Food Act; the End angered Species (Import and Export) Act; the Wild Animals and Birds Act; the 
Fisheries Act; and the Feeding Stuffs Act.  
3.55.   Food safety, animal and plant health are under the responsibility of the Agri -Food and 
Veterinary Authority of Singapore (AVA), which is  also the SPS enquiry point. The authorities 
stated that Singapore ensures that its SPS measures are consistent with international standards, 
guidelines, and recommendations of the Codex Alimentar ius, the World Organisation for Animal 
Health (OIE) and the International Plant Protection Convention (IPPC). In the absence of such 
international/regional standards, Singapore conducts its own risk -assessment and makes 
risk-management decisions, taking into consideration economic, technical, and other relevant 
factors. Provisional SPS measures may be taken where scientific evidence is insufficient.  
3.56.   All food products and food appliances are regulated by the AVA. All operators who wish to 
import, export or tranship food products are required to obtain a relevant tra der's licence or 
register with the AVA. The authorities indicated that the purpose of the licensing system is to 
maintain a register of all importers for traceability purposes. For meat, fish/seafood, and fresh 
fruits and vegetables, licences are issued fo r one year. There is a registration fee of S$84 for meat 
and fish products, and S$378 for fresh fruits and vegetables. Licences to import table eggs are WT/TPR/S/343 /Rev.1  • Singapore  
 
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  issued free of charge. A simple registration (free of charge) is required for the importation of other 
food items, including processed foods. Selected high -risk food products are subject to additional 
controls, such as health certificates, laboratory analysis reports or proof that the source or factory 
is regulated by the authority of the exporting country through a licensing system or similar food 
safety regulation.  
3.57.   During the review period, the Food Regulations under the Sale of Food Act were amended, 
inter alia : to adopt a trans -fat limit for edible fats and oils (2 grams per 100 grams of product) and 
mandatory nutrition labelling for retail packs of edible fats and oils30; to make changes in the 
provisions for food labelling, incidental constituents in food31, and food additives and ingredients32; 
and to introduce a prohibition on the import, sale and advert isement of raw milk for direct human 
consumption.33 
3.58.   Singapore has also revised its import condition for bovine meat and related products. 
Singapore previously required six years of non -BSE detection in a country before re -establishing 
trade, but in 2006 est ablished a minimal -risk rule in line with OIE guidelines. It has gradually 
reopened its market since then, and notified in May 2012 the withdrawal of the "six -year BSE 
freedom" certification.34 There are no BSE -related import restrictions on products from c ountries 
that are recogni zed by the OIE as having a negligible risk for BSE. For exporting countries that are 
recogni zed by the OIE as having a controlled or undetermined BSE risk, the AVA would evaluate 
their status following OIE guidelines and carry out an on -site inspection.  
3.59.   The AVA carries out inspections of food products and establishments in a risk -based 
manner. All food items are subject to traceability requirements, indicatin g the country of origin or 
the farm/establishment. Imports of dairy produc ts, livestock, meat, and fish are considered to be 
"high risk" and are subject to strict controls, involving, inter alia , accreditation of foreign farms and 
establishments, inspectio n, and testing. Accreditation is carried out by the AVA based on risk 
assessment, including factors such as the veterinary infrastructure, disease status, legislation and 
other SPS measures, and hygiene. Meat imports are allowed only from accredited establishments 
in countries with which Singapore has protocol agreements. Chille d pig meat may only be imported 
from Australia, Canada, Denmark, New Zealand, Sweden, and the United States. Frozen beef, 
mutton, and poultry meat may be imported from a limited number of countries, and in some 
cases, only from AVA -accredited establishment s. Fresh eggs are imported only from accredited 
farms in Australia, Japan, Malaysia, the Republic of Korea, New Zealand, Sweden, and the 
United  States. Imports of broiler chickens and ducks are only allowed from accredited farms in 
Malaysia. Dairy products  from countries that are not free from foot-and-mouth disease may be 
imported if subjected to double pasteurization treat ment. Imports of high -risk shellfish products, 
such as oysters, cockle meat, cooked prawns, and cooked crab meat, are permitted only fr om 
certain sources with recognized sanitation programmes. Live oysters may only be imported from 
Australia, Canada, France, Ireland, the Netherlands, New Zealand, the United Kingdom, and the 
United States.  
3.60.   Under the Control of Plants Act, all imports of p lants and plant products are regulated by the 
AVA to prevent the introduction of exotic plant pests into Singapore and the region; domestically 
produced plants cultivated in Singapore's agri -technology parks are also monitored by the AVA. 
Plants must be ac companied by phytosanitary certificates from the country of origin. Phytosanitary 
certificates are provided by the AVA for plants and plant products being exported from Singapore, 
to certify freedom from plant pests to meet the importing country’s requirem ents. 
3.61.   Singapore has made no major changes with respect to marking, labelling, and packaging 
requirements since its last trade policy review . The Sale of Food Act and the Food Regulations 
contain the main labelling requirements for prepacked food in Singapo re.35 The AVA maintains a 
                                                
30 WTO documents G/SPS/N/SGP/42, 28 February 2012; and G/TBT/N/SGP/13, 29 February 2012.  
31 WTO documents G/SPS/N/SGP/48, 17 April 2013; and G/TBT/N/SGP/15, 16 April 2013.  
32 WTO documents G/SPS/N/SGP/52, 14 April 2014; G/SPS/N/SGP/52/Add.1, 16 April 2014; 
G/SPS/N/SGP/52/Add.2, 20 June 2014; G/SPS/N/SGP/52/Add.3, 2 September 2014; G/TBT/N/SGP/20, 
14 February 2014; G/TBT/N/SGP/20/Add.1, 25 April 2014; G/TBT/N/SGP/20/Add.2, 23 Ju ne 2014; and 
G/TBT/N/SGP/20/Add.3, 3 September 2014.  
33 WTO documents G/SPS/N/SGP/56, 27 October 2015; and G/TBT/N/SGP/25, 30 October 2015.  
34 WTO document G/SPS/N/SGP/1/Add.1, 23 May 2012.  
35 WTO (2012).  WT/TPR/S/343 /Rev.1  • Sing apore  
 
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  guidebook to regularly update the industry on the requirements.36 In 2012, the Food Regulations 
were amended to introduce mandatory nutrition labelling (in the form of a Nutrition Information 
Panel) for retail packs of edible fats a nd oils.37 
3.3.4   Competition policy  
3.62.   The 2004 Competition Act is the main legal framework for the protection of businesses and 
consumers from anti -competitive practices. Under the legislation, the three main prohibited 
activities are: anti -competitive agreements, decisions and practices; abuse of dominant market 
position; and mergers and acquisitions that are deemed to substantially lessen competition. The 
Competition Commission of Singapore (CCS) has the mandate to oversee the administration and 
enforcement of the  legislation. In 2014, the CCS reviewed 157 complaints, initiated 18 preliminary 
enquiries, and received 13 merger notifications (Table 3.8). The CCS is funded through an 
operating grant from the Ministry of Trade and Industry.  
Table 3.8 Competition statistics, 2006 -14 
 2006  2010  2012  2013  2014  Total  
2006 -14 
Complaints  88 97 86 105 157 1,052  
Preliminary enquiries/investigations  5 11 15 20 18 128 
Notifications for guidance or decision  5 2 3 8 3 27 
Merger not ifications  0 7 7 1 13 56 
Leniency  0 0 1 3 2 12 
Appeals  0 3 2 2 1 8 
Competition advisories  0 5 8 12 31 82 
Market studies  0 5 2 3 2 16 
Note:  Data on fiscal year basis (1 April to 31 March of the following year).  
Source:  Competition Commission of Singapo re online information. Viewed at: 
https://www.ccs.gov.sg/custom/ccs/content/publications/annual -
report/forging%20 ahead/files/assets/common/downloads/page0015.pdf . 
3.63.   The Competition Act applies to all undertakings, i.e. all natural or legal persons capable of 
commercial or economic activity, regardless of whether they are foreign -owned, Singapore -owned, 
or owned by the  Government or its statutory boards. The legislation does not cover activities, 
agreements, and conduct of the Government, statutory bodies, or entities acting on their behalf. 
Some sectors are excluded from the law due to public interest considerations (e .g. national 
security concerns), or because they already have sectoral competition frameworks. These include: 
energy, telecommunications and postal services, media, and airport services. Excluded activities 
include: the supply of piped water; supply of was tewater management services; supply of 
scheduled bus and rail services; and maritime cargo terminal operations.  
3.64.   Under the legislation, the Ministry of Trade and Industry (following the recommendation of 
the CCS) may issue an order to exempt certain categor ies of agreements from the provisions 
related to the prohibition of anti -competitive agreements, decisions, and practices (Section 34 of 
the Competition Act). The exemption is granted to agreements which are deemed to contribute, 
inter alia, to promoting t echnical or economic progress and improving production and distribution. 
One such order was issued in July 2006 for liner shipping agreements for five years, and extended 
subsequently in 2010 and 2015 ( section 4.2.4 .1).  
3.65.   The CCS publishes guidelines to hel p businesses understand how it administers and 
enforces the prohibitions under the Act. To date, 13 CCS guidelines have been issued based on 
input and feedback from the public. The guidelines are currently under review.  
3.66.   Established under the Competition Ac t, the Competition Appeal Board is tasked with hearing 
appeals against the decisions of the CCS. Further appeals may be made to the High Court, and 
thereafter to the Court of Appeal, but only on points of law and the amount of the financial 
penalty. The pe nalty imposed may be up to 10% of the turnover of the undertaking in Singapore 
                                                
36 AVA (2016).  
37 WTO documents G/SPS/N/SGP/42, 28 Febr uary 2014; and G/TBT/N/SGP/13, 29 February 2014.  WT/TPR/S/343 /Rev.1  • Singapore  
 
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  for each year of infringement, up to a maximum of three years. The CCS's leniency programme 
applies to undertakings involved in cartel activities. As at end -March 2015, there ha ve been 
12 leniency applications.  
3.67.   During the review period, the CCS has stepped up its enforcement activities, especially in 
the areas of cartels, with an increasing cross -border dimension. In May 2014, the CCS issued its 
first international cartel infring ement decision against a price -fixing cartel involving four Japanese  
ball bearing manufacturers and their Singapore subsidiaries.38 The manufacturers were found 
liable for engaging in anti -competitive agreements and unlawful exchange of information in respe ct 
of the price and sale of ball and roller bearings sold to aftermarket  customers. The Commission 
imposed financial penalties totalling S$9.3 million, the largest  penalty it has imposed so far.  On 
11 December 2014, the Commission  issued an other  infringeme nt decision against 11 freight 
forwarders and their Singapore subsidiaries for breaching the Act. They were found to have 
engaged in anti -competitive conduct by collectively fixing certain fees and surcharges, and 
exchanging price and customer information in relation to the provision of air freight forwarding 
services for shipments from Japan to Singapore. The CCS imposed financial penalties totalling 
S$7.2 million . The case was uncovered through the leniency programme.  
3.68.   Other key infringement decisions  by the CCS  include the following:  
a) On 18 July 2012, the CCS issued an infringement decision against two ferry operators in 
Singapore. The two ferry operators were the only operators serving the routes between 
Singapore (Harbour Front) -Sekupang and Singapore (H arbour Front) -Batam Centre. 
They were found to have infringed Section 34 of the Act by exchanging and providing 
sensitive and confidential price information in relation to ferry tickets sold to corporate 
clients and travel agents for these two routes, with  the objective to restrict competition. 
Fines levied on the operators amounted to S$286,766. This case was triggered by 
information from leniency applicants and a whistle -blower.  
b) On 28 March 2013, the CCS issued an infringement decision against 12 motor ve hicle 
traders for contravening Section 34 of the Act by engaging in bid -rigging at public 
auctions of motor vehicles. The traders were found to have entered into agreements to 
refrain from bidding against each other between January 2008 and March 2011. The  CCS 
levied fines totalling S$179,071. An appeal by one of the parties, Pang's Motor Trading, 
against both liability and penalties was dismissed by the Competition Appeal Board. This 
case was uncovered through cooperation among government agencies.  
3.69.   The CCS  is a member of the International Competition Network (ICN) and the ASEAN 
Experts Group on Competition (AEGC). As chair of the AEGC Working Group on Developing 
Strategy and Tools for Regional Advocacy, the CCS led in the development of the Competition and 
Law Portal and Collaterals for ASEAN, which was launched in November 2013.  
3.3.5   Price controls  
3.70.   According to the authorities, Singapore does not regulate or control the prices of goods and 
services. However, price regulation may be imposed on operators deemed a s "dominant", and 
which have the potential to abuse their market position and engage in anti -competitive practices. 
Currently, such dominant operators in the telecommunication and postal sectors are required to 
seek the Infocom m Development Authority's app roval prior to offering, modifying or withdrawing 
services.  
3.71.   Fares for essential public transport services (bus and railway) require approval from the 
Public Transport Council. Since 2009, the Civil Aviation Authority of Singapore (CAAS) has put in 
place a  pricing regulatory framework to regulate charges for airport facilities and services provided 
by monopoly airport operators.  
                                                
38 CCS online information. Viewed at: https://www.ccs.gov.sg/public -register -and-consultation/public -
consultation -items/ccs -imposes -penalties -on-ball-bearings -manufacturers -involved -in-international -cartel .  WT/TPR/S/343 /Rev.1  • Sing apore  
 
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  3.3.6   State trading and state -owned enterprises  
3.72.   Singapore has notified the WTO that it does not maintain any state trading enterprises o f 
the kind described in paragraph 1 of the Understanding on the Interpretation of Article  XVII of the 
GATT 1994.39  
3.73.   Temasek Holdings (Private) Limited ("Temasek") is one of two investment companies owned 
by the Singapore Government (the other investment com pany is GIC Private Limited which 
manages the Government's foreign reserves). Temasek was incorporated under the Companies Act 
in 1974 to own and commercially manage an initial portfolio valued at S$354 million, comprising 
investments and assets previously  held by the Government of Singapore. As at 31 March 2015, 
Temasek had a portfolio valued at S$266 billion. Temasek's investments remain concentrated in 
Asia (70%), including Singapore , although there has been a rebalancing towards North America 
and Europe . Investments are mostly in financial services (18%); telecommunications, media, and 
technology (24%) ; and transportation and industrials (17%).  
3.74.   The Ministry of Finance is Temasek's sole shareholder. Temasek receives no subsid ies or 
special consideration from Government by virtue of ownership, according to the authorities. 
Investment and divestment and other business decisions are undertaken by the Temasek Board 
and management. The Government is not involved in Temasek's investment, divestment, or any 
other business or operational decisions, according to the authorities. However, the Government  
ensures that a competent Board of Directors is in place and holds the Board accountable for 
maximizing shareholder value over the long term. In line with his custodi al role to safeguard 
Singapore's critical assets and past reserves, the President's approval is required before any 
transaction that would result in the reduction of Temasek's past reserves.  
3.75.   Temasek's primary sources of funds include divestment proceeds, d ividend income from its 
portfolio, and distributions from its investments in funds. These are supplemented by funds from 
its short -term borrowing facilities such as Temasek Bonds and Euro -Commercial Paper (ECP) 
programmes. It declares dividends annually, b alancing the sustainable distribution of profits as 
dividends to its shareholder, and reinvestments, with the retention of profits for reinvestment to 
generate future returns. Between  its inception and March 2015, Temasek produced an annualized 
compound re turn of 16%. Its total shareholder return (in S$ reporting currency) for the FY2014 
was 19.2%.40  
3.76.   There are currently 67 statutory boards in Singapore; they are autonomous government 
agencies established via legal statutes to deliver public services on beha lf of the Government, and 
to undertake activities that are integral to their line ministry's core functions.41 Statutory boards 
are involved in various sectors of the economy. The authorities indicate that although statutory 
boards report to a line ministry , they enjoy a great degree of autonomy and flexibility.   
3.77.   Two new statutory boards were established during the review period: the Personal Data 
Protection Commission, to administer and enforce the Personal Data Protection Act 2012; and the 
Singapore Accoun tancy Commission ( section 4.2. 5.2). In January 2015, the Ministry of Manpower 
announced the reorgani zation of the Singapore Workforce Development Agency and the Council for 
Private Education into two new statutory boards, tentatively named SkillsFuture Sin gapore and 
Workforce Singapore, to oversee respectively skills development and employment issues.42 
3.78.   A number of statutory boards have established statutory board companies to perform public 
policy functions that are not considered appropriate for outsourcin g to the private sector. The 
authorities indicated that statutory board  companies are expected to operate commercially and are 
subject to the same regulations and market forces as other private companies.  
                                                
39 WTO document G/STR/N/15/SGP, 26 June 2014.  
40 Temasek (2015) . 
41 A list of statutory boards is available at: http://app.sgdi.gov.sg/index.asp?cat=2 . 
42 Ministry of Manpower online information. Viewed at: http://www.mom.gov.sg/newsroom/press -
releases/2016/0112 -new-statutory -boards -to-sharpen -focus-on-skills-and-employment .  WT/TPR/S/343 /Rev.1  • Singapore  
 
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  3.3.7   Government procurement  
3.79.   The total value of procurem ent by the Singapore Government (excluding the Ministry of 
Defence's classified purchases) was approximately S$38.9 billion during the FY2014 (Table 3.9), 
equivalent to about 10% of GDP. During the period 2012-15, open tendering procedures were 
used for ab out 89% of all tenders. SMEs have been relatively successful in securing government 
projects as they received 80% of the tenders (accounting for around 55% of total procurement 
value) that were awarded during the period 2013-14.43 The authorities indicated that there are no 
preferences or set -asides accorded to domestic suppliers.  
Table 3.9 Government procurement, fiscal years 2008 -14  
 2008  2009  2010  2011 2012  2013  2014  
Total (S$ billion)  27.1 20.1 15.1 28.8 19.2 28.8 38.9 
Share by sector (%)         
 Construction (%)  63 65 58 54 60 58 64 
 Services (%)  32 25 32 35 32 34 25 
 Goods (%)  5 10 10 11 8 8 11 
Source:  Information provided by the Ministry of Finance.  
3.80.   Singapore is party to the WTO Agreement on Govern ment Procurement (GPA). Singapore 
has accepted the Protocol Amending the WTO Agreement on Government Procurement adopted in 
March 2012, and the revised GPA entered into force on 6 April 2014. Under the revised 
Agreement, Singapore provides an expansion in coverage to include executive search services 
(CPC 87201).44 In 2014, the total values of contracts awarded above GPA thresholds were 
respectively S$17.1 billion for construction services and S$10.9 billion for goods and services 
(excluding construction).45 
3.81.   The Government Procurement Act and its subsidiary legislation46 constitute the legal 
framework for government procurement in Singapore. There have been no major change s to the 
framework since 2012. The core principles of government procurement remain: open and fair 
competition, transparency, and value for money. There is no central procurement office in 
Singapore, although some centralized purchasing is carried out by the Ministry of Finance and 
other lead agencies. Procurement activities are generally carri ed out by individual ministries, 
agencies, and statutory boards. The Government may also engage the private sector in the 
delivery of public services through public -private partnerships (PPPs), usually for large projects.  
3.82.   Procurement procedures remain unc hanged since the previous trade policy r eview. 
Depending on the estimated value, procurement may be carried out through a "small value 
purchase", invitation to quote or invitation to tender. In January 2016, the threshold applicable to 
small value purchase s was increased from S$3,000 to S$5,000. Contracts between S$5,000 and 
S$70,000 are to be carried out through invitation to quote, and contracts above S$70,000, 
through invitation to tender. Invitations to quote (or tender) are published in GeBIZ, the 
Government's one -stop business centre.47  
3.83.   Invitations to tender may be opened to all suppliers or be restricted to a few. For purchases 
above S$70,000, open tendering is the most common procurement method. Selective tendering 
involves two stages: a pre -qualific ation stage of interested suppliers and a tender or request for 
                                                
43 WTO d ocument GPA/WPS/SME/4, 4 August 2015.  
44 Executive search servic es (CPC subclass 87201) are "services consisting in the search for, selection 
and referral of executive personnel for employment by others. Included in this category are services provided 
by senior administrators and managers whose functions generally incl ude planning, organizing, directing and 
controlling activities of private or public sector businesses through subordinate administrators. The services 
may be supplied to the potential employer or to the prospective employee and may involve the formulation of 
job descriptions, the screening and testing of applicants, the investigation of references, and other research" . 
United Nations (1991).  
45 WTO document GPA/1 30/Add. 4, 1 February 2016.  
46 This includes: the Government Procurement Act (Commencement) Notific ation 2002; Government 
Procurement (Application) Order; Government Procurement (Challenge Proceedings) Regulations; and 
Government Procurement Regulations.  
47 GeBIZ o nline information.  Viewed at:  www.gebiz.gov.sg . WT/TPR/S/343 /Rev.1  • Sing apore  
 
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  proposals from qualified suppliers. Limited tendering is usually permitted only when there has 
been no response to previous open or selective calls for tender; there is only one supplier 
involved; there is a need to ensure compatibility with existing equipment; there are cases of 
extreme urgency; or there is a need for the development of prototypes for research.  
3.84.   Suppliers interested in participating in government procurement are required to re gister as 
GeBIZ Trading Partners in order to bid for tenders. Some tenders may require suppliers to be 
registered as a government supplier in order to qualify.48 The Ministry of Finance publishes a 
listing of indicative government procurement opportunities for the fiscal year, to help suppliers 
plan ahead. The list is generally for purchases above S$200,000, and is not an invitation to 
tender.49 In March 2014, an updated guide for suppliers was launched to provide more information 
about bidding for government  contracts.  
3.85.   There are regular internal and external audits on compliance with procurement processes. 
These include the auditing activities of the Auditor -General's Office, which are published annually. 
The Report of the Auditor General for the FY2014 high lighted some lapses in the tendering and 
management of revenue contracts; some lapses in controls over the management of contract 
variations; and instances where transactions with related parties were not carried out at arm's 
length.50  
3.86.   Complaints of non -compliance are handled by the Government Procurement Adjudication 
Tribunal. During the review period, there have not been any case s that went through the entire 
review process under the GPA Tribunal.  
3.3.8   Intellectual property rights  
3.87.   Singapore's aim is to positio n itself as an IP hub in Asia. In 2012, the Government adopted 
an IP Hub Master Plan for IP transactions and management, IP filing, and IP dispute resolution. 
Initiatives under the Master Plan include the development of patent search and examination 
capabi lity and appointment as an International Searching Authority and International Preliminary 
Examining Authority under the Patent Cooperation Treaty; and the establishment of a specialist list 
of arbitrators for IP cases at the Singapore International Arbitr ation Centre. WIPO's Arbitration and 
Mediation Center established an office in Singapore in May 2010.51 With the new office, disputes 
involving ownership and validity of IP rights applied for in Singapore can be resolved through 
mediation under the WIPO Rul es.  
3.88.   The Ministry of Law is responsible for formulating IP policies and strategies. The Intellectual 
Property Office of Singapore (IPOS) is responsible, inter alia , for implementing intellectual property 
legislation; administering the registries for regist rable forms of IP; providing administrative 
support to the Copyright Tribunals; representing the Government internationally on intellectual 
property matters; and promoting intellectual property awareness.  
3.89.   An overview of the legal framework for IP protecti on is presented in Table 3.10. During the 
review period, changes to the IP legal framework include d amendments to the Patents Act, the 
Plant Varieties Protection Act, the Copyright Act , and the enactment of a new geographical 
indications (GI) law.  
3.90.   The pat ent law has been amended with the goal of raising the overall quality of patents 
granted, and aligning national practices with those of other established patent regimes. The 
Patents (Amendment) Act 2012, which came into force in February 2014, introduced a  shift from 
the self -assessment system to a positive grant patent system. Unlike in the previous system where 
an applicant could request a grant of a patent as long as certain formal requirements were met, 
patent applications now have to fully meet patenta bility criteria of novelty, inventiveness and 
industrial applicability before a request can be made.  
                                                
48 The government supplier registration process serves as a form of assessing suppliers' financial 
capacity and other capabilities to undertake government contracts.  
49 Listing viewed at the Ministry of Finance website: https://app.mof.gov.sg/mfeupdate/index.asp .  
50 Republic of Singapore (2015) . 
51 The WIPO Arbitration and Mediation Center was established in 1994 to offer alternative dispute 
resolution options for the resolution of international commerc ial disputes between private parties.  The centre is 
based in Geneva and Singapore's office is the only one outside WIPO's headquarters.  WT/TPR/S/343 /Rev.1  • Singapore  
 
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  3.91.   The copyright law was amended in 2014 to implement two sets of changes. Firstly, the 
amendments introduced a new mechanism to enable copyright owners to a pply to the courts for 
an order requiring internet service providers  to block websites that flagrantly infringe copyright. 
Secondly, the amendments introduced new copyright exceptions to implement Singapore's 
obligations as a party to the WIPO Marrakesh Tr eaty to Facilitate Access to Published Works for 
Persons Who are Blind, Visually Impaired or Otherwise Print Disabled.  
3.92.   Geographical indications are currently protected in Singapore by the Geographical 
Indications Act 1999. A new Geographical Indications Ac t (GI Act) with enhanced protection 
measures was passed by Parliament in April 2014. It is expected to come into force upon the 
ratification of the EU -Singapore Free Trade Agreement. Under the new Act, GIs may be registered 
in Singapore. Registration of a GI is allowed only for a selected category of goods (Table 3.10). 
The registration system is a three -step process involving the application, examination of the 
application, and publication to allow third -parties an opportunity to object to the application.  
Protection is granted for 10 years, and can be renewed for further periods of 10 years subject to 
the payment of a fee. Unregistered GIs will continue to be protected but will not be afforded 
enhanced protection under the Act.  
Table 3.10 Intellectual property protection, 2016  
 Coverage  Selected exclusions and 
limitations  Duration  Penalties  
Copyright and 
related rights:  
Copyright Act 
(Cap 63, 2006 
Rev Ed)  Literary, dramatic, 
musical, and artistic 
works, and t heir 
published editions; 
sound recordings; 
films; television 
and radio 
broadcasts; cable 
programmes; and 
performances  Fair dealing  Literary, dramatic, 
musical or artistic 
works: life of the 
author plus 
70 years (25 years 
for their published 
editions);  
Sound recordings 
and films: 
70 years;  
Broadcast or cable 
programme: 
50 years  For making or 
importing 
infringing 
articles: Fines 
of S$10,000 
per infringing 
article (up to a 
maximum of 
S$100,000) 
and/or 
imprisonment 
for up to 
5 years; other 
penalties apply 
for other kinds 
of infringement  
Patents:   
Patents Act 
(Cap 221, 2005 
Rev Ed), last 
amendment in 
2012  Products and 
processes that are 
new, involve an 
inventive step, and 
are capable of 
industrial 
application  Treatment methods for 
humans or animals; 
inventions that may 
encourage offensive, 
immoral or anti -social 
behaviour  20 years from the 
date of filing  Civil remedies  
Industrial 
designs:  
Registered 
Designs Act 
(Cap 266, 2005 
Rev Ed)  Features of shape, 
configuration,  
pattern or 
ornament applied 
to an article by  any 
industrial process  Designs contrary to public 
order or morality, 
computer programs, 
layout -designs, methods 
or principles of 
construction, features of 
shape or configuration of 
an article that are dictated 
solely by the function the 
article has to per form or 
are dependent upon the 
appearance of another 
article of which the article 
is intended by the designer 
to form an integral part  5 years, renewable 
every 5 years up to 
a maximum period 
of 15 years  Civil remedies  WT/TPR/S/343 /Rev.1  • Sing apore  
 
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   Coverage  Selected exclusions and 
limitations  Duration  Penalties  
Trademarks:  
Trade Marks Act 
(Cap 332,  2005 
Rev Ed)  Trademarks, 
service marks, 
certification marks, 
and collective 
marks  Marks contrary to public 
policy, deceptive marks, 
descriptive marks, marks 
common to a specific trade  Granted for an 
indefinite period, 
subject to renewal 
every 10 years  Fines up to 
S$100,000 
and/or 
imprisonment 
for up to 
5 years  
Data submitted 
for the 
purposes of 
obtaining 
marketing 
approval:  
Medicines Act, 
Control of Plants 
Act Test data required 
for regulatory 
approval of 
pharmaceuticals 
and agricultural 
chemical product s  5 years for 
pharmaceutical test 
data and 10 years 
for agricultural 
chemical product 
test data  Civil remedies  
Trade secrets: 
Tort of breach of 
confidence  Confidential 
information   No fixed duration, 
can be for an 
indefinite period of 
time Civil remedies  
Layout -designs 
of integrated 
circuits:  Layout -
designs of 
Integrated 
Circuits Act (Cap 
159A, 2000 Rev 
Ed)  Layout -designs of 
integrated circuits  No protection for an idea, 
procedure, process, 
system, method of 
operation, concept, 
principle or discovery, 
regardless of the form in 
which it is described, 
explained, illustrated or 
embodied in a layout -
design. No infringement if 
(i) the copying is done for 
a private purpose and not 
for the purpose of 
commercial exploitation; 
(ii) if the copying is done 
for the sole purpose of 
evaluation, analysis, 
research or teaching  15 years from  
the date of creation 
(10 years if they 
are first used 
commercially within 
5 years of creation)  Civil remedies  
Plant varieties: 
Plant Varieties 
Protection Act 
(Cap 232A, 2006 
Rev Ed),  last 
amended in 2014   All plant genera and 
species  Any act for private and for 
non-commercial purposes; 
for experimental or 
research purposes; or for 
the purpose of breeding 
other varieties  25 years  Civil remedies  
Geographic 
indications:  
Geographical 
Indications Act 
2014 (not yet in 
force)  Wines, spirits and 
beers; cheese; 
meat and meat 
products; seafood; 
edible and non -
edible oils; fruits 
and vegetable; 
spices and 
condiments; 
confectionary and 
baked goods; 
flowers and parts of 
flowers; and 
natural gum  GIs that have ceased to be 
protected in the country of 
origin, GIs which contain 
the name of a plant 
variety or an animal breed 
and which are likely to 
mislead the consumer as 
to the true origin of the 
product  10 years, subject to 
renewal every 10 
years  Civil remedies  
Source:  Information provided by the authorities of Singapore.  
3.93.   Singapore is also involved in the Patent Prosecution Highway (PPH) initiative, a 
work-sharing arrangement that allows IP offices to share search and examination results, allowing 
applicants to obtain corresponding patents faster and more efficiently. Singapore takes part in the 
Global Patent Prosecution Highway (GPPH) pilot programme, which has 20 other participating 
offices including the IP offices of Germany, Japan, the Republic o f Korea, and the United States. In WT/TPR/S/343 /Rev.1  • Singapore  
 
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  addition, Singapore has bilateral PPH pilot programmes with the State Intellectual Property Office 
of the People's Republic of China, the Mexican Institute of Industrial Property, and the European 
Patent Office. At the re gional level, Singapore collaborates with other regional partners towards 
the implementation of the ASEAN Patent Examination Cooperation (ASPEC) programme, a patent 
work-sharing programme among participating ASEAN member States' IP Offices to allow 
applica nts in participating countries to obtain corresponding patents faster and more efficiently.  
3.94.   IPR enforcement in Singapore is based on cooperation between the authorities and the 
rights  holders, as well as ex officio  action. The Supreme  Court  and subordinate  courts have 
jurisdiction over matters as provided  for under Singaporean IP legislation. Appeals of High Court 
decisions may be referred to the Court of Appeal. Civil remedies include injunctions to stop 
infringement, damages including recovery of profits and expenses, and destruction of infringing 
goods. The courts may also order punitive damages where provided for in legislation (e.g. Trade 
Marks and Copyrights Acts).  
3.95.   IPR offences are primarily handled by the Intellectual Property Rights Branch of the Pol ice 
(IPRB). The IPRB may seize goods that infringe trademark or copyright legislation, both upon 
official notification and in an ex officio  capacity, where there is reasonable cause to suspect that a 
criminal offence has been committed under the legislatio n. In 2015, IPRB conducted 
166 operations against IPR infringers, seizing products with an estimated street value of about 
S$16.3 million (Table 3.11).  
Table 3.11 Number of raids and total value seized,  2011 -15 
 2011  2012  2013  2014  2015  
Copyright raids  35 30 12 7 3 
Trademark raids  97 224 182 162 163 
Total value seized (S$ million)  2.0 2.0 2.7 1.5 16.3 
Source:  Intellectual Property Rights Branch, Singapore Police Force. Viewed at: 
http://www.ipos.gov.sg/AboutIP/IPResources/Statistics/IPRStatistics.aspx  [06.04.2016].  
3.96.   Singapore is a signatory to the Anti -Counterfeiting Trade Agreement (ACTA), a multinational 
treaty aimed at  curbing trade in counterfeit goods and pirated copyright works.52 The agreement is 
not in force yet.  
 
                                                
52 The agreement was signed by: Australia, Canada, the European Union, Japan, Mexico, Morocco, 
New Zealand, Singapore, th e Republic of Korea, and the United States.  WT/TPR/S/343 /Rev.1  • Sing apore  
 
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  4  TRADE POLICIES BY SE CTOR  
4.1  Manufacturing  
4.1.  The manufacturing sector remains an important pillar of Singapore's economy, despite 
modest growth posted over the  review period (averaging 1.5% in 2012 -14). With the structural 
shift of the Singaporean economy towards services, the contribution of the manufacturing sector to 
real GDP has continued to decline to 18% in 2015, down from 19.8% in 2012.1 This trend is par tly 
driven by the growing service -orientation of the manufacturing industry itself, as manufacturers 
diversify into complementary services such as design, R&D, or maintenance, repair and overhaul 
(MRO). The Government's economic policy is supportive of a s trong manufacturing base, whilst it 
favours a restructuring from labour -intensive manufacturing towards high value -added, 
capital -intensive industries. The authorities consider that the manufacturing sector continues to 
provide skilled jobs and has positiv e spill -over effects on the rest of the economy, including 
improving economic resilience in global economic downturns.  
4.2.  The Economic Strategies Committee – since succeeded by the Committee on the Future 
Economy ( section 2.1) – had underscored the importance  of productivity advances as a key 
component for sustainable economic growth, and set in motion an ongoing drive towards 
productivity -led growth. Beginning in 2010, the Government put in place a broad incentive 
structure to support productivity -enhancing i nvestments in the workforce and labour -saving 
technologies.2 A number of horizontal tax incentives, such as the Productivity and Innovation 
Credit (PIC), Pioneer Incentive Scheme, Development and Expansion Incentive, and the 
Investment Allowance incentive (Table A3.2), are also available to manufacturing industries.  
4.3.  The Economic Strategies Committee set a goal to achieve 2 -3% annual productivity growth 
from 2009 to 2019. Labour productivity (as measured by value -added per worker) in the 
manufacturing sector  grew by 5.9% per year from 2009 -15, exceeding labour productivity growth 
in the overall economy of 2.2% per year. However, much of the productivity gains in the economy 
were front -loaded (up 10% in 2010), reflecting the recovery from the global financial  crisis. 
Productivity increased across all clusters as firms in the manufacturing sector were globally 
competitive and able to transform and adjust their processes quickly to changing market 
conditions. The biomedical manufacturing and precision engineering  clusters saw the largest 
increases in productivity as leading global enterprise s set up operations in Singapore to produce 
higher -value -added products. The National Productivity Council has elaborated 15 sector -specific 
productivity enhancement strategies  and implemented competency building programmes, which 
are supported by government assistance schemes and fiscal incentives. The targeted sectors 
include four  manufacturing clusters – electronics, precision engineering, transport engineering, and 
general m anufacturing.3  
4.4.  The electronics cluster remains the leading subsector, contributing 26.7% of manufacturing 
value -added in 2015 (Table 4.1). Singapore is a major production base for semiconductors, PCs, 
servers, computer peripherals, data storage devices, a nd information -communication technologies.  
4.5.  The biomedical cluster comprises the pharmaceutical, medical technology, biotechnology, and 
healthcare services industries. The authorities consider that Singapore’s integrated research 
ecosystem enables companie s to access multidisciplinary capabilities in a single location, which 
improves R&D decision -making and accelerates drug discovery and development. The biomedical 
cluster also benefits from Singapore's favourable position in terms of logistics and intellec tual 
property protection.  
4.6.  Singapore's transport engineering cluster comprises the aerospace, marine and offshore 
engineering, and land transport industries. According to the authorities, Singapore is Asia's most 
comprehensive aerospace MRO hub, accounting for about a quarter of the region's MRO output. 
The Government has been promoting the development of the aerospace industry at Seletar 
Airport. Completed in 2014, the upgraded Seletar Aerospace Park (over 320 hectares) is home to 
                                                
1 The contribution of the manufacturing sector to GDP in nominal terms increased to 19.8% (Table 1.1) 
due to price effects, while volumes declined.  
2 WTO document WT/TPR/S/267/Rev.1, 18  October 2012.  
3 Ministry o f Trade and Industry online information. Viewed at: 
https://www.mti.gov.sg/NewsRoom/Documents/Appointment%20of%20New%20NPCEC%20Members.pdf . WT/TPR/S/343 /Rev.1  • Singapore  
 
- 51 - 
 
  over 100 global and local aerospace companies and accommodates activities ranging from 
aerospace MRO services, design and manufacture of aircraft systems and components, to airframe 
maintenance and modifications.  
4.7.  The precision engineering industry is a key supplier for industries such as electronics, marine, 
aerospace, oil and gas, and medical devices. There are about 2,700 enterprises in these industries. 
The design and assembly of machinery and systems subsector includes machine tools, and 
semiconductor and solar equipment makers . The precision modules and components subsector 
includes tool and die making, casting, injection moulding, ultra -precision machining, as well as 
specialized components such as bearings, motors, vacuum pumps, and watch movements.  
4.8.  The chemicals sector cont ributed S$81 billion of manufacturing output in 2015.  Singapore is 
Asia's major petrochemical and refining centre with a crude oil refining capacity of 1.3 million 
barrels per day.  The chemical and petrochemical industries are located on Jurong Island whic h is 
equipped with the necessary safety and security infrastructure. The Institute of Chemical and 
Engineering Sciences, a national research institute, and a number of private sector research 
centres are also based on Jurong Island.  
Table 4.1 Manufacturing output, value -added and employment by industry cluster, 
2011  and 2015  
(% and S$ billion)  
 Employment  Total outputa Value -addedb 
2011  2015  2011  2015  2011  2015  
Electronics  19.6 17.3 30.2 29.7 29.2 26.7 
Semiconductors  10.3 9.1 17.3 18.0 17.9 19.2 
Computer peripherals  2.7 1.8 2.9 2.4 4.4 1.4 
Data storage  2.7 2.1 2.9 2.0 3.0 3.0 
Infocomms & consumer 
electronics  2.3 2.5 6.4 6.4 3.1 1.6  
Other electronic modules & 
components  1.7 1.8 0.6 0.9 0.8 1.6 
Biomedic al manufacturing  3.6 4.7 9.5 9.9 22.4 19.9 
Pharmaceuticals  1.4 1.6 8.0 6.3 19.3 14.9 
Medical technology  2.2 3.2 1.5 3.6 3.2 5.0 
Transport engineering  26.6 25.3 9.1 10.7 15.6 13.6 
Marine & offshore 
engineering  20.6 19.0 5.7 6.9 9.4 7.8 
Aerospace  4.6 4.7 2.8 2.9 5.1 4.4 
Land 1.5 1.5 0.7 0.9 1.0 1.3 
Precision engineering  22.1 22.6 9.6 12.3 12.6 13.4 
Machinery & systems  10.0 11.3 5.7 8.7 7.2 8.3 
Precision modules & 
components  12.1 11.3 3.9 3.6 5.3 5.1 
General manufacturing 
industries  22.2 23.8 7.6 8.8 11.3 11.6 
Printing  4.0 7.4 0.9 3.7 2.3 5.3 
Food, beverages & tobacco  6.3 3.8 2.9 0.8 3.9 1.7 
Miscellaneous industries  11.9 12.6 3.8 4.2 5.1 4.6 
Chemicals  5.8 6.3 34.0 28.6 9.0 14.8 
Petroleum  0.9 1.1 19.2 11.6 0.5 2.8 
Petrochemicals  1.3 1.4 11.3 12.2 4.9 5.8 
Specialty chemicals  2.4 2.4 2.8 3.3 2.6 4.1 
Others  1.2 1.4 0.7 1.5 1.0 2.2 
Total manufacturing  100.0  
(418,560 
persons)  100.0  
(400,173 
persons)  100.0  
(S$285.5 
billion)  100.0  
(S$283.0 
billion)   100.0  
(S$57.7 
billion)  100.0  
(S$70.4 
billion)  
a Total output includes manufacturing output (total value of all commodities produced (including by -
products) and industrial services rendered during the year) and other operating income.  
b Value -added is total output less materials, utilities, fuel, transporta tion charges, work given out and 
other operating costs.  
Note:  Figures may not add up due to rounding.  
Source:  Ministry of Trade and Industry, Economic Survey of Singapore 2015 . Viewed at: 
https://www.mti.gov.sg/ResearchRoom/Pages/Economic -Survey -of-Singapore -2015.aspx .  WT/TPR/S/343 /Rev.1  • Sing apore  
 
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  4.2  Services  
4.9.  Under the GATS, Singapore made commitments in 7 of the 12 sectors listed in the Services  
Sectoral Classification List (business service s; communication services; construction services;  
financial services; tourism and travel related services; recreational, cultural and sporting services;  
and transport services) ; in total the commitments cover 67 out of about 160  subsectors .4 
4.2.1   Financial serv ices  
4.10.   Singapore is among the major financial centres in the world, ranking 3rd according to the 
March 2016 issue of the Global Financial Centres Index.5 The financial services sector comprises 
banks, insurance companies, capital market intermediaries and o ther financial institutions 
(Table  4.2). In 2015, the finance and insurance industry's contribution to GDP was 12.6%, up from 
10.7% in 2011 (Table 1.1).  
Table 4.2 Number of financial institutions, 2011 -15 
 2011 2012  2013  2014  2015  
Commercial banks  120 123 123 124 126 
Local banks  6 6 6 5 5 
Full banks  5 5 6 5 5 
Wholesale banks  1 1 0 0 0 
Foreign banks  114 117 117 119 121 
Full banks  26 26 27 28 28 
Wholesale banks  50 52 53 55 56 
Offshore banks  38 39 37 36 37 
Asian currency units  163 165 161 159 160 
Banks  117 120 120 121 123 
Merchant banks  46 45 41 38 37 
Finance companies  3 3 3 3 3 
Merchant banks  47 46 42 39 38 
Bank representative offices  34 36 38 36 38 
Insurance companies  157 164 168 177 181 
Direct insurers  63 70 72 79 80 
Professional reinsurers  28 29 28 31 31 
Authorized reinsurers  6 6 6 6 6 
Captive insurers  60 59 62 61 64 
Insurance brokers  64 67 69 71 74 
International money brokers  10 9 9 9 10 
Licensed financial advisers  67 67 62 58 60 
Capita l markets services licensees  251 250 295 443 493 
Licensed trust companies  48 50 51 52 54 
Registered fund management companiesa n.a. n.a. 74 236 275 
n.a. Not applicable.  
a Registration started after the Guidelines on Licensing, Registration and Conduct of Business for Fund 
Management Companies was issued in August 2012.  
Note:  Data as at end -March of each year.  
Source:  Singapore Department of Statistics (2015), Yearbook of Statistics Singapore, 2015.  Viewed at: 
https://www.singstat.gov.sg/docs/default -source/default -document -
library/publications/publications_and_papers/reference/yearbook_2015/yos2 015.pdf ; and 
information provided by the authorities.  
                                                
4 WTO documen t S/DCS/W/SGP, 24 January 2003.  
5 The ranking is based on assessments provided by international financial services professionals. 
Z/yen  Group (2015).  WT/TPR/S/343 /Rev.1  • Singapore  
 
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  4.11.   As one of the systemically  important financial centres in the world, Singapore underwent the 
International Monetary Fund's Financial Sector Assessment Programme (FSAP) in 2013.6 The 
assessment affirmed  Singapore's standing as a highly developed, well -regulated and 
well-supervised financial centre. It found that Singapore maintained a high level of compliance 
with international standards for the regulation and supervision of the banking, insurance and 
securities sectors, and financial market infrastructures. Singapore is exposed to a broad array of 
domestic and global risks, especially in light of its interconnectedness with other financial centres. 
According to the IMF, the most pressing vulnerability at  that time appeared to stem from the rapid 
growth of credit and real estate prices, but the financial system was also exposed to possible 
spillovers from a potential tightening of US monetary policy, an economic slowdown in China, or a 
deterioration of eco nomic conditions in Europe. Stress tests conducted as part of the assessment 
indicated, however, that these risks were manageable.  
4.12.   The supervision of the sector is under the purview of the Monetary Authority of Singapore 
(MAS). Established under the Monet ary Authority of Singapore Act, the MAS administers, inter alia, 
the Banking Act, the Finance Companies Act, the Securities and Futures Act, the Financial Advisers 
Act, and the Insurance Act. In 2013, the Monetary Authority Act was amended to enhance MAS' 
regulatory framework for the resolution of financial institutions. The legislation broadened the 
scope of MAS' resolution powers7 beyond banks and insurers to other financial institutions.8 MAS' 
resolution instruments for distressed or insolvent financial institutions were also expanded to 
include powers for MAS to compulsorily transfer the business of, or shares in, a financial 
institution; restructure the share capital of a financial institution; prohibit a financial institution 
from carrying on its busin ess; and share information with a foreign resolution authority.  
4.13.   Singapore continues to provide a range of tax incentives to the financial services sector 
(Table 4.3). Incentives are generally targeted at institutions with plans to establish or expand their  
"substantive operations" in Singapore. In particular, incentive recipients are expected to 
demonstrate growth of activities through increased headcount or business spending. They are also 
subject to annual reviews on the scale and quality of their economi c contribution to the economy. 
Tax incentives have sunset clauses to ensure that they are periodically reviewed for relevance.  
Table 4.3 Incentive schemes administered by the Monetary Authority of Singapore, 2 016 
Scheme  Summary description  Changes over review period  
Financial Sector Incentive (FSI) Schemes  
FSI – Standard Tier  12% concessionary tax rate for qualifying transactions 
relating to lending and trade finance, capital market 
activities, derivatives, t rust administration, custodian, 
fund management and investment advisory activities  Extended until 31  December  2018; 
the coverage has been expanded to 
include qualifying Islamic finance 
activities  
FSI – Enhanced Tier    
 - FSI – Trustee 
Companies (formerly  
Tax Incentive 
Schemes for Trusts)  12% concessionary tax rate (10% until 31  March  2016) 
on qualifying fee income derived by an approved 
trustee company from providing trustee services to 
certain trusts (i.e. trusts under a foreign trust scheme)  Extended un til 31 December  2018 
 - FSI – Fund 
Management  10% concessionary tax rate for fund management and 
investment advisory activities  Created from merging the FSI  – 
Bond Market and the FSI  – Equity 
Market, valid until 
31 December  2018 
 - FSI – Headquarter 
Services 10% concessionary tax rate on qualifying income 
derived from providing qualifying headquarter services 
to network companies  Extended until 31  December  2018 
 - FSI – Capital 
Markets  5% concessionary tax on qualifying capital market 
activities  Extende d until 31  December  2018 
 - FSI – Derivatives 
Market  5% concessionary tax on qualifying derivatives market 
activities   Separate sub -schemes have been 
merged into one single scheme, 
and extended until 
31 December  2018 
                                                
6 IMF (2013).  
7 The Banking Act and the Insurance Act empower MAS (subject to the approval of the m iniste r in 
charge of MAS ) to direct the sale of the business of a bank or insurance company, and where such an 
institution is incorporated in Singapore, to require the issuance of new shares, to restructure the share capital 
or to sell existing shares to other i nvestors.   
8 Other financial institutions include: finance companies, merchant banks, operators and settlement 
institutions of designated payment systems, approved exchanges, approved clearing houses, licensed trade 
repositories , and designated financial h olding companies . WT/TPR/S/343 /Rev.1  • Sing apore  
 
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  Scheme  Summary description  Changes over review period  
- FSI – Credit 
Facilities Syndication  5% concessionary tax on qualifying credit facilities 
syndication activities   Extended until 31  December  2018 
Other schemes  
Asset securitization  Tax exemption for income derived from asset 
securitization arrangements through approved special 
purpose vehicles (ASPVs) based in Singapore. Tax 
concessions for withholding tax, stamp duty, and GST 
concession for qualifying transactions  Extended until 31  December  2018  
Locally administered 
trust (i.e. domestic 
trust) Tax exemption for specified income (by quali fying local 
trusts and eligible underlying holding companies that 
are administered by a trustee company in Singapore) 
that would not have been taxable if received directly by 
any individual  Scheme valid until 31  March  2019  
Foreign trust Tax exemption on specified income from designated 
investments received by the foreign trust  Scheme valid until 31  March  2019  
Foreign charitable 
purpose trusts Tax exemption on specified income from designated 
investments made by qualifying charitable  purpose 
trusts or th eir eligible holding companies  Scheme valid until 31  March  2019  
Insurance Business 
Development (IBD) 
Incentive ( formerly 
Offshore Insurance 
Business Incentive)  10% tax (for up to 10 years) on qualifying income 
derived from qualifying offshore insurance b usiness 
conducted in Singapore  Extended until 31 March 2020 and 
expanded to include marine hull 
and liability insurance business  
Captive insurance 
tax incentives 
scheme  10-year tax exemption on qualifying income derived 
from offshore insurance business  Valid until 1 April 2018  
IBD - Specialised 
Insurance Business 
(formerly Offshore 
Specialised 
Insurance Business)  5-year tax exemption for qualifying income derived 
from insuring and reinsuring certain offshore speciali zed 
risks (agriculture, terrorism, ene rgy, aviation, political 
risks)  
As a transitional measure, a concessionary tax rate of 
5% will apply to new awards from 1 September 2016 to 
31 August 2019. A concessionary tax rate of 10% will 
apply to renewal awards from 1 September 2016  
A concessionary t ax rate of 8% will apply to new 
awards from 1 September 2019  Subsumed under the IBD scheme 
as an enhanced tier award from 
1 September 2016 up until 
31 August 2021  
Its scope will be expanded to 
include the business of underwriting 
onshore specialized risks  
Offshore insurance 
broking business  10% tax rate on qualifying insurance and reinsurance 
broking activities  
In addition, a 5% tax rate on qualifying specialty 
insurance and reinsurance broking activities was 
introduced from 1 April 2013  Extended until 31  March 2018  
Bond market 
incentives  Tax exemption on income from (a) qualifying debt 
securities (QDS) and (b)  trading in Singapore 
Government Securities by primary dealers  Extended until 31 December 2018  
Withholding tax 
exemption regime 
for banks Withho lding tax exemption on interest and other 
qualifying payments made by banks to their branches 
or other banks outside Singapore  Valid until 31 March 2021  
Source:  Information provided by the authorities of Singapore.  
4.14.   The Financial Sector Incentive (FSI) Sc heme is the main umbrella for the various tax 
incentives available to the sector. Under the framework, incentives are categorized under a 
Standard Tier (ST) and an Enhanced Tier (ET). Incentives under the ST are available for financial 
activities that are deemed to be critical to the development of the sector. These include qualifying 
transactions relating to lending and trade finance, capital market activities, derivatives, fund 
management, trust administration, custodian and other advisory services. The E T award is 
targeted at deepening capabilities in specific areas, namely qualifying transactions relating to 
capital market activities, credit facilities syndication and derivatives. Incentives are granted in the 
form of concessionary tax rates of 12%, 10% or 5% on income from qualifying activities. Initial 
awards are granted for five years. During the review period, some FSI schemes expired or have 
been streamlined and updated. The FSI  – Islamic Finance scheme expired on 31 March 2013 and 
the scope of the F SI – Standard Tier has been expanded to include qualifying Islamic finance 
activities.  
4.15.   A number of grant schemes are also available under the Financial Sector Development Fund 
(FSDF) established in 1999. These include: the Financial Training Scheme, the In stitute of Banking 
and Finance Standards Training Scheme, and the Financial Scholarship Programme.  WT/TPR/S/343 /Rev.1  • Singapore  
 
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  4.2.1.1   Banking  services  
4.16.   As at end -December 2015, there were 126 commercial banks, 121 of which were foreign 
banks (Table 4.2). The three largest local banks collec tively account for about 35% of the total 
bank assets.9 During the review period, the total asset s of the banking sector increased to around 
S$1.1 trillion in 2014 (Table 4.4). The aggregate total capital adequacy ratio of local banks has 
remained well abo ve the regulatory minimum requirement of 10%, and the non -performing loan 
ratio was 1.1% in 201 5.  
Table 4.4 Selected  performance indicators in banking, 201 1-15 
 2011  2012  2013  2014  2015  
Assets (S$ billion)  855.8 911.0  973.2  1,059.6  1,057.5  
Total non -bank loans (S$ billion)a 420.5  490.7  574.3  607.2  599.8  
US$ equivalent (billion)  323.3  401.5  453.9  459.5  424.2  
Loans by sector (% of total DBU loans)a, b          
- Manufacturing  3.3 4.3 4.6 4.0 3.8 
- Building  and construction  11.7 12.4 13.2 13.9 15.9 
- Housing  22.8 24.0 24.1 23.8 24.6 
- Professional and private individuals  9.1 9.6 9.5 9.2 9.1 
- Non-bank financial institutions  9.6 10.3 11.1 10.8 9.5 
Total non -bank deposits (S$ billion)a 483.1  518.8  537.6  550.4  560.0  
US$ equivalent (billion)  371.4  424.5  424.9  416.5  396.1  
Return on assets (%)c  1.0 1.1 1.0 0.9 1.0 
Capital to risk -weighted assets ratio (%)c  16.0 18.1 16.4 15.9 15.9 
NPL ratio (%)c  1.2 1.2 1.0 0.9 1.1 
a Figures for assets, loans and dep osits are for domestic banking units (DBUs) only.  
b 2015 figures are for Q3 2015.  
c Figures are for local banks' global operations.  
Source:  MAS (2016), Monthly Statistical Bulletin . Viewed at: http://www.mas.gov.sg/Statistics/Monthly -
Statistical -Bulletin.aspx . 
4.17.   The Banking Act and its subsidiary legislation constitute  the main legal framework governing 
the licensing and operation of commercial banks in Singapore. Commercial b anks in Singapore 
may undertake universal banking, which, besides deposit taking, cheque services and lending, 
includes any other business regulated or authorized by the MAS, including financial advisory 
services, insurance broking, and capital market serv ices. Banks providing investment banking and 
financial advisory services must comply with the relevant provisions of the Securities and Futures 
Act and the Financial Advisers Act. Commercial banks may operate as full banks10, wholesale 
banks11, or offshore b anks.12  
4.18.   Except in retail banking, Singapore's  laws do not distinguish operationally between foreign 
and domestic banks. Foreign retail banks are subject to limitations on the number of places of 
business they can operate. They are not permitted to particip ate in any ATM network s operated by 
local banks, but may negotiate with the local banks on a commercial basis to let their credit card 
holders obtain cash advances through the local bank's ATM networks. Foreign banks benefiting 
from Qualifying Full Bank (Q FB) privileges are allowed to operate a total of 25 places of business 
(branches and/or off -premise ATMs). They can also enter into an agreement to share one ATM 
network among themselves. As at end -December 2015, ten foreign full banks have been awarded 
                                                
9 These are: DBS Bank Limited, United Overseas Bank (UOB) Limited, Oversea -Chinese Banking Corp 
(OCBC) and their respective banking subsidiaries in Singapore.  
10 Full banks  may provide the whole range of banking business approved under the  Banking Act.  
11 Wholesale banks  may engage in the same range of banking business as full banks, except they may 
not operate savings accounts denominated in Singapore dollars or accept Singapore dollar fixed deposits of 
less than S$250,000. Currently, all w holesale banks in Singapore operate  as branches of foreign banks. 
Wholesale banks may operate in only one location unless the MAS approves an additional location.  
12 Offshore banks may engage in the same activities as full and wholesale banks for businesses  
transacted through their Asian currency u nits (ACUs), which the banks use to book their foreign currency 
transactions conducted in the Asian dollar market (ADM). The scope of business transacted in offshore banks' 
domestic banking units (DBU) has more res trictions on dealings with residents compared with wholesale banks.  WT/TPR/S/343 /Rev.1  • Sing apore  
 
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  QFB privileges.13 There are currently 2 ATM networks: the local ATM network (for local banks), and 
the ATM5 network, a shared network among seven participating QFBs.  In 2012, t he MAS 
introduced changes to its QFB programme to encourage foreign banks "to deepe n their roots in 
Singapore in a way that strengthens Singapore's financial stability".14 With the changes, all banks 
with a significant retail presence are required to locally incorporate their retail operations. For a 
small number of locally incorporated Q FBs that may become significantly rooted15 in Singapore 
over time, MAS may grant an additional 25 places of business, of which up to 10 may be branches. 
In 2012, MAS announced that it will only award QFB privileges under FTA negotiations. New QFBs 
granted u nder future FTA offers will have to be locally incorporated before they may establish up 
to 25 places of business.  
4.19.   Singapore  continues to maintain legal distinctions between offshore operations in foreign 
currency transactions conducted in the Asian dolla r market and Singapore dollar transactions. The 
measure was intended to  safeguard domestic financial stability without unduly affecting the 
regional activities of banks operating in Singapore.  Banks are required to register their domestic 
banking unit (DBU ) and their Asian currency unit (ACU) as separate entities. Transactions in 
Singapore dollars can be booked only in the DBU, whereas transactions in foreign currencies are 
booked in the ACU. According to the authorities, the divide has served Singapore wel l but recent 
developments have reduced its relevance. In particular, major regulatory developments since the 
global financial crisis have resulted in banks' offshore activities being subject to rules that are 
broadly similar to those governing the domestic  banking business in Singapore. Therefore, in 
June 2015, the MAS announced its intention to remove the DBU -ACU divide.16 It subsequently 
issued a consultation paper to seek feedback on the removal.17 The removal will require 
amendments to the Banking Act and  other regulatory instruments, and banks will need to make 
changes to their system to effect these changes. The MAS proposes giv ing banks two years from 
the time it issues the revised regulatory requirements to implement the changes.  
4.20.   Financial institution s may also operate as a licensed finance company or as an approved 
merchant bank. Finance companies, licensed under and governed by the Finance Companies Act, 
focus on providing fixed and saving deposits as well as credit facilities to individuals and 
corporations. They may not offer deposit accounts and are not allowed to deal in any foreign 
currency, gold or other precious metals or acquire foreign currency denominated stocks, shares or 
debt securities . Merchant banks18 are approved under the Monetary Auth ority of Singapore Act and 
governed by the Merchant Bank Notices, Directives, Guidelines, and Circulars; merchant banks' 
ACU operations are subject to the Banking Act.  
4.21.   Banking licences are issued by the MAS. Applications are evaluated based on, inter alia , the 
track record, international standing and reputation, and financial soundness of the applicant and of 
its parent institution or major shareholders; the home -country's supervisory strength and the 
willingness and ability of the home supervisory authorit y to cooperate with the MAS; whether the 
applicant has a well -developed strategy in banking or financial services, supported by business 
plans; and whether the applicant has risk -management systems and processes in place, 
commensurate with the size and com plexity of the business. Refusal by the MAS to grant a licence 
may be appealed to the Minister. The minimum paid -up capital requirement for a bank 
incorporated in Singapore remains at S$1.5  billion . Locally  incorporated wholesale banks and 
                                                
13 These are: Australia & New Zealand Banking Group Limited, BNP Paribas, Citibank Singapore Limited, 
Hongkong and Shanghai Banking Corporation Limited, ICICI Bank Limited, Malayan Banking Berhad, Standard 
Chartered Bank, State Bank of India , Bank of China, and Industrial and Commercial Bank of China . 
14 Monetary Authority of Singapore online information. Viewed at: http://www.mas.gov.sg/news -and-
publications/media -releases/2012/mas -announces -changes -to-the-qualifying -full-bank-programme.aspx .  
15 In determining whether a QFB is significantly rooted, M AS will consider a range of quantitative and 
qualitative attributes, including whether: Singapore is one of the banks group's  major markets; major business 
lines and key decision makers are headquartered in Singapore; and if the majority of the Board of the bank's 
local subsidiary are Singaporeans and permanent residents.  
16 Keynote Address by Mr Tharman Shanmugaratnam, Deputy Prime Minister and Chairman, Monetary 
Authority of Singapore, at the Association of Banks in Singapore (ABS) Annual Dinner on 30 June  2015. Viewed 
at: http://www.mas.gov.sg/news -and-publications/speeches -and-monetary -policy -
statements/speeches/2015/keynote -address -by-dpm-at-abs-annual -dinner.aspx . 
17 MAS consultation on " Removing the DBU -ACU Divide – Implementation Issues ". Viewed at: 
http://www.mas.gov.sg/~/media/MAS/News%20and%20Publications/Consultation%20Papers/31%20Aug%20
2015%20Consultation%20on%20Removing%20the%20DBU_ACU%20Divide_ Implementation%20Issues.pdf .  
18 Typical activities of merchant banks include corporate finance, underwriting of share and bond issues, 
mergers and acquisitions, portfolio investment management, and other fee -based activities.  WT/TPR/S/343 /Rev.1  • Singapore  
 
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  merchant banks a re subject to lower minimum paid -up capital requirements (S$100 million and 
S$15 million respectively).   
4.22.   There are no foreign ownership ceilings for local banks and finance companies as the MAS 
removed foreign shareholding limits on local banks and finance  companies in 1999 and 2002, 
respectively. Nonetheless, the Government of Singapore maintains that it will not allow a foreign 
takeover  of its three local financial  institutions.19 Prior approval from the Minister -in-charge of MAS 
is required before a perso n or a group of persons can accumulate substantial numbers of shares in 
local banks at the thresholds of 5%, 12%, and 20% (5% and 20% in the case of finance 
companies). The authorities indicated that these measures are to ensure that the substantial 
shareh olders of locally incorporated banks remain fit and proper, and act in accordance with the 
long-term interest of the economy.  
4.23.   Singapore has adopted higher capital adequacy requirements (compared to the Basel III 
global capital  standards)  for the locally in corporated banks. All locally incorporated  banks had met 
the Basel III minimum capital adequacy requirements before January 2013 (ahead of the Basel 
Committee on Banking Supervision (BCBS)'s timeline), and have been subject to minimum capital 
requirements that are two percentage points higher since January 2015: a minimum Common 
Equity Tier 1 capital adequacy ratio (CAR) of 6.5%, a Tier 1 CAR of 8%, and a total CAR of 10%.  
4.24.   In April 2015, MAS issued a framework for identifying and supervising domestic syste mically 
important banks (D -SIBs).20 Under the framework, banks are assessed annually for their systemic 
importance. The assessment is based on banks ' size, their interconnectedness, substitutability, 
and complexity. MAS will apply additional supervisory mea sures to banks designated as D -SIBs, 
including higher loss absorbency21, recovery and resolution planning, and enhanced disclosures.  
The following  banking groups have been designated as D -SIBs: DBS Bank; Oversea -Chinese 
Banking Corporation; United Overseas Bank; Citibank; Malayan Banking Berhad; Standard 
Chartered Bank; and the Hongkong and Shanghai Banking Corporation.22  
4.25.   As part of MAS' periodic reviews of the regulatory framework, MAS is currently amending 
the Banking Act. The Bill was passed in Parliament  in February 2016. The key amendments aim to 
enhance prudential safeguards and reflect new Basel III standards, strengthen the corporate 
governance of banks, and reinforce banks' risk management controls.  
4.26.   Singapore is leveraging on its strategic location a nd existing strengths in conventional 
finance to tap into the growing global Islamic finance industry . The authorities' approach is to 
accommodate Islamic finance within the existing  regulatory framework. Pursuant to the Banking 
Regulations, banks may carr y on and offer Islamic -compliant financial services in Singapore. 
Guidelines on the application of banking regulations to Islamic banking were issued in 2010.23 MAS 
established an Islamic bond ( sukuk)24 issuance facility in 2009 to provide Singapore dollar I slamic 
regulatory assets for banks undertaking Islamic finance activities. Between 2012 and 2015, the 
MAS issued four series of Islamic bonds totalling S$490 million. The number of banks offering 
Islamic banking products increased from 13 to 15 during the review period.  
                                                
19 These are: DBS Bank Limited , United Overseas Bank (UOB) Limited, Overseas -Chinese Banking Corp 
(OCBC) and their respective banking subsidiaries in Singapore.  
20 The framework is aligned with the principles set out by the Basel Committee on Banking Supervision 
(BCBS) . 
21 Locally incorp orated banks are required to maintain minimum capital requirements that are 
two percentage points higher than the BCBS requirements. For local ly-incorporated D -SIBs, the 
two percentage point requirement (in the form of Common Equity Tier 1) form s the highe r loss absorbency 
(HLA).  
22 MAS online information. Viewed at: http://www.mas.gov.sg/news -and-publications/media -
releases/2015/mas -publishes -framework -for-domestic -systemically -important -banks -in-singapore.aspx  
[21.03.2016].  
23 MAS (2010) . 
24 The MAS Sukuk is the Shariah -compliant equivalent of Singapore Government Securities (SGS)  and is 
given eq ual regulatory treatment . For example, it qualifies as an asset in the computation of capital and 
liquidity requirements, and is eligible  as collateral  for tapping MAS ' liquidity.  WT/TPR/S/343 /Rev.1  • Sing apore  
 
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  4.2.1.2   Insurance  
4.27.   The insurance sector is the second largest component of Singapore's financial system in 
terms of assets. As of December 2014, the sector had assets valued at S$197.4 billion  (Table 4.5) , 
equivalent to about 50% of GDP. The market continued  to grow strongly during the review period. 
Between 2011 and 2014, non -life gross premiums increased at an average annual rate of 6% to 
nearly S$11.8 billion.  
Table 4.5 Selected indicators of the insu rance industry, 2011 -14 
(S$ million)  
 2011  2012  2013  2014  
Total assets  161,114.8  174,860.1  179,692.7  197,401.9  
 Direct insurers  143,019.7  156,802.6  161,597.3  177,415.2  
 Professional reinsurers  15,277.2  15,022.1  14,886.3  16,322.2  
 Captive insurers  2,817 .9 3,035.4  3,209.1  3,664.5  
General insurance      
 Onshore      
 Gross premiumsa 3,423.6  3,626.7  3,738.1  3,850.5  
 Net premiums  2,645.3  2,784.9  2,866.9  2,936.1  
 Total assets 8,742.2  9,446.5  9,989.2  10,489.3  
 Offshore          
 Gross premiums  6,396.8  6,789.8 7,364.3  7,917.6  
 Net premiums  4,099.8  4,098.7  4,663.8  5,096.0  
 Total assets 19,608.5  17,568.7  17,180.7  19,017.2  
Life insurance      
 Onshore      
 Number of policies  12,191,800  12,591,704  12,900,402  13,140,136  
 Sum insured  713,645  783,875  839,804  903,071  
 Annual premiums  10,324  11,407  13,016  14,353  
 Total assetsb 118,922  132,846  136,678  152,145  
 Offshore          
 Net premiums          
 Direct insurers  698 560 379 398 
 Professional reinsurers  1,819  2,209  2,156  2,406  
a For direct insurers only.  
b Includes direct insurers and reinsurers.  
Source:  Information provided by the authorities of Singapore.  
4.28.   The legal framework governing insurance companies remained largely the same over the 
review period, although there have been amendments to the Insuran ce Act and some of the 
regulations to enhance supervisory objectives and powers. Insurers, reinsurers and insurance 
intermediaries are regulated under the Insurance Act. They can be licensed as direct insurers, 
reinsurers, or captive insurers.25 A direct in surer may undertake both direct and reinsurance 
business whereas a reinsurer is confined to reinsurance business.  
4.29.   Under the Insurance Act, insurers and reinsurers are restricted from holding major stakes 
(10% or more of the corporation's voting rights or issued shares) in any corporation without prior 
approval from the MAS. No person is allowed to obtain effective control (defined as owning 20% or 
more of issued shares or voting power) or acquire a substantial shareholding (5% or more of 
issued shares or v oting power) of any locally incorporated insurer without the MAS ' approval. 
Insurers are generally required to seek approval from MAS for the appointment of chief executives 
and directors. Captive insurers are exempted from having to seek approval for the appointment of 
directors.  
4.30.   Minimum paid -up capital requirements have not changed during the review period. Direct 
insurers and reinsurers (irrespective of whether they are domestic -owned or foreign -owned) are 
subject to minimum paid -up capital requirements of S$10 million and S$25  million respectively. 
                                                
25 A captive insurer is an insurer whose licence is restricted to carrying on  business which consists 
principally of risks (direct and reinsurance) of its related corporations . WT/TPR/S/343 /Rev.1  • Singapore  
 
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  For Singapore an branches of foreign incorporated (re)insurers, the paid -up capital of the legal 
entity is used in the assessment of whether the requirement is fulfilled.  
4.31.   Under the 2004 risk -based capital frame work, insurance companies are required to maintain 
a minimum capital adequacy ratio of 100% at the company level, and a fund solvency ratio of 
100%.26 They are also required to notify the MAS about the (potential) occurrence of any event 
that would result i n their financial resources being less than 120% of the insurer's total risk 
requirements.  
4.32.   The Insurance Act was amended in 2013 to take into account global supervisory and market 
developments since the last major amendment in 2004. The amendments enhanced  MAS' powers 
to achieve its supervisory objectives, improved clarity on existing policy positions and aligned the 
Insurance Act with other MAS -administered Acts. The Insurance (Corporate Governance) 
Regulations were also amended to extend their application  beyond significant life insurers27 to all 
locally incorporated direct insurers and reinsurers. MAS issued new Notices on Investments of 
Insurers and Enterprise Risk Management for Insurers in 2013 so as to enhance the insurers' 
governance of their investme nt activities and risk management process. MAS is also in the process 
of reviewing its risk -based capital framework and group -wide supervisory framework to ensure 
that the insurance industry keeps pace with international standards.  
4.2.2   Telecommunications servi ces 
4.33.   In 2014, t he ICT industry generated S$167.1 billion in revenue, representing 7.9% of GDP. 
Its contribution to GDP was around 4% during the review period (Table 1.1). As at end -2014, the 
number of mobile subscriptions was 8.1 million, and the overall po pulation penetration rate stood 
at 146.9% (Table 4.6). According to the ITU, Singapore was ranked 19th out of 167  economies in 
terms of the 2015 ICT Development Index.28 Singapore has achieved nationwide broadband fibre 
coverage since mid -2013.  
Table 4.6 Selected indicators in the information and communications sector, 2011 -14 
 2011  2012  2013  2014  
Fixed telephone subscriptions (million)  2.02 1.99 1.97 1.99 
Fixed telephone subscriptions per 100 inhabitants  38.9 37.5 36.4 36.2 
Mobile -cellular telephone subscriptions (million)  7.8 8.0 8.4 8.1 
Mobile -cellular telephone subscriptions per 100 inhabitants  150.1  152.1  155.9  146.9  
Individuals using the Internet (%) 71.0 72.0 81.0 82.0 
Fixed -broadband subscriptions  (in million)  1.41 1.43 1.493  1.47 
Fixed -broadband subscriptions per 100 inhabitants  27.1 27.0 27.6 26.7 
Household access to computer (%)      
  - 1 computer  31 25 21 21 
  - 2 or more computers  55 60 66 65 
  - No computer  14 15 13 14 
Household access  to internet (%) 85 84 87 88 
Household access to broadband (%) 85 84 87 87.5 
Total infocomm industry revenue (S$ billion)  94.5 113.3  156.3  167.1  
  - Domestic market (%)  37.9 31.3 31.0 30.3 
  - Export market (%)  62.1 68.7 69.0 69.7 
Infocomm industry re venue by segment (%)     
  - Hardware  63 66 68 69 
  - Software  13 11 12 12 
  - IT services  10 11 9 9 
  - Telecom services  11 10 8 8 
  - Content services  3 2 2 2 
Source:  Information provided by the authorities of Singapore.  
                                                
26 Insurance (Valuation and Capital) Regulations 2004.  
27 A significant life insurer is defined as any direct life insurer incorporated in Singapore and with total 
assets of at least S$5 billion or its equivalent in any foreign currency in its Singapore Insurance Fund and 
Offshore Insurance Fund.  
28 ITU (201 5).  WT/TPR/S/343 /Rev.1  • Sing apore  
 
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  4.34.   There are several fixed -line services providers in Singapore. The key players are: Singapore 
Telecommunications Limited (Singtel) and Starhub Limited, both of which  serve the end -user 
market, and NetLink Trust, which offers wholesale fibre services over the Nationwide Broadband 
Network (NBN) to other operators. There are three mobile operators: Singtel and Starhub through 
their mobile subsidiaries29, and MobileOne (M1).30 The Infocom m Development Authority  plans to 
auction spectrum rights for a fourth mobile network operator to enhance  innovation and 
competition in the market. The s pectrum rights auction is expected to take place in two phases in 
2016: a first phase excluding existing mobile operators, and a second stage open to all operators 
(including the new entrant).31 Currently, the re are approximately over 20 retail internet services 
providers licensed to offer fibre broadband services over the NBN.  
4.35.   The telecommunications sector is regulated by the Infocom m Development Authority (IDA), 
a statutory board of the Ministry of Communicat ions and Information. The IDA is responsible for 
developing information technology and telecommunications infrastructure, policies and regulations 
in the country.32  
4.36.   The sector is governed by the Telecommunications Act and subsidiary regulations. Key 
change s since 2012 include increasing the maximum financial penalty that may be imposed on 
telecom licensees (to S$1 million or 10% of annual business turnover for licensable services, 
whichever is higher); updating the consolidation provisions and business mode ls (such as business 
trusts and other forms of trusts); and providing powers for the IDA to issue written orders to 
building owners and developers to ensure their compliance with the Code of Practice for 
Info-communication Facilities in Buildings (COPIF).33  
4.37.   Since Singapore's last trade policy review , the licensing regime has remained substantially 
unchanged. The licensing framework differentiates between licensees based on the nature of their 
operations. Operators who deploy their own telecom infrastructure  and network to offer services 
are licensed under the Facilities Based Operations (FBO) licence framework, while operators who 
lease telecom networks or purchase wholesale services from FBOs to offer or resell services are 
licensed under the  Services Based  Operator (SBO) licence framework.34 FBO licensees may offer 
the services that SBOs can offer; the reverse is not permitted . Following a review of the licensing 
framework, the IDA  reduced the annual licence fees payable for the majority of FBO and SBO 
licensees.35 Under the revised licence fee framework which took effect in 2013, FBOs pay a 
reduced flat fee of S$80,000 for the first S$50 million of their annual gross turnover (AGTO) for 
their licensed activities; 0.8% of the incremental AGTO between S$50 mill ion and S$100 million; 
and 1% of the incremental AGTO above S$100 million. SBOs also saw a reduction of the minimum 
flat fee from S$5,000 to S$4,000. Any foreign or domestic company registered with the Accounting 
and Corporate Regulatory Authority (ACRA) may apply for a FBO or SBO licence to offer telecom 
services in Singapore. There are no limits on the number of licences that may be granted unless 
there are technical constraints, such as spectrum availability. There are also no restrictions on 
foreign equ ity ownership in the telecommunications sector.  
                                                
29 Singtel Mobile Singapore Pte Ltd and Starhub Mobile Pte Ltd.  
30 The main shareholder s of M1 are: Kep pel Telecoms (19. 34%); SPH Multimedia (13. 45%); and Raffles 
Nominees (Pte) Limited  (29.68%). 
31 The decision follows two public consultations that were conducted in April 2014 and July 2015 , 
respectively on the allocation of radio spectrum for mobile broadb and services , and the introduction of further 
competition to enhance the vibrancy of the mobile and wireless landscape.  
32 The Info-communications  Development Authority and the Media Development Authority will be 
re-structured in the second half of 2016 to form the Info -communications Media Development Authority , which 
will serv e as the regulatory body for the information, communications and media sector in Singapore.  
33 The purpose of the C OPIF is to ensure that developers and/or owners of buildings and deve lopments 
provide adequate space and facilities for the deployment and operation of eq uipment used for providing 
info-communication services.   
34 FBO licences are meant for operators who intend to deploy any form of telecommunication network, 
systems and/or facilities to offer telecommunication and/or broadcasting services to customers wh ich may 
include other licensed telecom operators, business es or the general public. SBO licences are meant for 
operators who intend to lease telecommunication network element s such as transmission capacity, switching 
services and fibre from any FBO licensed by the IDA  to provide telecommunication services to third parties or 
resell the telecommunication services of FBO. SBOs can either be individually licensed or class license d by the 
IDA, depending on the scope of the operations and nature of the services.  
35 IDA p ress release on the reduction of licence fees for FBOs and SBOs . Viewed at : 
https://www.ida.gov.sg/About -Us/Newsroom/Media -Releases/2011/IDA -Significantly -Reduces -Licence -Fees-
for-Most-Facilities -Based -Operators -and-Services -Based -Operators . WT/TPR/S/343 /Rev.1  • Singapore  
 
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  4.38.   FBO licences are issued for a duration of 10, 15 or 20 years, depending on the scope of the 
operations. SBO individual licences are issued for a period of five years and renewable on a 
5-yearly basis . No renewal is required for SBO (Class) licences. As at December 2015, there were 
a total of 1,189 FBO and SBO licensees (Table 4.7).  
Table 4.7 Number of telecommunication licences awarded by the IDA , 2011 -15 
 2011  2012 2013  2014  2015  
Service -based operator licences  927 978 1,026  1,076  1,133  
Individual licences  164 184 204 228 253 
Class licences  763 794 822 848 880 
Facilities -based operator licences  50 49 49 55 56 
Total 977 1,027  1,075  1,131  1,189  
Source:  Inform ation provided by the Info -communications Development  Authority  (IDA) of Singapore.  
4.39.   Competition in the sector is regulated by the IDA's Code of Practice for Competition in the 
Provision of Telecommunication Service s 2012 (Telecom Competition Code). Dominan t licensees 
are subject to tariff -filing requirements and need the IDA's approval to offer, modify, or withdraw 
services. This is to ensure that they provide services on fair, reasonable, and non -discriminatory 
terms.36 The Code has undergone two rounds of review since its introduction in 2000. The last 
review took place in 2012 and was followed by further amendments effected in 2014.  Key changes 
to the Code in these reviews included: allowing the IDA to prohibit licensees from 
"cross -terminating" a consumer 's service agreement if the consumer breaches the terms and 
conditions of another service agreement from an affiliated operator, or if the consumer is 
subscribed to a basic telephone service; prohibiting licensees from automatically charging 
consumers for a service after the free trial for the service has ended; applying a prohibition 
against abuse of dominant position to any licensee found to have significant market power, even if 
the licensee has not yet been classified as a dominant one; and amendments t o minimize 
regulatory overlaps with the Personal Data Protection Act.  
4.40.   Access to submarine cable landing stations (SCLS) owned by dominant licensees is 
regulated pursuant to the Telecom  Competition Code. Dominant licensees are required to offer 
access to SC LSs at cost -based prices and on non -discriminatory terms and conditions specified in a 
Reference Interconnection Offer (RIO). Under Singtel's (a classified dominant licensee) RIO, access 
services to SCLS are unbundled, allowing other FBO licensees to conne ct and access their capacity 
on submarine cable systems landed at Singtel's SCLS. Such services include co llocation and 
connection services. Access to SCLS s owned by non -dominant licensees is commercially 
negotiated.  
4.41.   The IDA  has a Mobile Virtual Network Op erator (MVNO) regulatory regime, to allow the 
entry of such operators. An MVNO must be a holder of an SBO (Individual) licence to provide 
MVNO services in Singapore, and comply  with relevant licence conditions such as number 
portability, quality of service  and registration  requirements for prepaid and post -paid services.  
4.2.3   Postal services  
4.42.   Postal services in Singapore are mainly governed by the Postal Services Act (Cap 273A) and 
subsidiary legislation. Under the legislation, the IDA  has the power to grant, mo dify and suspend 
licences, and to give directions and issue codes of practice and standards of performance for the 
sector.37 During the review period, the volume of domestic mail declined gradually to 
629 million  units in 2015 (Table 4.8). The number of sta mp vendors dropped sharply in 2015, 
reflecting the exit of a convenience store group as stamp vendors.  
                                                
36 The IDA makes public the prices of interconnection services offered by dominant suppliers under their 
reference interconnection offers in order to help potential market entrants  gain greater certainty in obtaining 
interconnection services and access to dominant suppliers' networks.  
37 The IDA also monitors the quality of the po stal services provided. Inconsistencies with the postal 
quality of service (QoS) standards may result in financial penalties ranging from S$5 ,000 to S$50 ,000 per 
month and per quality indicator. In 2013, SingPost was issued with a financial penalty of S$10, 000 for not  
meeting the QoS standard for "100% of local basic letters to be delivered by the second working day" . WT/TPR/S/343 /Rev.1  • Sing apore  
 
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  Table 4.8 Selected indicators of postal services, 2011 -15 
 2011  2012  2013  2014  2015  
Mail volume (million units)       
 Domestic mail  669 655 652 649 629 
 International mail  111 109 116 118 116 
Postal network       
 Post offices  60 59  57  58  58  
 Smaller branches  31 29  30  23  22 
 Stamp vendors  800 811  813  816  365 
 Self-automated machines  299 300  301  297  301 
 Posting boxes  809 807  809  811  809  
 Mail/PO boxes 21,745  21,469   20,871   20,529   20,529   
 Mailrooms  42 40  38  34  26 
Source:  Information provided by the authorities.  
4.43.   The e xpress letter services and basic letter services market s were l iberalized respectively in 
1995 and 2007. Local and foreign operators are allowed in both domestic and international letter 
delivery services. Two types of licences are available: a postal services operator (PSO) licence, 
with universal service obligations38; and a licence for express letter delivery services. PSO licences 
are issued for ten years and are subject to an annual fee of 0.4% of the annual audited gross 
turnover (with a minimum of S$4,000). Express letter service ( class) l icences are subject to a  
one-time registration fee of S$200. As at end -December 2015, there were four PSO licensees: 
Asendia Singapore Pte Ltd (formerly Swiss Post International Singapore Pte Ltd ); DHL eCommerce 
(Singapore) Pte Ltd; Singapore Post Ltd (SingPost); and WMG Pte Ltd.  
4.44.   SingPost remains the only public postal licensee (PPL), and is required to perform a set of 
universal service obligations. PSO licensees may use the delivery network of SingPost under its 
regulated prices and conditions.39 A PPL is granted for 15 years  and is renewable.  
4.45.   Competition in the basic letter service segment of the market falls under the provisions of 
the Postal Competition Code of 2008, while express letter licensees are subject to the Competition 
Act (section 3. 3.4). Merger and acquisition rules are the same for postal and telecommunications 
services. Approval from the IDA  is required for acquisitions and consolidations that might 
substantively reduce competition in the sector. Licensees' duties and obligations are set out in the 
Postal Services O perations Code 2008. Mandatory notification is required for acquisitions leading to 
ownership of between 5% and 12%. IDA approval is required when the ownership is to exceed 
12%.  
4.46.   In 2014, SingPost increased the postage rates in the face of rising labour c osts and 
declining volume of domestic mail. Local rates have increased by S$0.04 and S$0.20, and 
international rates have increased by S$0.05 and S$0.25.  
4.2.4   Transport services  
4.2.4.1   Maritime transport  
4.47.   Maritime services contributed about 7% to GDP in 2014, providing  about 170,000 jobs 
(4.7% of total employment).40 Over 5,000 maritime service companies are established in 
Singapore, including  more than 130 international shipping groups, banks with shipping portfolios, 
shipbroking firms, marine insurance companies, and l aw firms with maritime practices.  
4.48.   Maritime policy of the Ministry of Transport aims to strengthen Singapore's competitiveness 
as an international maritime centre and transhipment port with infrastructure investments ahead 
                                                
38 Universal service obligations include: providing island -wide let ter collection and delivery services, 
maintaining a minimum number of post ing boxes and post offices for easy consumer access, and offering 
quality  service subject  to the postal QoS standards set by the IDA . 
39 They may file an application to be designated as a PPL in order  to establish their own postal networks. 
They would need to demonstrate that their postal network is capable of managing all domestic and 
international deliveries, and performing the universal service obligations.  
40 MPA (2014).  WT/TPR/S/343 /Rev.1  • Singapore  
 
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  of demand; underpinned by incenti ve schemes that are tailored to the needs of the maritime 
industry, and investme nts in human capital to support the growth of the industry.  
4.49.   The ASEAN countries are in the process of establishing an ASEAN Single Shipping Market 
(ASSM) ( section 2.3.2.1) . The ASSM is to be based on several principles, namely free and fair 
competition in the international shipping market; free competition on a commercial basis for cargo 
movements between ASEAN members; removal or elimination of substantially all existing 
discriminatory measures to market access within ASEAN; prohibition of new or more 
discriminatory measures and market access limitations; liberalization of trade in maritime 
transport services by expanding the depth and scope of liberali zation beyond GATS commit ments 
with the aim of realizing a free trade area in services. Shipping activities reserved by each of the 
ASEAN countr ies for their national flag vessels and/or shipping companies operating in their 
respective domestic waters (cabotage) will be excluded f rom the liberalization. An i mplementation 
framework for the ASSM was endorsed in November 2014, which provides guidance for policy 
coordination and harmonization of rules and regulation to further liberalize shipping services in the 
region.  
4.50.   The Maritime  and Port Authority of Singapore (MPA) is responsible for implementing  
maritime policy , including the management of port w aters and ensuring navigational safety, 
security and environmental protection, and licensing of maritime and port services and facilitie s. 
The MPA is also responsible for facilitating the development of port infrastructure, the growth of 
maritime ancillary services, and promoting maritime R&D and manpower development. The MPA 
collects port dues and pilotage dues, with the approval of the M inister of Transport and by 
notification in the Government Gazette (MPA Scale of Dues, Rates and General Fees Notification). 
Singapore's port dues are among the lowest in the world, according to the authorities.  
4.51.   The Port of Singapore is one of the busiest in the world; it is the port of call for about 
140,000 ships each year with a vessel arrival tonnage of 2.5 billion tonnes in 2015 (Table 4.9). 
The port's container throughput in 2013 was ranked second worldwide, after Shanghai.41 Following 
several years of  steady growth, the port faced a decline in throughput in 2015, mainly due to 
weaker trade between Asia and Europe, a redistribution of volumes across liner shipping alliances, 
and an increase in direct sailings due to lower bunker prices.  
Table 4.9 Selected p erformance indicators of the maritime sector, 2011 -15 
 2011  2012  2013  2014  2015a 
Vessel arrival tonnage (billion GT)  2.12 2.25 2.33 2.37 2.50 
Container throughput (million TEU)  29.9 31.6 32.6 33.9 30.9 
Cargo throughput (million tonnes)  531.2  538.0  560.9  581.2  574.9  
Bunker sales volume (million tonnes)  43.2 42.7 42.7 42.4 45.0 
Singapore registry of ships  
(million GT)  57.6 65.0 73.6 82.2 86.3 
a Preliminary estimates.  
Source:  Maritime and Port Authority  of Singapore online information. Viewed at: 
http://www.mpa.gov.sg/sites/global_navigation/about_mpa/about_mpa.page.  
4.52.   Singapore's  six container and cargo terminals are operated, under licence from the MPA, by 
the PSA Corporation  Ltd (PSA) and Jurong Port Pt e Ltd. PSA manages terminals at Brani, Keppel, 
Pasir Panjang, Sembawang and Tanjong Pagar. The company has four joint ventures with foreign 
shipping lines to operate dedicated berths in these terminals (COSCO, Mediterranean Shipping 
Company (MSC), NYK and "K" Line, and Pacific International Lines). Infrastructure investment at 
the Pasir Panjang terminal will raise its throughput capacity by about 15 million TEUs by 2017, 
increasing the port's total handling capacity to 50 million TEUs per year. Singapore al so has 
long-term plans to build a new container port at Tuas with  additional handling capacity of up to 
65 million TEUs per annum. Jurong Port Pte Ltd operates cargo terminal facilities for conventional 
cargo, bulk cargo and containers. In 2015, the compan y entered into a  joint-venture project with 
                                                
41 World Shi pping Council online information, "Top 50 World Container Ports" . Viewed at: 
http://www.worldshipping.org/about -the-industry/global -trade/top -50-world -container -ports. WT/TPR/S/343 /Rev.1  • Sing apore  
 
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  Oiltanking Singapore Ltd to build a new liquid bulk terminal for handling petroleum and chemical 
products.42  
4.53.   Singapore has undertaken under the GATS to provide non -discriminatory access to port 
services, excludin g berth and berthing services. Access to port services is on a non-discriminatory 
and first come, first served basis. Ports and berths are operated by commercial operators and MPA 
does not regulate their operations. All vessels intending to call at the Por t of Singapore are 
required to provide advance notice to the Port Master to convey the vessel’s intention to enter 
Singapore and employ pilotage service. Where pilotage service is not available or where pilotage 
service is limited at night, vessels calls m ay be delayed.  
4.54.   Access to towage and bunkering services has been liberalized, i.e. the MPA has issued more 
than one licence per service. For bunkering services, the MPA raised the minimum capital 
requirement in 2014 to S$500,000. Only PSA Corporation and Ju rong Port are allowed to provide 
cargo handling services and only PSA Marine is allowed to provide pilotage services.   
4.55.   The Singapore  Registry of Ships (SRS) is ranked among the world's top ten largest shipping 
registries. The SRS is on the "white list" of two major port state control regimes (the Tokyo and 
Paris Memorand a of Understanding) and has a flag state control unit that carries out enforcement 
actions on Singapore an ships. The total tonnage of ships under the SRS has almost doubled since 
2009, reach ing 86.3 million GT in 2015 with more than 4,700 ships registered (Table  4.9). The 
SRS is open for Singapore citizens or Singapore permanent residents and companies incorporated 
in Singapore – subject to a minimum paid -up capital of S$50,000. For the regis tration of a 
foreign -owned ship, a minimum vessel tonnage of 1,600 GT is required. There are no nationality 
requirements for officers and crews serving on Singapore -registered ships; foreign certificates of 
competency (COC) are accepted. Crews are required  to comply with the standards of the 
International Convention on Standards of Training, Certification and Watchkeeping for Seafarers 
(STCW) of 1978, as amended.  
4.56.   Singapore  is party to all major International Maritime Organization (IMO) conventions on 
ship safety and marine pollution prevention. The Merchant Shipping (Maritime Labour Convention) 
Act 2014 entered into force on 20 August 2013, which gives effect to the Maritime Labour 
Convention of the International Labour Organization. The Convention provides  a framework of 
rights and minimum requirements for seafarer working conditions. The new regime applies to 
seafarers on board Singapore -registered ships and foreign ships calling at Singapore.  
4.57.   Maritime businesses may benefit from the Maritime Sector Incent ive (MSI) – a 
sector -specific tax incentive scheme administered by the MPA. The MSI was reviewed in 2014/15 
and extended – with some enhancements – by five years until 2021 (Table 4.10). The 
enhancements include a broader scope of qualifying income for tax  exemption. The tax revenue 
foregone from the MSI is largely notional, according to the authorities, as the shipping industry is 
generally a tax exempt industry.  
4.58.   In 2011, the MPA pledged to invest up to S$100 million over five years through the 
Maritime Si ngapore Green Initiative (MSGI), which aims to reduce the environmental impact of the 
maritime transport sector. The MSGI comprises the Green Ship Programme (GSP) – qualifying 
Singapore -flagged ships benefit from registration fee reductions and an annual t onnage tax 
refund; the Green Port Programme (GPP) – ocean -going ships calling at the port of Singapore 
benefit from a 15-25% reduction in port fees; and the Green Technology Programme (GTP) – local 
maritime companies may qualify for grants on up to 50% of project costs capped at S$2 million for 
technologies resulting in at least a 5% emission reduction, and capped at S$3 million for 
technologies resulting in at least a 20% emission reduction. The MPA also provides support to 
maritime companies through the M aritime Innovation and Technology (MINT) Fund and the 
Maritime Cluster Fund (MCF), aimed at encouraging maritime R&D and manpower development. 
Funding of S$150 million and S$115 million has been allocated for the MINT and the 
MCF-Manpower Development, resp ectively, until 2018.   
                                                
42 Jurong Port  online information. Viewed at: http://www.jp.com.sg/ . WT/TPR/S/343 /Rev.1  • Singapore  
 
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  Table 4.10 Main features of the Maritime Sector Incentive, 2016  
Incentive  Benefits  
MSI-Singapore 
Registry of Ships 
(MSI-SRS) Award  Qualifying income derived from operating or chartering  of a Singapore -registered 
ship outside the port limits of Singapore is tax -exempt.  
MSI-Approved 
International Shipping 
Enterprise (MSI -AIS) 
Award  Qualifying shipping income derived from an approved company is tax -exempt for 
either (i) 10 years, renewable , or (ii) a 5 -year non -renewable period, with the option 
of graduating to the 10 -year renewable award at the end of the 5 -year period.  
MSI-Maritime Leasing 
(MSI-ML) Award  An approved ship/container investment vehicle will enjoy tax exemption or a 
concess ionary tax rate of 5% or 10% for up to 5 years on qualifying leasing income 
under the MSI -ML award.  
MSI-Shipping -Related 
Support Services 
(MSI-SSS) Award  Concessionary tax rate of 10% on incremental income derived from the provision of 
shipping -related su pport services for a 5 -year renewable period. Eligible services 
include ship  broking; forward freight agreement trading; ship management; ship 
agency; freight forwarding and logistics services; and corporate services rendered to 
qualifying approved related  parties who are carrying on business of shipping -related 
activities.  
Source:  Maritime and Port Authority of Singapore.  
4.59.   Singapore has extended the block exemption for liner shipping agreements under the 
Competition Act for another five years until 31 Dece mber 2020. The block exemption permits 
agreements between liner operators, including on capacity and prices, subject to certain conditions 
for liner agreements with more than a 50% market share. The Competition Commission of 
Singapore, which administers th e block exemption, considered that the exemption meets the net 
economic benefit criteria , and that "agreements between liners to share vessel space increase the 
utilisation of space, enable more frequent services, and may enhance competition with larger 
liners".43 Liner conference agreements have commercial significance mainly in intra -Asian trade.  
4.2.4.2   Air transport  
4.60.   Air transport services contributed about 6% to GDP in 2011, providing about 164,000 jobs 
and 8.2 % of total employment. Singapore's Changi Airport  is one of Asia's principal air hubs with 
direct air passenger and cargo flights to 161 cities, underpinning the country's position as a global 
business centre. Passenger traffic at Changi reached a new record high of 55.4 million passenger 
movements in 20 15, with budget airlines accounting for around 30% of total passenger traffic. 
This growth in 2015 was driven by a strong increase in regional air travel demand, despite 
passenger growth rates in the past two years moderating below the 6% average growth ac hieved 
in the last decade (Table 4.11). The Government expects passenger traffic at Changi Airport to 
grow by about 3 -4% per year over the next two decades.  
Table 4.11 Air traffic, 2011 -15 
 2011  2012  2013  2014 2015  
Passengers (m illion)  46.5 51.2 53.7 54.1 55.4 
Commercial aircraft movement ('000)  301.7  324.7  343.8  341.4  346.3  
Air freight ( million tonnes)  1.87 1.83 1.84 1.84 1.85 
Source:  Civil Aviation Authority of Singapore.  
4.61.   To meet the air travel demands of Singapore, the Government's policy is to expand airport 
capacity ahead of demand. Ongoing expansion works (Terminals 1 and 4) will increase Changi 
Airport's handling capacity to about 85 million passengers per year, up from 61 million at present. 
The pl anned construction of a new Terminal 5 would raise Changi's capacity to approximately 
140 million passengers per year. Terminal 5 is expected to be operational by the late 2020s. To 
finance the airport expansion works, a Changi Airport Development Fund (CA DF) was established 
                                                
43 Competition Commission of Singapore media release, " CCS Recommends Extending the Block 
Exemption Order for Liner Shipping Ag reemen ts for Another Five Years", 25 November 2015 . Viewed at: 
https://www.ccs.gov.sg/~/media/custom/ccs/files/media%20and%20publications/media%20releases/ccs%20r
ecommends%20extending%20beo%20for%20liner%20shipping%20agreements%20for%20 another%205%20
yrs/ccs%20media%20release%20on%20beo%20for%20liner%20shipping%20agreements.ashx . WT/TPR/S/343 /Rev.1  • Sing apore  
 
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  with an initial government funding of S$3  billion. The CADF is administered by the Civil Aviation 
Authority of Singapore (CAAS).  
4.62.   The Government actively pursues the negotiation of new or expanded air services 
agreements to strengthen Si ngapore's position as an air hub . Singapore has extended its network 
of bilateral air services agreements (ASAs) from 113 at the time of its last trade policy review  to 
130 countries. Over 60 of them are open skies agreements which typically provide for mu ltiple 
carriers to operate unlimited 3rd, 4th and 5th freedom cargo and passenger services (in terms of 
both capacities and frequencies, using any aircraft type on an open route schedule).  
4.63.   Since 2009, the ASEAN countries have gradually opened up their avi ation markets, by 
providing  unlimited market access for air cargo and passenger services to all cities with 
international airports within the region.44 These measures were intended as stepping stones 
towards open skies within ASEAN through the  establish ment of the ASEAN Single Aviation Market 
(ASAM) under the region's  objective of an ASEAN Economic Community by 2015 ( section  2.3.2.1). 
Beyond 2015, ASEAN plans to develop the ASAM by implementing the air transport initiatives 
under the Kuala Lumpur Transport S trategic Plan 2016 -2025. ASEAN has collectively concluded an 
air transport agreement with China, and is working to conclude similar agreements with India, 
Japan, and the Republic of Korea, as well as a comprehensive air transport agreement with EU.  
4.64.   All ai rlines must be designated by their respective governments to operate scheduled air 
services to and from Singapore. The designation criteria under the air services agreements 
between Singapore and other parties comprise either: (i) principal place of busine ss and effective 
regulatory control or effective control to be vested in the nationals and/or the designated State or 
(ii) substantial  ownership and effective control to be vested in the nationals and/or the designating 
State.  
4.65.   In 2015, there were 7 Singap ore air operator certificates45 issued by the Civil Aviation 
Authority of Singapore (CAAS) to provide air services on a scheduled and/or non -scheduled basis  
to: Singapore Airlines (SIA)46, Singapore Airlines Cargo, SilkAir, Tiger Airways, Jetstar, 
ST Aerospa ce Engineering and Scoot. Scoot is a new SIA -owned low -cost carrier that launched 
services in 2012. Licensing requirements for the exercise of air traffic rights by Singapore carriers, 
in accordance with Singapore's air services agreements, have remained u nchanged.47 
4.66.   Singapore's two airports (Changi Airport and Seletar Airport) are operated by the Changi 
Airport Group (CAG). The corporatization of Changi Airport and the restructuring of the Civil 
Aviation Authority of Singapore (CAAS) were completed in July 2009. The responsibilities of the 
CAAS are to enable the growth of the air hub and aviation industry, oversee and promote aviation 
safety in the industry in line with the International Civil Aviation Organization (ICAO) standards 
and best practices, provid e air navigation services, and develop Singapore as a centre of 
excellence for aviation knowledge and human resource development.  
4.67.   The regulatory  framework provides for price caps on the aeronautical revenue per 
passenger (revenue yield cap) that the Chang i Airport Group may charge at Changi Airport. The 
caps are set by the CAAS after taking into account allowable operating and capital expenditures 
and a portion of profits from non -aeronautical activities. This approach (cross -subsidy) aims to 
lower the ove rall aeronautical charges on airport users. The revenue yield cap determination 
process includes mandatory consultation with airport users.  
4.68.   Two companies currently provide a comprehensive range of ground -handling services (SATS 
and Dnata Singapore Pte Ltd ) at Changi Airport. Self -handling is allowed under bilateral air 
                                                
44 ASEAN Multilateral Agreement on the Full Liberalisation of Air Freight Services/MAFLAFS (2009) ; 
ASEAN Multilateral Agreement on Air Services/MAAS (2009) , and ASEAN Multilateral Agreement on the Full 
Liberalisation of Passenger Air Services/MAFLPAS (2010) . See WTO document WT/TPR/S/267/Rev.1, 
18 October 2012.  
45 The a pplication fee for an a ir operator  certificate is S$150, 000 (non-refundable ). 
46 Singapore Airline s is majority -owned by the Government through Temasek Holdings (55.59%).  
47 Air Navigation (Licensing of Air Services) Regulations. CAAS  online information. Viewed at: 
http://www.caas.gov.sg/caas/en/Regulations/Licensing_of_Air_Services/2.1.3.14.pdf . WT/TPR/S/343 /Rev.1  • Singapore  
 
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  services agreements  with Botswana  and Australia, and the Multilateral Agreement on the 
Liberalization of International Air Transportation (MALIAT) .48 
4.69.   The CAAS established an Aviation Developm ent Fund (ADF) in 2010, Singapore's main 
financial (non -tax) incentive in the aviation sector. The ADF was renewed for five years from 
3 April 2015, with an increase in funding from S$140 million to S$160 million. The ADF aims to 
raise airport productivity  and stimulate capacity development and labour productivity to enhance 
the competitiveness of the Singapore aviation hub. The ADF was enhanced with targeted 
programmes addressing key focus areas such as airport productivity and manpower developments.  
Table  4.12 Main non -tax incentive schemes in the air transport sector  
Scheme  Main incentives  
Sector -level programmes  To spur sector -wide collaboration on initiatives to increase overall productivity 
and competit iveness of Changi Airport. Programmes include the Airport 
Equipment Adoption Programme for the employment of technology for higher 
labour productivity (up to 50% of qualifying expenses) and the Passenger 
Self-Service Adoption Programme for the adoption of passenger self -service 
solutions (up to 70% of qualifying expenses).  
Company -level programmes  To encourage capability development and transformative productivity 
improvement by companies. Grants of up to 50% of qualifying expenses to 
support the purchase/ lease of equipment, IPR acquisition, staff salaries, 
training costs, and consultancy/professional services.  
Manpower development and 
outreach  Comprehensive life -cycle approach for aviation manpower development  to 
attract and retain talented manpower.  
Outreach programmes with support of up to 70% of qualifying expenses 
include the development of aviation as a niche programme in schools under 
the Aviation in Schools Initiative and the support of initiatives to raise interest 
and passion in aviation among yo uth under the Aviation Outreach Fund.  
Support of course fees for further studies in aviation -related courses under 
the Aviation Horizons Scholarship (up to 50% for diploma/degree studies) and 
the Aviation Leaders Scholarship (up to 70% for postgraduate st udies).  
Internationalization and 
knowledge building  To support companies in expanding market access, and to support the 
learning and adoption of best practices on cluster -level issues. Grants of up to 
70% of qualifying expenses to participate in trade sh ows, business trips and 
consultancy studies.  
Aviation Challenge  A competition -based programme that seeks to tap the intellectual capacity of 
the industry, academia, and others, to develop innovative solutions to real 
issues faced by Singapore aviation tha t presently lack viable or commercially -
available solutions.  
Eight teams have been selected under Aviation Challenges 1 and 2 to begin 
the development of prototypes to automate labour -intensive processes in 
baggage and cargo handling operations at Changi A irport. CAAS will be 
supporting the developmental work with grants totalling S$17 million.  
Source:  Civil Aviation Authority of Singapore.  
4.2.5   Professional services  
4.2.5.1   Legal services  
4.70.   Singapore has a liberal regime for the practice of international law. A licensed  Foreign Law 
Practice (FLP) may offer the full range of legal services in foreign law and international law. The 
practice of Singapore  law, on the other hand, depends on the type of licence (Box 4.1). A 
Qualifying Foreign Law Practice (QFLP) licence allows  the practice of foreign -law-related legal 
services  as well as  Singapore law in "permitted areas" of legal practice, essentially commercial 
law.49 As at March 2016, nine FLPs had been licensed under this scheme. A Joint Law Venture 
                                                
48 The signatories to the MALIAT  are Brunei Darussalam, Chile, Cook Islands, Mongolia, New Zealand, 
Samoa, Tonga, the United States, and Singapore . 
49 The permitted areas include commercial areas of law but exclude constitutional and administrative 
law; conveyanc ing; criminal law; family law; succession law (including wills, intestate succession, and probate 
and administration); trust law (where the settlor is an individual); litigation; and appearance in any hearing 
before a quasi -judicial or regulatory body, aut hority or tribunal in Singapore.  WT/TPR/S/343 /Rev.1  • Sing apore  
 
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  between an FLP and a Sing apore Law Practice may practise Singapore law in the same permitted 
areas as QFLPs.  
4.71.   The Legal Profession Act was amended in 2014 to modernize the regulatory framework  for 
the legal profession in Singapore, and to introduce changes related to the establishm ent of the 
Singapore International Commercial  Court and other miscellaneous amendments (Box 4.1).  
Pursuant to the amended Act, the Legal Services Regulatory Authority (LSRA)  was established in 
November 2015 under the Ministry of Law to take over existing r egulatory functions performed by 
the Law Society of Singapore for Singapore law practices and the Attorney -General for foreign law 
practices. A Professional Conduct Council (PCC) chaired by the Chief Justice was established to 
oversee all rules related to professional conduct matters for Singapore -qualified lawyers (SLs) and 
foreign -qualified lawyers (FLs). The amendments also include provisions on the regime for 
anti-money launderi ng and countering the financing of terrorism as it pertains to lawyers and l aw 
practices.  
4.2.5.2   Accountancy services  
4.72.   The main change in the regime for accountancy services concerns the qualification 
requirements (Box 4.1). Amendments pertaining to practical experience requirements for 
registration as public accountants were made to the Accountants (Public Accountants) Rules in 
2015 to ensure the quality of audit professionals seeking to be public accountants. The Accounting 
and Corporate Regulatory Authority's (ACRA) Code of Professional Conduct and Ethics for public 
accountants and acco unting entities was also revised in 2015 to achieve greater alignment with 
international benchmarks. The Singapore Accountancy Commission (SAC) Act enacted in 2013 
provides for a new pathway via the Singapore Qualification Programme  for the recognition  of 
professional accountants in Singapore.50 
Box 4. 1 Key features of legal and accountancy services regimes, 2016  
Legal services 
Legislation  Legal Profession Act (LPA)  
Regulatory 
bodies  The Singapore Institute of Legal Education (SI LE) oversees the professional training, education and 
examination of persons seeking to be admitted as SLs.  
 
The Legal Services Regulatory Authority (LSRA) oversees the licensing of law practices and regulation 
of the business criteria applicable to law pr actices in Singapore as well as the registration of foreign 
lawyers. Amendments to the regulatory regime allow non -lawyer employees of law practices to be 
registered as partners, directors or shareholders, or share in the profit of their firm within prescr ibed 
limits (regulated non -practitioners). The LSRA will also oversee registration of these individuals in 
Singapore. The Law Society of Singapore and the Supreme Court oversee the regulation of 
professional conduct of SLs and FLs. Membership with the Law Society is mandatory for SLs and 
certain categories of FLs such as those who hold a foreign practitioner certificate (FPC).  
Professions  Advocate and Solicitor of the Singapore Supreme Court (a.k.a. SLs)  
Requirements 
for Singapore -
qualified 
lawyers (SLs)  
and Singapore 
law practices 
(SLPs)  Individuals (Qualified Persons) seeking admission to the Singapore Bar must be:  
(a) a graduate from the National University of Singapore (NUS) or Singapore Management 
University (SMU) with at least second lower honours o r equivalent; or  
(b) have obtained a law degree overseas and fulfil various other requirements, including: 
(i) being a Singapore citizen/permanent resident; (ii) obtaining an approved law degree as a 
full-time internal candidate for at least three years fr om an approved university (listed in the 
schedules to the Legal Profession (Qualified Persons) Rules); and (iii) passing Part A of the 
Singapore Bar Examinations and fulfilling 6 months of relevant legal training.  
 
All above -mentioned Qualified Persons mus t attend the Part B course and pass Part B of the 
Singapore Bar Examinations. Thereafter, they must also fulfil 6 months of practice training at a n SLP. 
 
SLPs may be organized as a sole proprietorship, partnership, limited liability partnership (LLP), or l aw 
corporation.  
                                                
50 The new title under the SAC Act is Chartered Accountant of Singapore. The CPA Singapore title 
ceased to be recogni zed by ACRA for registration of public accountants. There are 18 transitional 
arrangements . Viewed at:  https://www.sac.gov.sg/advocacy/chartered -accountant -singapore/ca -singapore -
transitional -arrangements .  WT/TPR/S/343 /Rev.1  • Singapore  
 
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  Requirements 
for foreign –
qualified 
lawyers (FLs) 
and foreign 
law practices 
(FLPs)  An FLP is a law practice, including a sole proprietorship, partnership, or a body corporate, with or 
without limited liability providing legal services in a ny foreign law in Singapore or elsewhere but does 
not include an SLP. All FLPs are regulated by the Director of Legal Services, through a licensing 
regime under Part IXA of the LPA. There are different categories of licences accorded to FLPs with 
different  privileges and licence conditions attached:  
(a) FLP: may offer the full range of foreign -law-related legal services. It may not practise  
Singapore Law, except in the context of international commercial arbitration;  
(b) Qualifying Foreign Law Practice (QF LP): may employ their own SLs, or FLs who have obtained 
a FPC to practice Singapore law in "permitted areas" of legal practice (see above). QFLPs are 
subject to a 4SL:1 FL ratio and other conditions apply;  
(c) Joint Law Venture (JLV): is a joint venture be tween an FLP with an SLP, which may be 
constituted as a partnership or company. The JLV may practise Singapore law through SLs or 
FLs who have obtained a FPC in "permitted areas" of legal practice (see above). A JLV may 
market/publicise itself as a single service provider and bill clients as if it were a single law 
practice. The constituent SLP of a JLV may share up to one third of its total profits with the 
constituent FLP. If the JLV is a partnership, the number of FLP equity partners resident in 
Singapor e must not exceed the number of SLP equity partners. If the JLV is a corporation, the 
number of directors nominated by the FLP should not be greater than the number of those 
nominated by the SLP;  
(d) Formal Law Alliance (FLA): an FLP or QFLP may collaborat e with an SLP to form an FLA. The 
FLP and the SLP remain legally separate entities and may only provide legal services that the 
respective law practices and their lawyers are competent to provide, but have the benefits of 
co-branding and billing, and shari ng of office premises, resources and client information.  
Accountancy services 
Legislation  Accountants Act  
Regulatory 
bodies  The Accounting and Corporate Regulatory Authority (ACRA) and Public Accountants Oversight 
Committee (PAOC) are responsible for r egistering and regulating public accountants as well as 
other permitted public accounting entities (firms, corporations and limited liability partnerships 
(LLPs)). Membership in the professional association (Institute of Singapore Chartered Accountants) 
is required.  
Professions  Public accountancy, inter alia,  involves auditing and reporting on financial statements and the doing 
of such other acts that are required by any written law to be done by a public accountant.  
Qualification 
requirements  Recognized  professional qualifications; practical experience requirements whereby applicants 
registering to be a public accountant will have to acquire at least 2,500 hours of " qualifying audit 
experience" (QAE), of which 1,250 hours of QAE may be gained in another jurisdiction (i.e. foreign 
QAE); completion of at least 40 hours of continuing professional education in the 12  months 
immediately preceding the date of application; completion of course on ethics and professional 
practice; and demonstration of proficiency  in local laws.  
Additional 
requirements for 
foreign 
accountants  
 Up to 1,250 hours of the requisite QAE may comprise foreign QAE. Foreign QAE must satisfy the 
following conditions:  
(a) the foreign QAE is acquired by the applicant in the course of auditing  any financial 
statements in a foreign audit entity;  
(b) the country in which the foreign audit entity is registered or licensed adheres to auditing 
standards that the PAOC considers to be equivalent to the standards applicable in 
Singapore; and  
(c) the PA OC is satisfied with the quality of the foreign QAE having regard to one or more of the 
following factors:  
(i)  whether the foreign audit entity has implemented, or has taken steps to implement, 
quality controls in accordance with standards which the PAOC considers are 
equivalent to the standards applicable in Singapore (including SSQC 1);  
(ii) whether the foreign audit entity has been subject to any audit inspection carried out 
by or on behalf of the regulator of the audit profession in the country of its 
registration or licensing, and whether the regulator is satisfied with the findings of 
such audit inspection;  
(iii) whether the PAOC is of the opinion that the foreign audit entity is of good standing 
in the country of its registration or licensing;  
(iv) whether the foreign QAE would meet the criterion of the practical experience 
required for qualifying the applicant as an auditor in the country in which the 
applicant has acquired the QAE.  
(d) the foreign QAE is acquired in a 5 -year period immediately prece ding the date of the 
application.  
 
The PAOC may disallow any foreign QAE acquired by the applicant to constitute any part of the 
requisite QAE if:  
(a) any complaint relating to any professional or occupational misconduct has been made 
against the applicant  with any professional body in any country;  
(b) disciplinary proceedings relating to any profession or occupation have been commenced 
against the applicant in any country; or  
(c) the applicant has been the subject of disciplinary action relating to any pro fession or 
occupation in any country.  WT/TPR/S/343 /Rev.1  • Sing apore  
 
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  Selected 
requirements  
 Public Accounting Firms and Accounting Limited Liabilities Partnerships: At least two -thirds of the 
partners must be public accountants (if the partnership has two partners, one must be a public  
accountant).  
 
Public Accounting Corporations: At least two -thirds of the directors must be public accountants (if 
the corporation has two directors, one must be a public accountant). Not less than two -thirds of the 
voting shares of the corporation must be  owned by public accountants.  
 
No citizenship or residency requirements, except that the business of all the accounting entities 
mentioned above, so far as it relates to the provision of public accountancy services in Singapore, 
must be under the control a nd management of one or more partners who are public accountants 
ordinarily resident in Singapore.  
Source:  Information provided by the authorities.  
 
 WT/TPR/S/343 /Rev.1  • Singapore  
 
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businesses/aguidetofoodlabellingandadvertisementsv ersionjuly2 .  
IMF (2013), Singapore Financial System Stability Assessment , November. Viewed at: 
https://www.imf.org/external/pubs/ft/scr/2013/cr13325.pdf . 
IMF (2015), Singapore: 201 5 Article IV Consultation – Staff Report,  Country Report No. 15/199, 
July, Washington DC. Viewed at: https://www.imf.org/external/pubs/ft/scr/2015/cr15199.pdf . 
ITU (2015), Measuring the Information Society Report 2015 . Viewed at: 
http://www.itu.int/en/ITU -D/Statistics/Documents/publications/misr2015/MISR2015 -w5.pdf .  
MAS (2010), Guidelines on the Application of Banking Regulations to Islamic Banking . Viewed at: 
http://www.mas.gov.sg/~/m edia/resource/legislation_guidelines/banks/guidelines/Guidelines_Ban
kingRegns_%20to_IslamicBanking_Apr2010.pdf .  
MPA ( 2014), Annual Report . Viewed at: http://www.mpa.gov.sg/web/p ortal/home/about -
mpa/annual -report .  
Republic of Singapore (2015), Report of the Auditor -General for the Financial Year 2014/15 . 
Auditor -General's Office, July. Viewed at: http://www.ago.gov.sg/docs/default -
source/report/e774db1b -584a-4710-9cc0-8852ec114080.pdf .  
Temasek (2015), Temasek Review 2015, Embracing the Future.  Viewed at: 
http://www.temasekreview.com.sg/downloads/Temasek_Review_2015_en.pdf . 
UNCTAD (2015), World Investment Report 2015 . Viewed at: 
http://unctad.org/en/pages/Pub licationWebflyer.aspx?publicationid=1245 .  
United Nations (1991) , Provisional Central Product Classification , Statistical papers, Series M 
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WTO (2012), Trade Policy Review: Singapore , Geneva.  
Z/yen  Group (2015), The Global Financial Centres Index 18, September . Viewed at: 
http:// www.longfinance.net/images/GFCI18_23Sep2015.pdf . 
 
 
 WT/TPR/S/343 /Rev.1  • Sing apore  
 
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  5  APPENDIX TABLES  
Table A1. 1 Merchandise exports by product group, 2011 -14 
 2011  2012  2013  2014  
Total exports US$ billion  409.5  408.4  410.2  409.8  
 % of total  
Total primary p roducts  23.4 22.0 21.3 20.8 
 Agriculture  2.5 2.4 2.7 2.9 
 Food 2.1 2.2 2.4 2.6 
 0989 Food preparations, n.e.s.  0.4 0.4 0.6 0.8 
 Agricultural raw material  0.3 0.3 0.3 0.3 
 Mining  21.0 19.6 18.6 17.9 
 Ores and other minerals  0.3 0.3 0.4 0.3 
 Non-ferrous metals  0.9 0.7 0.8 0.8 
 Fuels 19.8 18.5 17.4 16.8 
Manufactures  68.3 69.2 70.3 70.9 
 Iron and steel  0.8 0.9 0.8 0.8 
 Chemicals  12.6 13.2 12.2 12.9 
 5429 Medicaments, n.e.s.  1.0 1.1 1.2 1.3 
 5751 Propylene polymers or of other olefins  0.7 0.7 0.8 0.9 
 5112 Cyclic hydrocarbons  0.5 0.6 0.7 0.9 
 5719 Other polymers of ethylene, in primary forms  0.4 0.4 0.5 0.7 
 Other semi -manufactures  1.9 1.9 2.0 2.3 
 Machinery and transport equipment  45.8 45.3 46.4 45.8 
 Power generating machines  1.0 1.1 1.4 1.5 
 Other non -electrical machinery  5.9 6.2 6.0 6.0 
 7239 Parts n.e.s., of machinery of 723 and 744.3  1.1 1.3 1.3 1.2 
 7284 Machinery and appliances for particular 
 industries, n.e.s.  1.0 1.0 0.9 1.1 
 Agricultural machinery and tractors  0.0 0.0 0.0 0.0 
 Office machines & telecommunication equipment  30.2 29.6 31.0 30.7 
 7764 Electronic integrated circuits and microassemblies  17.2 17.2 18.9 19.1 
 7768 Piezo -electric crystals, mounted, and parts, 
 n.e.s., of 776  1.9 1.7 2.1 2.1 
 7599 Parts and accessories o f 751.1, 751.2, 751.9 and 
 752 2.6 2.2 1.7 1.6 
 7763 Diodes, transistors, etc.  1.2 1.1 1.1 1.3 
 7643 Radio or television transmission apparatus  1.2 1.2 1.2 1.2 
 7523 Digital processing units containing: storage, input 
 or output units  0.4 0.5 0.8 0.8 
 7527 Storage units for data processing  0.9 1.0 0.9 0.8 
 Other electrical machines  4.2 4.1 4.0 4.0 
 7787 Electrical machines/apparatus with individual 
 functions, n.e.s.  0.8 0.8 0.7 0.7 
 Automotive products  1.0 1.0 0.8 0.8 
 Other transport equipment  3.5 3.2 3.3 2.8 
 7929 Parts, n.e.s., (excl. tyres, engines, electrical 
 parts) of 792  1.3 1.4 1.5 1.4 
 Textiles  0.2 0.2 0.2 0.2 
 Clothing  0.3 0.3 0.3 0.3 
 Other consumer goods  6.7 7.4 8.3 8.6 
 8928 Printed matter, n.e.s.  0.4 0.4 0.9 1.2 
 8973 Jewellery of gold, silver or platinum metals 
 (except watches)  0.6 0.8 0.8 0.8 
 8722 Instruments used in medical, surgical or 
 veterinary sciences  0.5 0.7 0.7 0.7 
Other  8.3 8.8 8.5 8.2 
 Gold 0.4 0.6 0.4 0.3 
Source:  UNSD, Comtrade database (SITC Rev.3).  WT/TPR/S/343 /Rev.1  • Singapore  
 
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  Table A1.  2 Merchandise imports by product group, 2011 -14 
  2011  2012  2013  2014  
Total imports US$ billion  365.8  379.7  373.0  366.2  
 % of total  
Total primary products  38.2 37.8 36.7 36.8 
 Agriculture  3.8 3.7 3.8 4.0 
 Food 3.4 3.3 3.5 3.6 
 Agricultural raw material  0.4 0.4 0.4 0.3 
 Mining  34.4 34.2 32.9 32.8 
 Ores and other minerals  0.4 0.4 0.5 0.4 
 Non-ferrous metals  1.4 1.1 1.0 1.4 
 Fuels 32.6 32.6 31.3 31.0 
 3330 Crude oils of petroleum and bituminous minerals  9.2 10.5 9.5 9.4 
 3432 Natural gas, in the gaseous state  1.3 1.6 1.5 1.4 
Manufactures  60.1 59.7 61.2 61.3 
 Iron and steel  1.8 1.6 1.7 1.6 
 Chemicals  6.9 6.8 6.8 7.0 
 Other semi -manufactures  3.1 3.1 3.2 3.6 
 Machinery and transport equipment  41.0 40.8 41.6 41.3 
 Power generating machines  2.0 2.2 2.6 2.5 
 7149 Parts of engines and motors of 714.41 and 714.8  1.2 1.4 1.8 1.7 
 Other non -electrical machinery  6.5 6.5 6.2 6.3 
 7239 Parts n.e.s., of machinery of 723 and 744.3  1.3 1.3 1.2 1.1 
 7285 Parts, n.e.s. of mac hines/applia nces of 723.48, 
 727.21, 728.41 to 728.49  0.8 0.7 0.7 0.7 
 Agricultural machinery and tractors  0.0 0.1 0.0 0.0 
 Office machines & telecommunication equipment  24.1 23.8 25.1 24.8 
 7764 Electronic integrated circuits and microassemblies  12.9 13.3 15.0 14.9 
 7599 Parts and accessories of 751.1, 751.2, 751.9 
 and 752 1.9 1.6 1.5 1.5 
 7643 Radio or television transmission apparatus  1.8 1.6 1.6 1.4 
 7768 Piezo -electric crystals, mounted, and parts, 
 n.e.s., of 776  1.3 1.2 1.2 1.4 
 7763 Diodes, transistors, etc.  1.0 0.9 1.0 1.0 
 7522 Data processing machines, with at least 
 processi ng, imput and output units  0.7 0.8 0.7 0.6 
 7527 Storage units for data processing  0.5 0.5 0.5 0.5 
 7649 Parts and accessories for apparatus of division 76  0.6 0.5 0.5 0.5 
 Other electrical machines  4.0 3.8 3.8 3.9 
 7725 Switches, relays, fuses etc. for a voltage not 
 exceeding 1000 V  0.7 0.6 0.6 0.7 
 Automotive products  1.3 1.3 1.1 1.3 
 7843 Other motor vehicle parts and accessories of 722, 
 781 to 783  0.6 0.5 0.5 0.6 
 Other transport equipment  3.0 3.2 2.8 2.6 
 7929 Parts, n.e.s., (excl. tyres, engines, electrical 
 parts) of 792  1.2 1.4 1.4 1.3 
 Textiles  0.3 0.3 0.3 0.3 
 Clothing  0.6 0.6 0.8 0.7 
 Other consumer goods  6.3 6.5 6.9 6.9 
 8973 Jewellery of gold,  silver or platinum metals 
 (except watches)  0.8 1.1 1.1 1.1 
 8722 Instruments used in medical, surgical or 
 veterinary sciences  0.3 0.4 0.5 0.5 
Other  1.7 2.4 2.1 1.9 
 Gold 0.5 0.6 0.5 0.5 
Source:  UNSD, Comtrade database (SITC Rev.3).  WT/TPR/S/343 /Rev.1  • Sing apore  
 
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  Table A1. 3 Merchandise exports by destination, 2011 -14 
  2011  2012  2013  2014  
Total exports (US$ billion)  409.5  408.4  410.2  409.8  
 % of total  
 America  10.4 10.2 10.5 9.7 
 United States  5.5 5.5 5.8 5.9 
 Other America  5.0 4.6 4.7 3.8 
 Panama  2.8 3.0 2.8 2.2 
 Europe  10.3 9.9 8.7 8.8 
 EU(28)  9.6 9.2 7.8 8.1 
 The Netherlands  1.8 1.7 1.6 1.8 
 Germany  1.6 1.5 1.4 1.3 
 Belgium  1.0 1.0 1.1 1.2 
 United Kingdom  1.7 1.6 0.9 1.0 
 France  1.7 1.7 1.2 1.0 
 EFTA 0.5 0.5 0.7 0.6 
 Other Europe  0.2 0.1 0.1 0.1 
 Commonwealth of Independent States (CIS)  0.1 0.1 0.2 0.2 
 Africa  2.2 2.2 2.1 2.1 
 Liberia  0.0 1.0 0.9 1.0 
 Middle East  1.7 2.0 2.2 2.3 
 United Arab Emirates  1.1 1.2 1.4 1.5 
 Asia and Oceania  75.2 75.6 76.3 76.9 
 China  10.4 10.8 11.8 12.6 
 Malaysia  12.2 12.3 12.2 12.0 
 Hong Kong, China  11.0 11.0 11.2 11.0 
 Indonesia  10.4 10.6 9.9 9.4 
 Japan  4.5 4.4 4.3 4.1 
 Korea, Republic of  3.8 4.1 4.1 4.1 
 Australia  3.9 4.2 3.8 3.8 
 Chinese Taipei  3.7 3.5 3.7 3.9 
 Thailand  3.4 3.8 3.7 3.7 
 Viet Nam  2.5 2.5 2.6 3.1 
 India 3.4 2.7 2.7 2.7 
 Philippines  1.7 1.6 1.6 1.7 
 Bangladesh  0.6 0.5 0.6 0.8 
 Marshall Islands  0.5 0.6 0.7 0.7 
Memorandum:      
ASEAN  31.1 31.8 31.4 31.2 
Source:  UNSD Comtrade database.  WT/TPR/S/343 /Rev.1  • Singapore  
 
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  Table A1. 4 Merchandise imports by origin, 2011 -14  
  2011  2012  2013  2014  
Total imports (US$ billion)  365.8  379.7  373.0  366.2  
 % of total  
 America  14.0 13.4 14.1 13.8 
 United States  10.8 10.2 10.4 10.3 
 Other America  3.2 3.2 3.7 3.5 
 Venezuela  0.9 1.0 1.5 1.1 
 Europe  14.3 14.2 14.1 13.5 
 EU(28)  12.6 12.6 12.4 12.0 
 Germany  2.8 2.8 2.9 2.9 
 France  2.3 2.4 2.2 2.2 
 United Kingdom  1.7 1.8 2.1 1.7 
 The Netherlands  1.9 2.1 1.5 1.3 
 Italy 1.0 0.9 1.0 1.1 
 EFTA 1.4 1.5 1.6 1.5 
 Switzerland  1.2 1.2 1.2 1.1 
 Other Europe  0.3 0.2 0.2 0.1 
 Commonwealth of Independent States (CIS)  1.2 1.4 1.5 2.3 
 Russian Federation  0.9 1.2 1.4 2.2 
 Africa  0.3 0.5 0.5 0.8 
 Middle East  11.7 13.6 12.7 12.4 
 United Arab Emirates  3.2 4.1 4.4 4.2 
 Saudi Arabia  4.8 4.5 3.4 4.0 
 Qatar  2.0 2.0 2.1 2.1 
 Kuwait  1.0 1.3 0.9 0.9 
 Asia and Oceania  58.4 56.8 57.0 57.1 
 China  10.4 10.3 11.7 12.1 
 Malaysia  10.7 10.6 10.9 10.7 
 Chinese Taipei  7.4 6.7 7.8 8.2 
 Korea, Republic of  5.9 6.7 6.4 5.9 
 Japan  7.2 6.2 5.5 5.5 
 Indonesia  5.3 5.3 5.2 5.1 
 Thailand  3.1 2.7 2.5 2.4 
 India 3.9 3.4 2.4 2.3 
 Philippines  1.7 1.6 1.4 1.4 
 Australia  1.0 1.3 1.1 1.3 
Memorandum:      
ASEAN  21.4 21.0 20.9 20.6 
Source:  UNSD, Comtrade database.  WT/TPR/S/343 /Rev.1  • Sing apore  
 
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  Table A2. 1 Notifications s ubmitted by Singapore, January 2012 –January 2016  
Products 
covered/subject  Additional comments  Document symbol  Date  
Agreement on Agriculture  
Export subsidies  None (2015)  G/AG/N/SGP/26  05/01/2016  
Domestic support  None (2015)  G/AG/N/SGP/27  05/01/2016  
Agre ement on the Application of Sanitary and Phytosanitary Measures  
Edible fats and oils  Amendment to the Food Regulations 
2012 to adopt a trans -fat limit for 
edible fats and oils, and mandatory 
nutrition labelling for retail packs of 
edible fats and oils  G/SPS/N/SGP/42  28/02/2012  
Camel milk  Import requirements  G/SPS/N/SGP/43  14/05/2012  
Bovine meat and meat 
products, offal and 
by-products  Withdrawal of "Six -year BSE Freedom" 
Certification  G/SPS/N/SGP/1/Add.1  23/05/2012  
Horses  Removal of additional certif ication 
requirements with regard to West Nile 
virus infection in horses  G/SPS/N/SGP/23/Add.1  23/05/2012  
Food additives  Draft Food (Amendment No. 2) 
Regulations 2012  G/SPS/N/SGP/44  26/06/2012  
Dogs and cats  Veterinary conditions for importation  G/SPS/N/S GP/45  27/11/2012  
Ferrets  Veterinary conditions for importation  G/SPS/N/SGP/46  27/11/2012  
Embryos, ova and 
semen of rabbits, guinea 
pigs, hamsters, mice, 
rats and gerbils  Veterinary conditions for importation  G/SPS/N/SGP/47  04/01/2013  
Live birds, pou ltry and 
poultry products  Restrictions on imports from countries 
affected by avian influenza  G/SPS/N/SGP/26/Add.1; 
G/SPS/N/SGP/26/Add.2  04/02/2013; 
06/06/2014  
Food additives  Draft Food (Amendment) Regulations 
2013 G/SPS/N/SGP/48  17/04/2013  
Horses  Amen dments to the veterinary 
conditions for imports  G/SPS/N/SGP/49  19/04/2013  
Horses  Amendments to the veterinary 
conditions for imports  G/SPS/N/SGP/50  24/06/2013  
Dogs and cats  Veterinary conditions for importation 
from Chinese  Taipei  G/SPS/N/SGP/51  24/07/2 013 
Food additives  Draft Food (Amendment) Regulations 
2014 G/SPS/N/SGP/52  14/02/2014  
Horses  Amendments to the veterinary 
conditions for imports  G/SPS/N/SGP/53  19/02/2014  
Food additives  Extension of comment period for Draft 
Food (Amendment) Regulations  2014 G/SPS/N/SGP/52/Add.1;  
G/SPS/N/SGP/52/Add.2; 
G/SPS/N/SGP/52/Add.3  16/04/2014 
20/06/2014  
02/09/2014  
Live horses  Amendments to the veterinary 
conditions for imports  G/SPS/N/SGP/54  06/03/2015  
Live horses  Amendments to the veterinary 
conditions for im ports G/SPS/N/SGP/55  04/09/2015  
Food  Draft Food (Amendment) Regulations 
2015   G/SPS/N/SGP/56  27/10/2015  
Live horses  Amendments to the veterinary 
conditions for imports  G/SPS/N/SGP/57  16/12/2015  
Live birds other than 
poultry  Clarification on the tim e period for pre -
export avian influenza testing  G/SPS/N/SGP/30/Add.1  18/01/2016  
Agreement on Import Licensing Procedures   
Article 7.3  Questionnaire  G/LIC/N/3/SGP/10  12/02/2015  WT/TPR/S/343 /Rev.1  • Singapore  
 
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  Products 
covered/subject  Additional comments  Document symbol  Date  
Agreement on Rules of Origin   
Preferential rules of 
origin (Annex II)  Free Trade Agreement between Costa 
Rica and Singapore  G/RO/N/112  02/04/2014  
Preferential rules of 
origin (Annex II)  Economic Partnership Agreement 
between Singapore and the Separate 
Customs Territory of Taiwan, Penghu, 
Kinmen and Matsu  G/RO/N/119  14/10/2014  
Agreement on Subsidies and Countervailing Measures  
Article XVI:1 of the 
GATT 1994 and Article 
25.2 of the SCM 
Agreement   New and full notification  G/SCM/N/284/SGP  05/02/2015  
Agreement on Technical Barriers to Trade  
Food (edible fats and 
oils) Draft Food  (Amendment) Regulations 
2012 G/TBT/N/SGP/13  29/02/2012  
Diesel engines  Compliance with emission standards  G/TBT/N/SGP/14  21/09/2012  
Food Draft Food (Amendment) Regulations 
2013 G/TBT/N/SGP/15  16/04/2013  
Air-conditioners and 
refrigerators  Amendments to t he Environmental 
Protection and Management Act, 
Environmental Protection and 
Management (Registrable Goods) 
Order and Environmental Protection 
and Management (Energy 
Conservation) Regulations  G/TBT/N/SGP/16  01/05/2013  
Washing machines  Amendments to the Wa ter Efficiency 
Labelling Scheme  G/TBT/N/SGP/17  17/06/2013  
Single -phase televisions  Amendments to Energy Conservation 
Act, Energy Conservation (Registrable 
Goods) Order and Energy Conservation 
(Energy Labelling and Minimum 
Performance Standards) Regulation s G/TBT/N/SGP/18  17/09/2013  
Single -phase clothes 
dryers  Amendments to Energy Conservation 
Act, Energy Conservation (Registrable 
Goods) Order and Energy Conservation 
(Energy Labelling and Minimum 
Performance Standards) Regulations  G/TBT/N/SGP/19  17/09/2013  
Food Draft Food (Amendment) Regulations 
2014 G/TBT/N/SGP/20 
G/TBT/N/SGP/20/Add.1  14/02/2014;  
25/04/2014  
Air conditioners,  
refrigerators and clothes 
dryers  Registration and labelling requirements  G/TBT/N/SGP/21  25/04/2014  
Clothes washing 
machines  Minim um water efficiency requirements  G/TBT/N/SGP/22  06/11/2014  
Lamps  Inclusion in the Energy Conservation 
(Registrable Goods) Order and Energy 
Conservation (Energy Labelling and 
Minimum Performance Standards) 
Regulations  G/TBT/N/SGP/23  04/02/2015  
Miscellane ous products  Amendments to the Environmental 
Protection and Management Act  G/TBT/N/SGP/24  09/07/2015  
Food Draft Food (Amendment) Regulations 
2015 G/TBT/N/SGP/25  30/10/2015  
Air-conditioners  Amendments to the Energy 
Conservation (Energy Labelling and 
Minim um Performance Standards) 
Regulations  G/TBT/N/SGP/26  13/01/2016  WT/TPR/S/343 /Rev.1  • Sing apore  
 
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  Products 
covered/subject  Additional comments  Document symbol  Date  
Agreement on Government Procurement  
Paragraph 2 of the 
Committee's Decision on 
a Work Programme on 
Exclusions and 
Restrictions in Parties' 
Annexes  Information on exclusions and 
restrictions maintained in the annexes  GPA/WPS/EXCS/4  17/12/2014  
Paragraph 2 of Annex D 
of the Decision of the 
Committee on 
Government 
Procurement on a Work 
Programme on the 
Collection and Reporting 
of Statistical Data  Information with respect to statistical 
data on p rocurement covered by the 
GPA GPA/WPS/STAT/5  02/07/2015  
Paragraph 3.2 of the 
Committee's decision on 
a work programme on 
SMEs  Questionnaire  GPA/WPS/SME/4  04/08/2015  
Article XIX:5  Statistics (2011)  GPA/114/Add.7  01/02/2016  
Article XIX:5  Statistics (2012 ) GPA/119/Add.5  01/02/2016  
Article XIX:5  Statistics (2013)  GPA/123/Add.5  01/02/2016  
Article XVI:4 of the 
revised GPA  Statistics (2014)  GPA/130/Add.4  01/02/2016  
Regional Trade Agreements  
Notifications under Article XXIV:7(a) the GATT 1994  and Article V :7(a) of the GATS  
 ASEAN -Australia -New Zealand Free 
Trade Area Agreement  S/C/N/545/Add.1; 
WT/REG284/N/2  09/05/2012  
 Free Trade Agreement  between Costa 
Rica and Singapore  S/C/N/709;  
WT/REG347/N/1  17/09/2013  
 Agreement between Singapore and the  
Separate Customs Territory of Taiwan,  
Penghu, Kinmen and Matsu on 
Economic Partnership  S/C/N/739;  
WT/REG350/N/1  23/04/2014  
Notification under Article V:7(a) of the GATS and Paragraph 4(a) of the Enabling Clause  
 Free Trade Agreement  between the 
Gulf Cooperation C ouncil and 
Singapore  S/C/N/807/Rev.1;  
WT/COMTD/N/45/Rev.1  14/07/2015  
Notification under Article V:7(a) of the GATS  
 Brunei Darussalam, Cambodia, India, 
Indonesia, Lao PDR, Malaysia, 
Myanmar, Philippines, Singapore, 
Thailand, Viet Nam  S/C/N/822  24/07/2015  
Notification under Paragraph 14 of the Transparency Mechanism for RTAs and Article XXIV:7(c) of 
the GATT 1994  
Changes affecting the 
implementation of a 
Regional Trade 
Agreement  Singapore and the EFTA States  WT/REG148/N/1/Add.6  15/05/2012  
General Agreem ent on Trade in Services  
 Preferential treatment to services and 
service suppliers of LDCs  S/C/N/812  27/07/2015  
Notification under Article XVII:4(a) of the GATT 1994 and Paragraph 1 of the Understanding on the 
Interpretation of Article XVII  
New and ful l notification  No STEs maintained falling within the 
meaning of the working definition of 
the Understanding  G/STR/N/15/SGP  26/06/2014  WT/TPR/S/343 /Rev.1  • Singapore  
 
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  Products 
covered/subject  Additional comments  Document symbol  Date  
Agreement on Trade Facilitation   
Category ''A'' 
commitments   WT/PCTF/N/SGP/1  18/06/2014  
Source:  WTO Secretariat.  
 
 WT/TPR/S/343 /Rev.1  • Sing apore  
 
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  Table A3. 1 Summary analysis of Singapore's bound rates  
 Number 
of lines  Average  
bound 
rate (%)  Range  % of  
Duty -
free Bound  Ad 
valorem  
Total 5,281  6.9 0-10 15.6 69.3 99.0 
WTO agriculture  719 9.4 0-10 4.7 100.0  92.8 
  Animal s and products thereof  91 8.9 0-10 11.0 100.0  100.0  
  Dairy products  20 7.0 0-10 30.0 100.0  100.0  
  Fruit, vegetables and plants  189 9.5 0-10 4.8 100.0  100.0  
  Coffee and tea  24 10.0 10.0 0.0 100.0  100.0  
  Cereals and preparations  92 9.1 0-10 8.7 100.0  97.8 
  Oil seeds, fats and oils and 
 their products  73 10.0 10.0 0.0 100.0  100.0  
  Sugar and confectionary  16 10.0 10.0 0.0 100.0  100.0  
  Beverages, spirits and tobacco  73 10.0 10.0 0.0 100.0  31.5 
  Cotton  5 10.0 10.0 0.0 100.0  100.0  
  Other agricult ural products 
 n.e.s.  136 9.4 0-10 0.7 100.0  100.0  
WTO non-agriculture 
(incl. petroleum)  4,562  6.4 0-10 17.4 64.6 100.0  
  Fish and fishery products  130 9.9 0-10 0.8 98.5 100.0  
  Minerals and metals  914 5.7 0-10 18.5 45.2 100.0  
  Chemicals and photograp hic 
 supplies  873 5.1 0-10 18.4 96.8 100.0  
  Wood, pulp, paper and 
 furniture  265 3.1 0-10 66.0 96.2 100.0  
  Textiles  597 9.9 0-10 0.2 63.8 100.0  
  Clothing  220 10.0 10.0 0.0 100.0  100.0  
  Leather, rubber, footwear and 
 travel goods  159 10.0 10.0 0.0 23.3 100.0  
  Non-electric machinery  554 6.5 0-10 21.3 61.7 100.0  
  Electric machinery  288 5.6 0-10 22.9 57.3 100.0  
  Transport equipment  126 6.0 0-10 4.8 11.9 100.0  
  Non-agriculture articles n.e.s.  431 3.5 0-10 22.0 34.3 100.0  
  Petroleum  5 n.a. n.a. n.a. 0.0 n.a. 
n.a. Not applicable.  
Note:  Calculations exclude specific rates and include partially bound rates. Calculations are based on the 
binding schedule as provided in the WTO CTS database in HS07 nomenclature.  
Source:  WTO Secretariat calculations, based on data provided by the authorities of Singapore.  
 WT/TPR/S/343 /Rev.1  • Singapore  
 
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  Table A3. 2 Incentives, 2016  
Incentive 
scheme/administering 
agency  Description  Selected eligibility criteria  
Inland Revenue 
Authority of Singapore    
Integrated Investme nt 
Allowance Scheme  Allows businesses to claim capital allowance 
for equipment and plant expenses; 
Allowance on a percentage of approved 
fixed capital expenditure to be incurred on 
productive equipment that is used outside 
Singapore for an approved projec t – this 
allowance is granted on top of normal 100% 
capital allowance  Singapore -based company which 
carries out a project through an 
overseas subsidiary may apply in 
respect of the fixed capital 
expenditure for the project  
 
Productivity and 
Innovation Cre dit (PIC) 
Scheme  400% tax deduction (up to S$400,000) for 
investment in productivity and innovative 
activities;  
Budgeted amount: S$3.6 billion for the year 
of assessments 2016 -18 Qualifying activities include: 
acquisition and leasing of PIC IT 
and automati on products; 
training; registration of certain 
IPRs; R&D activities; acquisition 
or licensing of IPRs; and design  
Double Tax Deduction for 
Internationalisation (DTDi)  Tax deduction of up to 200% on qualifying 
expenses incurred on qualifying market 
expansi on and investment development 
activities  Businesses engaged in 
internationalisation activities  
Merger and Acquisitions 
(M&A) Allowance  Allowance equivalent to 25% of the value of 
acquisition (with a cap of S$5 million), and 
double tax deduction of relate d transactions 
(up to S$100,000) and stamp duty relief 
(capped at S$40,000) for the qualifying 
share acquisition  After the acquisition, the 
acquiring company must achieve 
at least 20% of ordinary 
shareholding in the target 
company (if it's original 
shareh olding was less than 20%), 
and more than 50% (if it’s 
original shareholding was 50% or 
less) 
SPRING Singapore    
Angel Investors Tax 
Deduction Scheme (AITD)  Tax deduction of 50% of the cost of the 
investment in a start -up at the end of a 2 -
year investment  holding period for approved 
angel investors  Minimum investment of 
S$100,000 in a qualifying start -
up; eligible investment capped at 
S$500,000 per year of 
assessment; demonstrated ability 
to nurture investee companies  
Business Angel Scheme 
(BAS)  Dollar -for-dollar matching investment (up to 
S$2 million) in a Singapore -based start -up 
able to attract investment from participating 
angel investors  Incorporated as a private limited 
company for less than 5 years; 
paid-up capital of at least 
S$50,000, ability to d emonstrate 
substantial innovative and 
intellectual content for products  
Sector Specific  
Accelerator (SSA)  Dollar -for-dollar matching investment (up to 
S$4 million) in a Singapore -based start -up 
able to attract investment from approved 
accelerator operato rs (SSA operators)   
Incubator Development 
Programme  Up to 70% grant support for cost incurred 
to develop programmes, mentor and  
nurture local start -ups Incubators or venture 
accelerators with a sustainable 
revenue model and a proven 
management team  
SPRING Start -up 
Enterprise Development 
Scheme (SPRING SEEDS)  Dollar -for-dollar matching investment (up to 
S$2 million) with third -party investors in 
Singapore -based start -ups Incorporated as a private limited 
company for less than 5 years; 
paid-up capital of a t least 
S$50,000; ability to demonstrate 
substantial innovative and 
intellectual content for products  
Technology Enterprise 
Commercialisation 
Scheme (TECS)  Funding up to 85% (Proof of Value) or 
100% (Proof of Content) of qualifying costs 
for early -stage c ompanies to develop and 
commercialize innovative technology ideas 
(up to a maximum of S$250,000 or 
S$500,000 depending on the stage of 
development of the technology/concept)  Qualifying costs include basic 
manpower costs, professional 
services, equipment an d 
software, IP rights, materials and 
consumables  WT/TPR/S/343 /Rev.1  • Sing apore  
 
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  Incentive 
scheme/administering 
agency  Description  Selected eligibility criteria  
Action Community for 
Entrepreneurship Start -
ups (ACE Start -up Grant)  Matching contribution of S$7 dollars for 
every S$3 dollars raised (up to S$50,000) 
by a Singapore citizen or permanent 
resident who is a first time entrepreneur  First-time entrepreneurs  
SME Talent Programme  Up to 70% funding support for the 
internship stipends or study sponsorships   
Local Enterprise Finance 
Scheme (LEFS)  Loan of up to S$15 million to finance the 
automating and upgrading o f factory and 
equipment and/or purchasing of approved 
factory and business premises  SMEs  
Micro Loan Programme 
(MLP)  Loan of up to S$100,000 for the financing of 
daily operations or for automating and 
upgrading factory and equipment  Companies with 30% loca l 
shareholding, less than 
10 employees or a turnover less 
than S$1 million  
Capability Development 
Grant  Up to 70% funding support for qualifying 
project costs incurred in upgrading 
capabilities in areas such as increased 
productivity, process improvement,  product 
development and market access.   SMEs with 30% local 
shareholding, group annual sales 
turnover of not more than S$100 
million or employment size of not 
more than 200 employees.  
Innovation and Capability 
Voucher Scheme  S$5,000 voucher for projects aiming to 
strengthen business capabilities in the areas 
of innovation, productivity, human 
resources and financial management  Same as above.  
Economic Development 
Board    
Research Incentive  
Scheme for  
Companies  Co-funding to support the development of 
in-house R&D capabilities  Singapore -registered business 
entities  
Innovation Development 
Scheme  Co-funding to support innovation, 
productivity and capabilities development  Singapore -registered business 
entities  
Initiatives in  
New Technology  Co-funding to su pport manpower 
development in the application of new 
technologies and professional know -how Singapore -registered business 
entities  
Pioneer Enterprise 
(Manufacturing or 
Services)  Tax exemption on income from qualifying 
activities  Manufacturing:  companies  
acquiring new technologies, skills 
or knowledge that raise overall 
industry standards;  
Services: qualifying activities 
include: any engineering or 
technical services, including 
laboratory, consultancy and 
research and development 
activities; computer -based 
information and other computer 
related services; the development 
or production of any industrial 
design  
Development and 
Expansion Incentive (DEI)  
 Reduced corporate tax rates of 5% or 10% 
on incremental income from qualifying 
activities  Qualifying acti vities include: 
manufacturing or increased 
manufacturing of any product 
that would be of economic benefit 
to Singapore; or same qualifying 
activities as Pioneer Enterprises 
in services  
Investment Allowance (IA)  Allowance of 30% or 50% of fixed capital 
expenditure on top of normal 100% capital 
allowance  Companies that are investing in 
equipment for greater 
productivity or introducing new 
technology to the industry  
Finance & Treasury Centre 
Tax Incentive (FTC)  Reduced tax of 10% on fees, interest, 
dividen ds and gains from qualifying 
services/activities;  
Withholding tax exemption on interest 
payments on loans from banks and network 
companies for FTC activities  Companies which provide finance 
and treasury services; at least 
annual total business spending of 
S$750,000; three professional 
staff employed by the FTC; and 
3 qualifying FTC services to 3 or 
more network companies  WT/TPR/S/343 /Rev.1  • Singapore  
 
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  Incentive 
scheme/administering 
agency  Description  Selected eligibility criteria  
Approved Royalties 
Incentive  Reduced withholding tax of 0% or 5% on 
royalty payments to access advanced 
technology and know -how Companie s which enter into a 
royalty agreement whereby 
royalties or technical assistance 
fees or contributions to R&D are 
payable to the non -resident 
person  
Approved Foreign Loan  Reduced WHT 0%, 5% or 10% on interest 
payments on loans taken to purchase 
productiv e equipment  Loan where the credit facilities 
are granted for the purchase of 
productive equipment, lender is a 
non-resident person, and the 
relief from Singapore tax will not 
increase his/her liability in his/her 
country of residence  
Land Intensification 
Allowance (LIA)  An initial tax allowance of 25% and annual 
tax allowances of 5% on capital expenditure 
incurred for the construction or 
renovation/extension of a building or 
structure (extended until 2020)  Companies that engage in the 
construction or reno vation/ 
extension of buildings or 
structures which meet gross plot 
ratio benchmarks   
Headquarters Programme 
(HQ) Companies managing international HQ 
activities out of Singapore pay a lower 
corporate tax of 10% or 5%  Business entities incorporated or 
registered in Singapore providing 
corporate support and 
headquarters -related services 
and business expertise on a 
regional or global basis  
Section 19B of the Income 
Tax Act  Writing down allowance over 5 years for 
acquisition of IP rights  Companies carrying o n a trade or 
business incurring capital 
expenditure in acquiring 
intellectual property (IP) rights 
for use in that trade or business  
Partnerships for Capability 
Transformation  Co-funding for qualifying costs of domestic 
or overseas relocation arising from  need to 
optimize land use  Singapore -registered business 
entities  
Capital Assistance Scheme  Double deduction for expenditure incurred in 
approved investment feasibility/due 
diligence studies, investment study 
missions/site visits and operation and 
mainten ance of overseas project 
development office against income, as 
covered by Section 14K of the Income Tax 
Act Singapore -registered business 
entities  
Land Productivity Grant  Co-funding to support the development -to-
commercialization of products or services  Local and foreign companies  
 
Source:  Information provided by the authoriti es of Singapore.  
 
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