WORLD TRADE ORGANIZATION  
ORGANISATION MONDIALE DU COMMERCE  
ORGANIZACIÓN MUNDIAL DEL COMERCIO  WT/TPR/M/202/Add.1 
15 September 2008 
 (08-4262) 
Trade Policy Review Body 
14 and 16 July 2008 Original: English/Spanish 
 anglais/espagnol  inglés/español 
 
TRADE POLICY REVIEW 
SINGAPORE 
Minutes of Meeting
 
Addendum  
Chairperson:  H.E. Mr. Mario Matus (Chile) 
 This document contains the advance writte n questions, and replies provided by Singapore.1 
 __________________________________________________________________________________ 
Organe d'examen des politiques commerciales 
14 et 16 juillet 2008 
 
EXAMEN DES POLITIQUES COMMERCIALES 
SINGAPOUR 
Compte rendu de la réunion
 
Addendum  
Présidente:  H.E. M. Mario Matus (Chili) 
 
 Le présent document contient les questions écrites communiquées à l'avance et les réponses 
fournies par Singapour.1 
  __________________________________________________________________________________ 
Órgano de Examen de las Políticas Comerciales 
14 y 16 de julio de 2008 
 
EXAMEN DE LAS POLÍTICAS COMERCIALES 
SINGAPUR 
Acta de la reunión
 
Addendum  
Presidente:  Excmo. Sr. Mario Matus (Chile) 
 
 En el presente documento figuran las pre guntas presentadas anticipadamente por escrito, 
junto con las respuestas facilitadas por Singapur.1 
  
                                                     
 
1 In English and Spanish only./En anglais et espagnol seulement./En inglés y español solamente.  WT/TPR/M/202/Add.1 
 Page 3 
 
  WRITTEN QUESTIONS BY MEMBERS 
 
 
BRAZIL  
1. Paragraph 79 of Section IV of the Report by the Secretariat states that Singapore's policy of 
encouraging airlines to commence and maintain operati ons in its territory includes the development of 
key clusters such as aircraft leasing and financing.  What is the expected role of the Government in 
the development of these clusters, in particular with respect to aircraft leasing and financing? 
 
Document WT/TPR/S/202 
 Chapter 2, page 26, paragraph 29 
 "To strengthen links with other tr ading partners, ASEAN is in FTA negotiations with China, Japan, 
Korea, India, Australia and New Zealand, and th e EC, and has economic part nerships with Canada 
and the United States through trade and investment framework arrangements." 
 Question
:  How does Singapore approach further moves of ASEAN in its trade relations with other 
countries or integration initiatives?  Chapter 3, page 43, Paragraph 36 
 
"Singapore's standardization strategy is based on: alignment to international standards as well as 
industry participation. Singapore strongly advocates th e adoption of international standards for greater 
market access and enterprise compe titiveness; more than 80% of alignable Singapore Standards (as of 
March 2007) are aligned with in ternational standards since th e introduction of the alignment 
methodology in 2000 (Table III.3)." 
 Question
:  "What are the main areas in which Singapore standards are not aligned with international 
standards?"  Chapter 4, page 77, paragraph 15 
 
"The newest industry cluster is biomedical scien ces (BMS), comprising the pharmaceutical, medical 
technology, biotechnology, and healthcare servi ce sectors. The EDB and A*STAR (Agency for 
Science, Technology & Research ) aim to transform Singapores into a biomedical hub, and as a 
location for biomedical companies manufacturing, R&D, clinical development and HQ activities. The 
main challenge is to turn Singapore into a centr e of biomedical innovation, moving upstream form 
drug manufacturing towards drug discovery and clin ical trials in collaboration with Singapore's 
healthcare services. Three agencies  work in closes coordination to develop the BMS cluster: the 
Biomedical Research Council (BMRC) of A*ST AR, which funds and s upports public research 
initiatives; the EDB’s Biomedical Sciences Group (BMSG), which promotes private sector 
manufacturing and R&D activities, a nd EDB's Bio*One Capital, which co-invests in biomedical R&D 
or manufacturing projects in Singapore." 
 Question
:  Could you provide more information on the na ture of specific instruments used to provide 
support to private sector manufacturing under BM SG, as well as on co-investment schemes under 
Bio*One Capital? 
 WT/TPR/M/202/Add.1 
Page 4  
 
  INDIA 
 
 Questions on the Report by Singapore  
 
Q1. Paragraph 8 of the Report by Singapore say s that business costs have also increased on 
account of higher wages and rentals amidst tighter  conditions in the labour and commercial property 
markets, respectively.   Could the Government of Singapore be kind e nough to state the measures taken by it to cut 
down business costs? 
 
Questions on the Report by the Secretariat 
 
Q2. Paragraph 3 of the Report by the Secretariat concerning Summary Observations says that, 
although average incomes have risen, the incomes of  some people have risen faster than those of 
others, reflecting higher wage increases for skilled and well-educated workers.  Singaporeans have 
generally benefited from globalization, but some olde r and less educated workers remain vulnerable 
to structural unemployment as the economy restructures and manufacturing and services move up the value-added ladder.     Could the Government of Singapore state the steps taken to narrow down the income gap 
between skilled and unskilled workers? 
  Further, could it mention the major areas of concern with respect to globalization and the initiatives taken to eliminate the vulnerability faced by  the older and the less educated workers due to 
structural employment? 
 
Q3. Paragraph 11 of the Report by the Secretar iat concerning Summary Observations says that 
Singapore has bound some 70% of its tariff lines, whic h is unchanged from its previous Review, at an 
average rate of 6.9%.  The gap between applied and bound MFN rates and the absence of bindings for 
30.4% of tariff lines could create a degree of unpredic tability for traders in the sense that there is 
scope for the authorities to raise tariffs.  
 
 Could the Government of Singapore state whether any measure has been taken to bind the remaining 30.4% tariff lines? Moreover, is it taking any steps to reduce the gap between the applied 
and bound MFN rates?  
Q4. Paragraph 32 of the Report by the Secret ariat concerning Economic Environment says that 
during the period under review, growth in services trade of Singapore has slowed down.   Could the Government of Singapore attri bute the reasons behind it and the initiatives 
undertaken to fuel growth in this sector?  
Q5. Footnote 19 of Paragraph 37 of the Report by the Secretariat concerning Economic 
Environment says that if the United States undergoes a mild recession in the first half of 2008 and growth in the Asian region moderates but remains hea lthy, Singapore's GDP growth is likely to be in 
the upper half of the forecast range.  If the United States slips into a more severe recession, the region 
will be more significantly affected.  
 
 Could the Government of Singapore share the extent to which its ec onomy is dependant on 
the US?    WT/TPR/M/202/Add.1 
 Page 5 
 
 
  Q6. Paragraph 2 of the Report by the Secretar iat concerning Trade Policy Regime: Framework 
and Objectives says that a notable institutional ch ange made to Singapore's policy-making structure 
during the review period was the establishment in 2005 of the Competition Commission of Singapore. 
  Could the Government of Singapore explain how effective has been the establishment and 
working of the Competition Commission of Singapore? 
 Q7. Paragraph 3 of the Report by the Secretar iat concerning Trade Policy Regime: Framework 
and Objectives says that reflecting the important c ontribution of foreign direct investment to the 
development of the economy, there are few restri ctions on inward foreign investment, and the 
restrictions that exist are mainly in broadcasting,  the domestic news media, retail banking, legal and 
other professional services, property ownership, as well as in some sectors in which government-
linked companies (GLCs) have a significant presen ce.  Aside from these areas, foreign investors 
operate with a minimum of restrictions and are subject to the same rules as local firms.  
 Could the Government of Singapore kindly state wh en is it going to lift the restrictions on the 
above-mentioned sectors?  Q8. Paragraph 18 of the Report by the Secret ariat concerning Trade Policy Regime: Framework 
and Objectives says that during the review period, there have been important revisions and/or new laws regarding trade and trade-re lated legislation in the areas of  customs, consumer protection, 
competition, intellectual property rights, environmen tal pollution, public utilities, financial services, 
broadcasting, telecommunications, and postal services.   Could the Government of Singapore elaborate on the revisions and the enactment of new laws 
with respect to trade?  
 
Q9. Paragraph 2 of the Report by the Secretariat concerning Trade Policies And Practices By Measure says that there have been no major cha nges to the regulatory framework for sanitary and 
phytosanitary (SPS) measures, although sev eral laws have been updated.   
  Could the Government of Singapore be kind en ough to give a detailed overview of the laws 
that have been updated with respect to Sanitary and Phytosanitary (SPS) measures? 
 Q10. Paragraph 5 of the Report by the Secret ariat concerning Trade Policies And Practices By 
Measure imports of certain high technology produc ts, which are subject to export controls by the 
exporting country, may also require an import certificate and delivery verification (ICDV) from 
Singapore Customs.  All imports must also be acco mpanied by invoices, packing lists, bills of lading, 
and any other relevant documentation.  Additio nal documentation may be required for certain 
products.  Traders of fresh and processed food products (including food appliances)  are required to 
register with the Agri-Food and Veterinary Aut hority (AVA) as well as with Customs.  Additional 
documents may be required for impor ts of foods with specific animal health, plant health or food 
safety concerns. 
Could the Government of Singapore state th e additional documents required for certain 
products? 
Q11. Paragraph 26 of the Report by the Secret ariat concerning Trade Policies And Practices By 
Measure says that import controls apply to a number  of other products including:  medicinal products, 
which are subject to regulatory controls by the Health Sciences Authority; radio communications 
equipment, controlled by the Info-Comm Developm ent Authority; and undesirable publications or 
media productions, controlled by the Media Development Authority.  WT/TPR/M/202/Add.1 
Page 6  
 
  Could the Government of Singapore explain th e kinds of import controls applied on the 
above-mentioned products? 
Q12. Paragraph 31 of the Report by the Secret ariat concerning Trade Policies And Practices By 
Measure says that currently there is no safeguard legislation in Singapore.  Since 2004, Singapore's 
exports of clear and tinted float glass to the Philippi nes have been affected by a safeguard action.  
Under its bilateral free-trade agreements Singapore stri ves to the extent possible to exclude the use of 
safeguard measures.  Despite the existence of pr ovisions for emergency safeguard measures under the 
ASEAN FTA and Singapore's FTAs with Japan, the EFTA states, and the United States, Singapore 
has not invoked these provisions; nor does it intend to in the foreseeable future.  
Is the Government of Singapore contemplating enactment of legislations on Safeguards in the 
long run? 
Q13. Paragraph 43 of the Report by the Secretaria t concerning Trade Policies By Sector says that 
despite substantial growth in the past few years, the insurance sector accounted for only about 6% of 
total financial sector assets in 2007.  At end 2007 , there were 153 insurance companies operating in 
Singapore:  61 were direct insurers, 32 re-insur ers, and 60 captive insurers.  Total assets of the 
insurance industry amounted to S$113.1 billion at e nd 2006; American International Assurance (US), 
Great Eastern Life, NTUC Income and Prudential Assurance Singapore (UK) together account for 
approximately 80% of life insurance assets. 
Could the Government of Singapore state whether it is planning to encourage more foreign 
investment in the insurance sector to make it competitive? 
Q14. As stated in both the Report by the Secretariat as well as the Report by Singapore, the 
economy of Singapore is highly dependa nt on manufacturing and services.  
What are the plans of Singapore to diversify and other sectors of the economy? 
General Questions Related to Singapore's Economy 
 
Q15. Would the government of Singapore be kind enough to state when would its Free Trade 
Agreement with the Cooperation Council for the Ar ab States of the Gulf (GSFTA) become fully 
operational? Does this Free Trade Agreement (FTA) cover a broader area and extend more liberal 
concessions compared to the other Agreements ef fectively concluded by Singapore? If yes, would 
they be extended to other Free Trade Agreement (FTA) partner countries as well?  Q16. According to the Government of Singapore its  medical tourism market is expected to touch 
US$1.6 bn by 2012. Would they elucidate how they would ensure availability of medical 
professionals? What are their plans regarding sign ing of Mutual Recognition Agreements (MRA's) 
with other countries?  
 Q17.  The Japan-Singapore New-Age Economic Partne rship Agreement (JSEPA) envisages 
liberalization of various services sectors which apart from others include medical and dental services. Would the Government of Singapore be kind enough to state its commitments in the above-mentioned 
services? How are they different from the commitments made in other Agreements? 
 Q18.  Would the Government of Singapore give the names of the Designated and the Conformity 
Assessment Bodies (CAB’s) in its Mutual Reco gnition Agreements (MRA's) with Japan in the 
electrical and electronics and telecommunications equipment? What modalities/terms of reference 
have been agreed to by the par ties with respect to conformity assessment? Is there any set procedure 
in relation to conformity assessment by each country?  WT/TPR/M/202/Add.1 
 Page 7 
 
 
  Q19.  Has Singapore applied any trade remedial measure (anti-dumping, countervailing duty and 
safeguard) against Korea?  Q20. Article 17.4 of the Korea-Singapore Free Trade Agreement (KSFTA) states that   
"Each Party may implement in its domestic laws more extensive protection of intellectual property 
rights than is required under this Agreement, provide d that such protection is not inconsistent with 
this Agreement and the TRIPS Agreement."   Could the Government of Singapore state the kind of protection offered to Intellectual 
Property (IP) of other countries?  
 Q21. What is the Government of Singapore’s po licy on Genetically Modified Organisms (GMO’s)? 
Does Singapore provide protection to Geographical Indications (GI’s)?  
 
Q22. Could the Government of Singapore elaborat e the criterion used to apply limitations on 
investments under the New Zealand and Singapo re Closer Economic Partnership Agreement 
(ANZSCEP)?  Q23. What are the steps taken by the Government  of Singapore to make its investment climate 
more competitive? Could she throw some light on its relevant competition (anti-trust) laws, 
regulations and policies? Further, what kind of re medies can a foreign investor expect in the case of 
investor-state dispute?  Q24. What kind of unilateral Preferences are extended by Singapore to the Least-Developed Countries (LDCs) which conforms to the decision taken in the World Trade Organization’s (WTO’s) 
Hong Kong Ministerial Declaration of December, 2005? 
 Q25. What are the Minimum Asset Maintenan ce Ratio Norms for foreign banks in Singapore? 
What is the criterion used to eval uate banks for fixing such ratio? 
 Q26. Could the Government of Singapore state wh ether generic drugs come under the purview of 
price controls? What incentives are given to Fore ign Research & Development (R&D) companies in 
Singapore? Is there any cap/ceiling on Foreign Investments by Pharmaceutical Companies in 
Singapore? 
 
Q27. Could the Government of Singapore state th e procedure for repatriation of gains made by 
Joint Ventures (JV’s) and Wholly-Owned Subsidiaries etc. in Singapore? 
 
Q28. From YA2005 onwards, a company is taxed at a flat rate of 20% on its chargeable income. 
The corporate income tax rate will be reduced  to 18% from YA2008. Could the Government of 
Singapore be kind enough to menti on when will it be implemented? 
 
Q29. Could the Government of Singapore state th e incentives provided to export firms operating in 
its territory? Are these incentives different for foreign export firms? 
 
Q30. When does Singapore expect to comple te its ongoing Free Trade Agreement (FTA) 
negotiations with other countries? 
 
Q31. Could the Government of Singapore be  kind to state whether it gives Government 
Procurement contracts to foreign firms? Is the procedure different from that of domestic firms? 
 WT/TPR/M/202/Add.1 
Page 8  
 
  CHINA
 
 
1. Based upon its national conditions, Singapore has established itself as a good example among 
WTO Members which has developed and prospered gr eatly from liberalization of trade and an open 
trade-regime. For many years Singapore has been remaining one of the most open as well as most 
competitive economies in the world. However, the high degree of its openness leaves Singapore 
vulnerable to periodic external shocks to some extent.  
 Could Singapore please elaborate how its economy accommodates external shocks during the 
period under review, particularly with respect to th e recent U.S. sub-prime crisis and soaring prices 
of food and energy all over the world?  
2. Since 2004, Singapore’s free-trade agreements (FTAs) with India, Jordan, Korea, Panama, 
and Brunei, Chile, and New Zeala nd have entered into force, a nd Singapore is currently in FTA 
negotiations with Canada, China, Mexico, the Gu lf Cooperation Council, Pakistan, and Ukraine. 
 
 Could Singapore please elaborate its prioriti es in pursuing trade liberalization and choosing 
respective negotiating FTA partners?  Please describe the changes, if any, with regard to its trade and 
investment flows with other trading partners after signing of these FTAs. 
3. Page 30 para. 40 of the Secretariat’s report states that “In services, Singapore has followed a 
positive-list approach with EFTA, India, Japan, and New Zealand and a negative-list approach with 
Australia, Korea, Panama, and the United States.”  
 Could Singapore explain the "rationale" for choosing different types of services of 
liberalization, positive list and negative list?  
  SWITZERLAND
 
 
Report by the Secretariat 
I. RECENT ECONOMIC DEVELOPMENTS 
(3) M ACROECONOMIC POLICIES  
(i) Monetary and exchange rate policy 
 In para. 12 , the Secretariat's report indicates that mone tary policy is based on the management of a 
trade-weighted exchange rate index within an undi sclosed band. At the same time, the report suggests 
that the Monetary Authority of Singapore announces semi-annually the level and direction within the 
band. Could the Singaporean authorities clarify this a pparent contradiction in the way their exchange 
rate policy operates ? 
 
III. TRADE POLICIES AND PRACTICES BY MEASURE 
(2) M
EASURES DIRECTLY AFFECTING IMPORTS  
(ii) Tariffs 
(a) Bound MFN tariffs 
 
According to para. 7  of the Secretariat's report, there are 52 tariff lines subject to specific rates. 
However, these lines have not been included in the S ecretariat's analysis due to the absence of their ad 
valorem  equivalent. Could the Singaporean authorities indicate which are the 52 tariff lines subject to 
specific duties ? From the Secretariat report it is not clear whether Singapore has non ad valorem  
tariffs for industrial products. C ould Singapore indicate if it still has non ad valorem  duties for 
industrial products and for which ones ?   WT/TPR/M/202/Add.1 
 Page 9 
 
 
  Para. 9  of the Secretariat's report indicates that Singapore's applied MFN tariffs are almost zero. It 
remains therefore unclear why it has bound only 69.6 % of its tariffs and why the bindings remain 
substantially higher than the MFN applied rates. Given the fact that Singapore did not increase its 
applied tariffs during the period under review, could the Singaporean authorities indicate whether and 
how they intend to increase the predictability of thei r tariffs for the tariff lines for which there is a 
large gap between the bound and ap plied tariffs and for those which are currently still unbound ?  
 (b) Applied MFN tariffs (p.36 - para. 10 + footnote 5 and para. 7 + footnote 4)  
 
Para. 10 + footnote 5 and para. 7 + footnote 4 : According to footnote 4 in para. 7 in the 
Secretariat's report, the 2005 schedul e consists of 5'383 tariff lines. Footnote 5 of para. 10  indicates 
that the current (2007) applied MFN tariff based on the HS2007 nomenclature, consists of 8'285 lines 
at the SH 8-digit level. Could the Singaporean authorities explain for which reasons the number of 
tariff lines seems to have increased substantially ?  (vi) Contingency measures 
 
(a) Anti-dumping and countervailing measures  In para. 30 , the Secretariat's report suggests that u nder the Countervailing and Anti-dumping Act 
MTI may initiate an investigation to determin e whether goods are being dumped or whether a 
countervailable subsidy is being provided. Could the Singaporean authorities clarify which conditions 
are to be satisfied for an investigation to be in itiated ? Furthermore, in the case of anti-dumping, is a 
petition from the domestic industry required to initiat e an investigation or is an ex-officio decision 
possible and under what conditions ?  (viii) Government procurement 
 
In para. 55 , the Secretariat's report states that procurement is generally carried out by individual 
ministries and agencies. Could the Singaporean aut horities provide additional informations regarding 
the share of agencies in total procurement ? What is the legal status of those agencies and, in 
particular, what is the difference, if any, betw een so-called "lead agencies" and other agencies ? 
 
 
CHILE
 
 II. RÉGIMEN DE LA POLÍTICA COMERCIAL: MARCO Y OBJETIVOS 
 
4) Acuerdos Y Convenios Comerciales 
 
1. ¿Dispone Singapur de alguna medición que cuantif ique el impacto de los tratados de libre 
comercio suscritos?  5) Régimen de inversión extranjera 
 
2. En el párrafo  48 se señala: “Entre los incentivos de carácter no fiscal se cuentan las 
subvenciones a determinadas actividades, sobre t odo las relacionadas con sectores de alto valor 
añadido, la capacitación, y la investigación y desarrollo”. 
 
¿De qué tipo de subvenciones se trata?  ¿Cómo se asignan estas subvenciones?  ¿De qué montos se tratan?  WT/TPR/M/202/Add.1 
Page 10  
 
  III. POLÍTICAS Y PRÁCTICAS COMERCIALES, POR MEDIDAS 
 
1) Introducción 
 
3. En relación al párrafo 1, ¿Contempla Singapur incrementar las líneas arancelarias 
consolidadas en la OMC, de modo de dar ma yor previsibilidad a los agentes económicos? 
 
2) Medidas que afectan directamente a las importaciones 
 
4.  ¿Existe alguna agencia que preste apoyo a los exportadores nacionales para enfrentar 
investigaciones de dumping y/o salvaguardias? Si ex iste, ¿qué relación tiene con el Ministerio de 
Comercio e Industria?   
 
5. ¿Existe alguna forma de asistencia para la correcta presentación de denuncias para casos de 
dumping, subsidios o salvaguardias? 
 
6. En relación al párrafo  40, para los 45 produc tos que requieren certificación de evaluación de 
la conformidad por organismos independientes de evaluación de la conformidad designados a tal 
efecto, ¿se aceptan certificados emitidos por organismos  localizados en el país de venta? ¿Cuál es el 
procedimiento a seguir?  
7. En relación al párrafo 53,  ¿Cuál es el pr ocedimiento utilizado para la autorización de 
importación y producción de alimen tos modificados genéticamente? 
 8. En relación al tema de Contratación Pública,  ¿existen estadísticas sobre la evolución de las 
contrataciones entre Singapur y los países con los que  ha firmado Acuerdos en esta materia? de ser 
así, podría entregarse la referenc ia o bien datos estadísticos. 
 
4) Medidas que afectan a la producción y al comercio. 
 
9. En el Recuadro III.1 (Inicia tivas de Nueva Tecnología (INTECH)) se señala que “Este 
programa, administrado por la EDB, tiene por objeti vo fomentar la formación  de los trabajadores en 
materia de nuevas tecnologías, investigación y desa rrollo industriales, especialización profesional, y 
diseño y desarrollo de nuevos productos, procesos y servicios, a fin de crear nuevas capacidades en 
las empresas o ramas de producción.  Las subvenciones cubren hasta el 50 o el 70 por ciento de los 
costos autorizados de formación, que pueden compre nder salarios, billetes de avión, dietas y tasas de 
cursos”. 
 
¿Cómo se asignan estas subvenciones?  ¿Son de carácter no fiscal, como las antes citadas?  ¿Son consideradas incentivos?  
IV. POLÍTICAS COMERCIALES POR SECTOR 
 
5) Servicios 
 
10. Respecto al párrafo 60, ¿Existe la intención de modificar el artículo 47 de la Ley de Radio y 
Teledifusión, para autorizar la participación de empresas extranjeras en los sectores de radio y 
teledifusión de transmisión libre? 
 ¿Existe la intención de autorizar los servicios de  televisión vía satélite, suministrada directamente 
hacia los hogares?  WT/TPR/M/202/Add.1 
 Page 11 
 
 
  CANADA  
 Report by the Government (WT/TPR/G/202)  Part I. Economic performance and outlook: paragraph 8, page 5: 
 
The Government Report refers to tighter conditions  in the labour market. Those conditions emerged 
as a growing challenge for both domestic a nd foreign firms operating in Singapore.  
 1. What specific actions has the Government of Singa pore taken, and will take in the future, to 
overcome this challenge?  
 
Part V. Doha Development Agenda: paragraph 44, page 11:  
 
Under the section Aid-for-Trade, the report indi cates that Singapore supports the objectives of the 
Aid-for-Trade Initiative through, inter alia , the Singapore Cooperation Programme, Singapore's 
technical assistance programme to developing countries.  2. Could Singapore provide more information on the management of the Singapore Cooperation 
Programme (SCP)?  
 
3. Could Singapore provide specific lessons learne d on using an umbrella program, which is the 
SCP, to deliver its technical assistance programmes?  
 
Report by the Secretariat (WT/TPR/S/202)  
Part I. Economic Environment: (2) Recent econ omic performance: paragraph 5, page 3:  
 
The Secretariat report states that Singapore's consumer price index reached a 26-year high of 6.6% in January, which is quite high for a developed ec onomy (we note that inflation has subsequently 
reached 7.5% in May). While some of this increa se can be linked to global food and oil prices, as well 
as the July 2007 GST hike, the intense amount of capital construction and business expansion in the 
city-state has also contributed to the price pressures.  
 1. Has the Government of Singapore taken any steps to slow economic growth to a more 
sustainable rate? 
 
Part I. Economic environment: (3) Macroeconomi c policies; (i) Monetary and exchange rate 
policy: paragraph 12, pages 6 and 7:  
The Secretariat report states that the Moneta ry Authority of Singapore (MAS) announces semi-
annually the level and direction in which the Si ngapore dollar will fluctuate within the band. The 
MAS implements this policy through direct sales or purchases of the Singapore dollar in the foreign 
exchange market.  
 2. Given recent price pressures on the economy, can  you explain why Singapore only revises its 
monetary policy twice-per-year? 
 Part II. Trade Policy Regime: Framework and Ob jectives: (3) development and Administration 
of Trade Policy; (ii) Transparency: paragraph 14, page 23:  
 
The Secretariat report notes that Singapore has taken a leadership role in promoting greater transparency among sovereign wealth funds.  WT/TPR/M/202/Add.1 
Page 12  
 
  3. Can the Government of Singapore provide details on how Temasek Holdings and GIC, for 
example, intend to enhance their transparency practices? 
 
Part II: Trade policy regime: framework and objectives (5) foreign investment regime (i) overview: paragraph 44, page 31: 
 
The Secretariat report states, “Foreign direct investment in the manufacturing sector remains unrestricted. Foreign investment limits have been maintained in broadcasting and newspaper services: 
in broadcasting, FDI is allowed up to 49%, unl ess waived by the Minister for Information, 
Communication and the Arts. There are restrictions on foreign law firms and foreign lawyers 
practising Singapore law in Singapore but there are no restrictions in any arbitration work and in 
matters governed by foreign law. Foreign invest ment in some of Singapore's government-linked 
companies (GLCs), depending on the sectors they ope rate in, is also subject to restrictions. For 
example, the aggregate foreign shareholding limit in PSA Corporation, which manages Singapore's 
ports, is 49%. Foreign ownership restrictions may also apply to Singapore designated airlines 
depending on the requirements of Singapore's b ilateral and multilateral air services agreements.” 
 4. a) If there are no restrictions on FDI in the manufacturing sector, could Singapore please 
explain the rationale for listing the Control of Manufacture Act in its reservations for 
existing non-conforming measures in its FTAs?  
 
b) What, if any, products may be added to th e list of restrictions under the COMA in the 
future?  
 
Part III. Trade Policies and Practices by Measure: (2) Measures Directly Affecting Imports; (viii) Government procuremen t: paragraph 61, page 50: 
 
The Secretariat notes that after consultations with  SMEs in 2004 and 2005, the Singapore Government 
relaxed procurement rules to enable SMEs great er access to government procurement opportunities. 
 5. What is the dollar value of contracts to which these exceptions are applicable? 
 
6. Please explain if and how these relaxed rules a pply to procurements covered by the WTO 
Agreement on Government Procurement. 
 
Part III. Trade Policies and Practices by Meas ure: (4) Measures Affecting Production and 
Trade; (VI) Intellectual Property Rights: Paragraph 128, page 70: 
 
Canada notes that according to the Secretariat Re port, "the Statutes (Miscellaneous Amendments) Act 
of 2007 and the Patents (Amendments No. 2) Rules modified the law to align the patent system to the regulations under the Patent Cooperation Treaty".    7. Canada would appreciate if Singapore could pr ovide directions on how these new provisions 
have allowed aligning on the Pa tent Cooperation Treaty.   
 
Part III. Trade Policies and Practices by Meas ure: (4) Measures Affecting Production and 
Trade; (VI) Intellectual Property Rights: Paragraph 130, page 70: 
 The Secretariat Report states that "under Part XI, Section 53 of the Act, licences of right may be 
offered by the patent owner to anyone wishing to obtain a licence".  8. Canada would be grateful if Singapore could cl arify whether an obligation for the patentee to 
licence his invention arises from Section 53 of the Act.    WT/TPR/M/202/Add.1 
 Page 13 
 
 
  Part III. Trade Policies and Practices by Meas ure: (4) Measures Affecting Production and 
Trade; (VI) Intellectual Property Rights: Paragraph 136, page 71: 
 
Canada notes that according to the Secretariat re port for Singapore, "Singapore has no specific 
legislation concerning trade secrets and confiden tial information. They are protected under common 
law by the law of confidence, which the authorities state provides broad and effective protection." 
 9. Could Singapore please elaborate on the scope of protection offered by the law of 
confidence? 
 
Part III. Trade Policies and Practices by Meas ure: (4) Measures Affecting Production and 
Trade; (VI) Intellectual Property Rights: Paragraph 137, page 71: 
 
The Secretariat notes that, "Penalties for counterfeiting of trade marks can be up to S$100, 000 and/or 
imprisonment for up to five years. (No data were ma de available by the authorities as to whether such 
penalties are actually imposed.)" 
 10. Canada would be grateful if Singapore coul d provide further information regarding the 
effectiveness of these penalties in curbing co pyright infringement and the counterfeiting of 
trade marks. 
 Part IV. Trade Policies by Sector (5) Services (ii) Commitments under the GATS and bilateral 
agreements: paragraph 28, page 81: 
 
"During the review period, Singapore has also con tinued to be active in negotiating and implementing 
PTAs that include services with various tradi ng partners. Singapore has followed a positive-list 
approach with India, EFTA, New Zealand, Jord an, and Japan, and a generally more ambitious 
negative-list approach in its preferential agreements  with the United States, Korea, Panama, Australia, 
and the multi-party Trans-Pacific SEP (New Zealand,  Chile, Brunei, and Singapore). There is, overall, 
much diversity in the commitments undertaken by Singapore in its various preferential agreements. 
Examples of commitments going beyond the GATS schedule/offer include:"  
The examples list agreements concluded with  New Zealand (ANZSCEP), Japan (JSEPA), EFTA 
(ESFTA), Australia (SAFTA), and the Unite d States (USSFTA), noting that Singapore’s 
commitments beyond GATS include professional, telecommunications, financial, business, and 
transport services. However, in many of its Free  Trade Agreements, including with the United States 
and Panama, Singapore has reserved its right to adopt future measures in specified sectors in 
investments and cross-border service activities that  violate the principle of MFN given that no 
corresponding MFN reservations have been taken in Singapore’s GATS offer.   11. Canada would appreciate Singa pore’s explanation on the rationale for adopting what is 
essentially a GATS minus position with resp ect to some of its reservations. 
 
Part IV. Trade Policies by Sector: (5) Services; (iii) Banking and Other Financial Services; (b) 
Banking: paragraph 32, pages 82 and 82: 
 
Paragraph 32 notes that as part of Singapore’s five-y ear program to liberalize access by foreign banks 
to its domestic market and strengthen its banking  system, Singapore granted Qualifying Full Bank 
(QFB) privileges to six foreign banks. 
 12. What criteria were used to grant the QFB privileges to the six foreign banks? 
 WT/TPR/M/202/Add.1 
Page 14  
 
  13. a) Could Singapore indicate whether it intends to increase the number of QFB licenses 
available to foreign banks in the near future? 
 
b) If so, could Singapore explain what process and criteria would be used to assess QFB 
license applications?  
 Part IV. Trade Policies by Sector: (5) Services;  (vii) Professional services; (b) Legal services: 
paragraphs 95-97, pages 102-103:  
 
Paragraphs 95-97 describe the details of recommenda tions that the Government implemented in 2007 
and planned for 2008, regarding joint law ventur es between foreign and Singapore law firms, and 
general liberalization in the legal services sector in Singapore.  Paragraph 96 states, that "Foreign law 
firms may set up offices in Singapore to advise clie nts only on the laws of their home country or 
international law."  
14. In respect of its next services offer, is the Government contemplating to reflect its recent 
liberalization, as well as its current policy of permitting foreign law firms to set up offices in 
Singapore to advise clients on foreig n (home) and international law? 
 
Part IV. Trade Policies by Sector: (5) Services; (vii) Professional services; (b)  Engineering and 
architecture services: paragraph 101, page 103:  
 
Paragraph 101 notes that, "In line with provisions in the FTA with the United States, and applicable to 
all foreign firms, Singapore has reduced the requirement  that the chairman and two thirds of a firm's 
board of directors must be composed of engineers,  architects or land surveyors registered with local 
professional bodies to a simple majority."  
 
15. Is this a legislative change? If so, please pr ovide a reference to the applicable law. 
  
THE EUROPEAN COMMUNITIES
 
 
SUMMARY OBSERVATIONS (1) E
CONOMIC ENVIRONMENT  
 
WTO Secretariat's Report, page vii , para. 4 
 
The Report states that Singapore has continued to undertake structural reforms, focusing on lowering 
costs, increasing wage and labour market flexibilit y, further liberalizing the banking, telecom and 
utility sectors.  Singapore is also negotiating several  trade and investment agreements with major 
trading partners.  
1. Could Singapore elaborate further on how it inte nds to encourage sustainable development 
and core labour standards in this context? 
 
III. TRADE POLICIES AND PRACTICES BY MEASURE  
(2) M
EASURES DIRECTLY AFFECTING IMPORTS  
(ii) Tariffs 
 WTO Secretariat's Report, page 38, para. 10-11 
 
2. Could Singapore elaborate on the rationale for applying high tariffs on stout, porter, beer and 
ale, but not on other alcoholic beverages?  WT/TPR/M/202/Add.1 
 Page 15 
 
 
  (vii) Standards and Sanitary and Phytosanitary Requirements 
 WTO Secretariat's Report, page 46, para. 47  
Article 2.3.13.1 of the OIE Terrestrial Animal Heal th Code stipulates the list of commodities which 
should not require any BSE rela ted conditions, "regardless of the BSE status of the exporting 
country". This list includes, inter alia,  deboned skeletal muscle meat from cattle 30 months of age or 
less, milk and milk products, semen and in vivo,  derived cattle embryos collected and handles in 
accordance with the recommendations of the Intern ational Embryo Transfer Society, and hides and 
skins and gelatine and collagen prepared  exclusively from hides and skins. 
 
3. Could Singapore demonstrate whether it is following the above-mentioned approach and 
could Singapore ensure that it applies th e OIE recommendations for trading commodities 
depending on the OIE-BSE risk status categorization of the exporting country? 
 
4. Does Singapore recognise the recent change of EC countries into countries with controlled 
BSE risk according to OIE for the importation of beef from EC to Singapore? If not, could 
Singapore clarify? 
 
WTO Secretariat's Report, page 47, para. 51  
The Reports states that under the Sale of Food Act (Cap. 283) and the Food Regulations certain 
imported products must be labelle d with the "country of origin". 
 
5. In view of the fact that Singapore has no tified the WTO Secretariat that it has no non-
preferential rules of origin (document G/RO /N/3), could Singapore indicate how is the 
requirement for "country of origin" for labelling purposes determined? 
 
(viii) Government Procurement 
 WTO Secretariat's Report, page 49, para. 56  
The Report states that Singapore may maintain a 2.5%  preference margin for the supply of goods and 
auxiliary services from other ASEAN members, up to  a maximum value of US$40,000 per tender. 
 6. Could Singapore indicate how often it resorts to  this instrument and whether there are 
considerations to withdraw it? 
 WTO Secretariat's Report, page 50, para. 61  
The Report states that Singapore Government relaxe d procurement rules to enable SMEs greater 
access to government procurement opportunities.  
7. Could Singapore provide information on which pr ocurement rules were relaxed to enable 
SMEs greater access to procurement opportunities? 
 
(4) M
EASURES DIRECTLY AFFECTING IMPORTS  
(iv) Competition policy 
 WTO Secretariat's Report, page 65, para. 117  
8. Could Singapore share its assessment of the functioning of the Competition Commission 
(CCS)?  WT/TPR/M/202/Add.1 
Page 16  
 
  9. Could Singapore describe to what extent the implementation of the Competition Act has had 
an impact on its economy?  
 
IV. TRADE POLICIES BY SECTOR  (5) SERVICES
  
(iv) Communications (a) Telecommunications 
 
WTO Secretariat's Report, page 90, para. 46 
 
The Report states that following introduction of full competition in the telecommunications market, any foreign operator can provide faciliti es and services based telecom services.  
 10. Could Singapore provide information on the equity of these operators and in particular, if they 
are fully/partially owned by the foreign operators? 
 
WTO Secretariat's Report, page 91, para. 47 
 
The Report states that there are at present 43 f acilities-based operators licensed in Singapore.  
 
11. Given the high number of these operators, coul d Singapore provide information on the range 
of services they actually offer and sc ope of geographical coverage.   
 
WTO Secretariat's Report, page 91, para. 48 
 
The Report refers to two major plans (Singapore ONE and the Next Gen NBN) to provide with 
nationwide services.   12. Could Singapore explain whether these projects are funded by the state or they are launched 
by the private sector?  
 
(b) Audiovisual and media services 
 WTO Secretariat's Report, page 93, para 59 
 
The Report states that the Media Development Aut hority was created in response to the increasing 
convergence of different media, and the need for a consistent approach to regulation and development 
of the media sector. Licensing by Media Development Authority for media businesses or professionals to provide services or apparatus and equipment is extremely burdensome. There have 
been reports of denial or revocation of permits  without warning or without giving a reason.  
 13. Could Singapore explain what justifies such practice?  
 
WTO Secretariat's Report, page 93, para 60  
 
The Report states that Singapore's local free-to-air  broadcasting, cable, and newspaper sectors are 
effectively closed to foreign firms. Section 47 of the Broadcasting Act restricts foreign equity 
ownership of companies broadcasting to the Singa pore domestic market to less than 49 percent, 
although the Act also gives the Media Developm ent Authority (MDA) authority to waive this 
requirement. The government also limits individua l equity stakes in broadcasting companies to no 
more than five percent of issued shares.    WT/TPR/M/202/Add.1 
 Page 17 
 
 
  14. Could Singapore furnish information in ho w many cases, compared to the number of 
applications, the MDA waived these requirements. 
 
To the EC's knowledge, BBC World Service is the onl y foreign free-to-air broadcaster in Singapore. 
As BBC has been admitted, the EC see no reasons for not admitting other free-to-air broadcasters in 
Singapore. 
 
WTO Secretariat's Report, page 94, para 62  
 
The Report states that the use of satellite dishes is limited to certain organi zations and that Singapore 
has not authorized direct-to-home satellite television services 
 15. Could Singapore explain why it restricts the use of satellite receiving dishes and has not 
authorized direct-to-home satellite television services? 
 
(v) Transport  
WTO Secretariat's Report, page 96, para. 70 
 
16. With reference to the fact that Singapore ser vice suppliers benefit from exclusivity in the 
provision of services auxiliary to maritime tran sport in the Port of Singapore, and with 
reference to the extensive international opera tions of Singapore's port operators abroad, could 
Singapore explain the factors that prevent it fro m providing similar opportunities in the Port 
of Singapore for foreign providers to suppl y services auxiliary to maritime transport? 
 
(vii) Professional Services 
(b) Legal Services 
 
WTO Secretariat's Report, page 102, paras  95, 97 
 
The Report states that Singapore takes measures to ensu re that there is no oversupply of lawyers in the 
domestic legal market and that foreign lawyers can  be employed by Singapore law firms who can own 
equity shares up to 25% of the total equity shares or profits. In paragraph 97, it appears that there is an 
intention to improve the current status quo to share up to 49% of the profits. 
 
17. Could Singapore elaborate on this intention and indicate also what prevents Singapore from 
considering full  ownership of shares or profits  by foreigners law firms?  
 
WTO Secretariat's Report, page 103, para. 99 
 
The Report suggests that following SAFTA, Australian law firms have become more competitive than 
UK law firms.   
18. Is Singapore considering the option of providing similar benefits to UK law firms to allow 
them to compete on equal footing with la w firms originated from other countries? 
  WT/TPR/M/202/Add.1 
Page 18  
 
  UNITED STATES
 
 
I. ECONOMIC ENVIRONMENT 
 
(4) S TRUCTURAL POLICIES  
 
Page 10, paragraph 25:  The Secretariat's Report states that the government of Singapore provides 
incentives to attract investment in  targeted areas and has developed infrastructure to support its 
biotechnology industry and industrial parks to cater to  special needs of targeted industries.  Please 
describe these incentives.  In addition to biotechnolog y, what industries has the government targeted?  
 
(7) O UTLOOK  
 Page 16, paragraph 38:  The Secretariat's Report states that th e government continues to offer tax 
incentives in industries that it is trying to nurture.  Such industries include the semiconductor, IT, and 
biomedical science and services.  Please describe the incentives that the Singapore government offers 
to the semiconductor and the IT industries.  III. TRADE POLICIES AND PRACTICES BY MEASURE  (2) M
EASURES DIRECTLY AFFECTING IMPORTS  
 
(vii) Standards and sanitary and phytosanitary requirements 
 
(c) Sanitary and phytosanitary (SPS) measures  Page 46, paragraph 46: What is the basis for Singapore's polic y regarding allowable microbiological 
specifications?  Were the specifications establis hed according to the principles for establishing 
microbiological criteria in foods outlined by C ODEX? Why does the Singapore government believe it 
is necessary to take samples from each shipment of ra w meat and poultry for laboratory testing for the 
presence of microorganisms?   The United States does not believe it is necessary to test imported raw meat and poultry products for Salmonella at Port of Entry; it relies on the foreign government to 
ensure that the meat and poultry meets the US import requirements. 
 
Page 46 Paragraph 47: According to the Secretariat’s Report, in 2005, Singapore's AVA reviewed 
its import conditions for beef from mad-cow-disea se-affected countries and developed new import 
requirements in line with OIE (World Organization for Animal health) guidelines.  The Secretariat 
further states that AVA "worked with the U.S.  Department of Agriculture to finalize, inter alia,  the 
health certification programme to fac ilitate the resumption of imports."  
 When does Singapore intend to adhere to the OIE gu idelines for the trade in beef and beef products 
from countries classified as controlled risk category for BSE? 
 
(d) Labelling 
 
Page 47 Paragraph 49: Please explain why all consignments of high risk shellfish products such as 
oysters, cockle meat, cooked praw ns and cooked meat have to under go laboratory tests upon arrival in 
Singapore? Does this imply that Singapore requires further assurance beyond the statements provided 
in the export health certification issued by the federa l or state inspectors of the exporting country? The 
test and hold procedures in place have created difficulties for importers of shipments of live sea food 
products with very short shelf lives.    WT/TPR/M/202/Add.1 
 Page 19 
 
 
  (3) M EASURES DIRECTLY AFFECTING EXPORTS  
 (iv) Export assistance 
 Page 52, paragraph 75:  The Secretariat's Report states that IE Singapore provides export promotion 
and marketing assistance through programs, "s uch as the Double Tax Deduction Scheme, which 
allows companies to deduct against their taxable income twice the eligible expenses incurred in 
activities such as participation in overseas trade fairs, setting up of overseas marketing offices and 
other investment expansion activities."  Please pr ovide additional details explaining how the Double 
Tax Deduction Scheme operates.   
ARGENTINA
 
 
WT/TPR/S/202, INFORME DE LA SECRETARIA 
 
I. EVOLUCIÓN ECONÓMICA RECIENTE  
3) P OLÍTICAS MACROECONÓMICAS  
i) Política monetaria y tipo de cambio.  
Párrafo 15, página 8  En este párrafo se menciona que en Singapur no ex isten controles de cambio formales, con excepción 
de una restricción primaria a la concesión de prést amos a entidades financieras cuando tengan fines de 
especulación con el dólar singapurense. ¿Podrían indicar en que situaciones las autoridades consideran que existen "fines de especulación" con el dólar? ¿Cuál es el marco legal de esta disposición?  ii) Política fiscal  
Párrafo 16, página 8 
 En este párrafo el informe indica que aunque el saldo presupuestario global ha sido positivo desde finales de la década de 1980 hasta principios del 2000, este viene siendo predominantemente 
deficitario en los últimos años. ¿Qué medidas est á tomando el gobierno para afrontar los continuos 
déficit fiscales?  
II. RÉGIMEN DE LA POLÍTICA COMERCIAL: MARCO Y OBJETIVOS 
5) R
ÉGIMEN DE INVERSIÓN EXTRANJERA  
ii) Incentivos  
Párrafo 48, página 38  
En este párrafo el informe indica que Singapur otor ga, además de incentivos para los inversores en 
determinados servicios, incentivos de carácter  no fiscal como subvenciones a determinadas 
actividades, sobre todo las relacionadas con sect ores de alto valor agregado, capacitación, e 
investigación y desarrollo. ¿En qué consisten estos in centivos y cuál es la norma legal que los regula? 
 
III. POLÍTICAS Y PRÁCTICAS COMERCIALES, POR MEDIDAS 
2) M
EDIDAS QUE AFECTAN DIRECTAMENTE A LAS IMPORTACIONES  
ii) Aranceles 
d) Extensión de derechos y concesiones 
 WT/TPR/M/202/Add.1 
Page 20  
 
  Párrafo 14, página 45 
 En este párrafo, el informe indica que se pueden so licitar exenciones de derechos de aduana y de 
impuestos especiales para la importación de cierto s productos que sean utilizados por las industrias 
nacionales, tales como materias primas o intermed ias. Desearíamos obtener más información sobre el 
funcionamiento y los productos inclui dos en este mecanismo de exenciones. 
 
iii) Otras cargas que gravan las importaciones 
a) Impuesto sobre los bienes y servicios 
 
Párrafo16, página 46 
 En este párrafo se menciona que el Gobierno apli ca un programa de desgrav ación de impuestos sobre 
bienes y servicios, denominado “Programa para E xportadores Importantes (MES)”, según el cual el 
impuesto sobre los bienes y servicios es diferido en el punto de importación y sólo se paga si las 
mercancías importadas se venden en el merca do nacional. ¿Cuáles son los sectores que pueden 
beneficiarse de la exención? ¿Los criterios para otorgar la categoría de “Exportador Importante”, son 
exclusivamente los que figuran en el Cuadro A.III. 1? ¿Dónde  se encuentra publicado el listado de 
empresas autorizadas?  
3) M
EDIDAS QUE AFECTAN DIRECTAMENTE A LAS EXPORTACIONES  
i) Procedimientos  
Párrafo 65, página 60  
En este párrafo el informe menciona que, en virtud  de la Ley de Control de Productos Estratégicos, 
los exportadores de productos considerados est ratégicos deben obtener  un permiso válido del 
Departamento de Aduanas antes de la exportaci ón. Según el informe, dichos productos están 
enunciados en una lista, la cual además se ha ampliado desde el 1°  de Enero de 2008. ¿Cuál es la 
finalidad de esta Ley? ¿Bajo qué criterios  un producto se considera “estratégico”?  
 iv) Ayuda a la exportación 
 
Párrafo 73, página 61  En este párrafo, el informe indica que el Gobierno,  en el marco del Progr ama Global para Empresas 
(GTP), aplica un tipo impositivo preferencial del 5%  o del 10% en relación con las actividades de 
comercio internacional que reúnan de terminados requisitos y se refieran a productos básicos y otros 
productos aprobados. ¿Cuáles son las actividades de comercio internacional a las que se otorga este 
incentivo? ¿Podrían especificar los productos que están incluidos?  
4) M
EDIDAS QUE AFECTAN A LA PRODUCCIÓN Y AL COMERCIO  
iii) Impuestos c) Incentivos fiscales 
 Párrafo 109, página 73 
 
En este párrafo, el informe menciona que el G obierno ha elaborado un nuevo programa de incentivo 
fiscal para alentar a las compañías a emprender ac tividades de alta tecnología, que consiste en 
concesiones tributarias a las regalías. ¿Este programa ya se encuentra en vigencia? ¿En qué consisten las concesiones tributarias? ¿Que requisitos deben cumplir las empresas para acceder a este beneficio?   WT/TPR/M/202/Add.1 
 Page 21 
 
 
  Párrafo 110, página 75 
 En este párrafo se indica que el Gobierno ha introd ucido algunas medidas adicionales para promover 
el desarrollo de Singapur como centro financiero, c on mayores incentivos fiscales para la gestión de 
activos y capitales, mercados de capitales y de título s del Tesoro, y seguros cautivos. ¿Cuáles son y en 
qué consisten dichos incentivos? 
 Párrafo 110, página 75  En este párrafo se indica que se ha creado un nuevo incentivo financiero para el desarrollo del sector 
marítimo que ofrece una exención fiscal para las in versiones que reúnan determ inados requisitos y un 
tipo fiscal preferencial del 10 % para los gestores de inversiones en transporte marítimo que cumplan las condiciones exigidas. ¿Cuáles son los “requis itos” y las “condiciones ex igidas” a las que se hace 
referencia?  IV. POLÍTICAS COMERCIALES POR SECTOR 3) S
ECTOR MANUFACTURERO  
ii) Políticas sectoriales básicas 
 
Párrafo 13, página 90 
 
En este párrafo el informe indica que, con el objetivo de consolidar la base tecnológica de Singapur y fortalecer los conglomerados de sectores industrial es basados en conocimientos, el estado ofrece 
incentivos de carácter fiscal para fomentar la innovación por parte de las empresas que operan en el país. ¿Podrían explicar en qué consisten estos incen tivos fiscales, son exclusivamente los incluidos en 
el Cuadro A.III.7? 
 
5) S
ERVICIOS  
iii) Servicios bancarios y otros servicios financieros 
a) Panorama general  
Párrafo 30, página 97  En este párrafo se menciona que Singapur otorga  determinados incentivos a las instituciones 
financieras, particularmente tipos impositivos reducidos para aquellas actividades calificadas de 
importantes para el crecimiento del sector financiero  de Singapur. ¿Cuáles son los criterios que deben 
cumplir las instituciones financieras para acceder  a estos incentivos? ¿Cuáles son las actividades 
consideradas “importantes para el crecimie nto del sector financiero de Singapur”? 
 b) Sector bancario  
Párrafo 31, página 97 
 En este párrafo el informe indica que desde 2007, la Ley de Bancos y otras disposiciones legales en 
materia financiera han sido objeto de importantes m odificaciones con el fin de reforzar las facultades 
de la MAS para resolver la situación de los ba ncos que atraviesan dificu ltades financieras o son 
insolventes. ¿Podrían especificar en que consisten estas modificaciones? 
 Párrafo 32, página 98  En este párrafo el informe menciona que a algunos ba ncos se les ha concedido la condición de “banco 
con autorización plena”, que permite realizar una  gama más amplia de operaciones bancarias WT/TPR/M/202/Add.1 
Page 22  
 
  permitidas. ¿Cuáles son los criterios que debe cump lir un banco para obtener la “autorización plena” y 
cuáles son las operaciones adicionales que dicha autorización les permite realizar?  
v) Transporte 
c) Transporte marítimo  
Párrafo 75, página 116  En este párrafo el informe indica que Singapur tiene  4 programas regímenes de incentivos para las 
empresas navieras y aquellas relacionadas con la  navegación, basados en tipos impositivos 
preferenciales, con el objetivo de proporcionar a dichas empresas un entorno favorable al desarrollo 
de sus actividades. ¿Cuáles son los requisitos que debe cumplir una empresa para acceder a estos beneficios?   PREGUNTAS ADICIONALES  
WT/TPR/S/202, INFORME DE LA SECRETARIA  
III. POLÍTICAS Y PRÁCTICAS COMERCIALES, POR MEDIDAS  
2) M
EDIDAS QUE AFECTAN DIRECTAMENTE A LAS IMPORTACIONES  
vii) Normas y medidas sanitarias y fitosanitarias 
 
Párrafo 48, página 55  En este párrafo el informe indica que en la actua lidad, las importaciones de huevos frescos provienen 
de granjas acreditadas en Australia, los Estados Un idos, el Japón, Malasia y Nueva Zelandia y que los 
pollos y patos para asar sólo se pueden importar de granjas acreditadas de Malasia. ¿Podría Singapur 
informar cuáles son los criterios que rigen la comercialización de huevos frescos y ovoproductos, así 
como de otros productos avícolas?   
REPUBLIC OF KOREA
 
 
TRADE POLICIES BY SECTOR 
 
Services - Banking and Other Financial Services 
 1. According to the Secretariat Report (parag raph 31, page 82), to enhance protection for 
Singapore depositors, the Monetary Authority of Si ngapore (MAS) introduced an asset maintenance 
regime to help improve recovery of assets from a fo reign bank branch in Singapore, should it fail.  
Please provide us detailed information with regard to the asset maintenance regime. 
 Services - Professional Services 
 
2. According to the Secretariat Report (parag raph 101, page 103), to provide architectural 
services in Singapore, an architect is required to register with the Board of Architects, pass the 
prescribed examination and have at least two years of practical experience. These requirements can 
act as an obstacle to foreign architects wishing to do business in Singapore. In  the case of Korea, there 
is no such requirement for registration with a professional organization. Furthermore, Korea 
recognizes foreign architect licenses in case a joint co ntract with Korean architects is pursued. Please 
elaborate the Singapore Government's plans, if any, to ease these requirements.   WT/TPR/M/202/Add.1 
 Page 23 
 
 
  AUSTRALIA  
 
SUMMARY OBSERVATIONS  (5) S
ECTORAL POLICIES  
 1. Australia notes that Singapore has an open services economy, but this is not reflected in its 
Uruguay Round commitments or Doha Services offe r.  A priority for Australia is improved 
commitments on professional services.  Singapore has made no offer on legal services and has an 
MFN exemption on legal services.  
 - Why is such a restriction in place? - Are there plans to make commitments in this key services sector?   COLOMBIA 
 
 
Reporte de la Secretaría WT/TPR/S/202  I. ENTORNO ECONOMICO  
 
2) R
ESULTADOS ECONÓMICOS RECIENTES  
"7. La globalización ha beneficiado al conjunto de los singapurenses, aunque a algunos más que a 
otros.  Muchos de los trabajadores de mayor edad  y menor nivel educativo siguen siendo vulnerables 
al desempleo estructural a medida que la economía se reestructura y las actividades de manufactura y 
servicios ascienden en la escala del valor añadido.   Aunque han aumentado los ingresos de todas las 
capas de la población, la disparidad entre los ingr esos familiares se ha ampliado durante el período 
objeto de examen a causa del mayor incremento de  los salarios de los trabajadores calificados y 
especializados.  El Gobierno ha reconocido que las desigualdades en los ingresos pueden socavar la 
cohesión social y ha tomado medidas para afront ar este problema mediante, entre otras cosas, un 
suplemento salarial condicionado para los trabaja dores de salario bajo de mayor edad, una mayor 
inversión en la mejora de las calificaciones, y un in cremento de la asistencia prestada a los hijos de las 
familias de ingresos bajos."  
 
1. ¿En que consiste el suplem ento salarial adicional?  
 
2. ¿Qué características tiene y bajo qué condiciones se entrega?  
 
4) P OLÍTICAS ESTRUCTURALES  
"26. El Gobierno ha cont inuado la reforma de la reglamentación de varios sectores de servicios 
(telecomunicaciones, electricidad y gas) y ha elevado o eliminado los límites impuestos a la inversión extranjera (por ejemplo, en el caso de las te lecomunicaciones, los servicios financieros y la 
electricidad).  Se han adoptado algunas medidas para restringir las funciones de las empresas 
vinculadas a la administración (EVA), que operan en muchos sectores; en el período objeto de examen se han privatizado algunas de esas empresa s, aunque aún no se sabe con certeza cuál es su 
cuota de mercado en los numerosos sectores en lo s que operan.  Por otro lado, después de mucho 
tiempo de desatender el posible establecimiento de una ley general sobre la competencia, el Gobierno 
aprobó una ley sobre esa materia en 2005."   
3. ¿Cuáles son las medidas adoptadas que restringen las funciones de las Empresas Vinculadas a 
la Administración (EVA)?  WT/TPR/M/202/Add.1 
Page 24  
 
  4. ¿Cuáles son los aspectos más importantes que cubre la ley de competencia recientemente 
expedida? 
 
7) P
ERSPECTIVAS  
"40. Entre los retos sociales que afronta Singapur, las tendencias demográficas al descenso de las 
tasas de fertilidad y el aumento de la esperanza de  vida están dando lugar a un rápido envejecimiento 
de la población, lo que podría contribuir a una posib le disminución de la ge neralizada propensión al 
ahorro de los singapurenses, a medida que un númer o creciente de jubilados dependa cada vez más de 
sus ahorros (y no de sus ingresos) para financiar su consumo.  El Gobierno ha venido ayudando a la 
población a preparar su situación financiera con vistas  a la jubilación mediante constantes reformas de 
las políticas a largo plazo relativas al empleo, la form ación, los planes de pensiones, la vivienda, y la 
sanidad." 
5. ¿En qué consisten las reformas políticas que se mencionan, referentes al empleo, la 
formación, los planes de pensiones, la vivienda, y la sanidad.   
 II. REGIMEN DE LA POLITICA COMERCIAL: MARCO Y OBJETIVOS  3) D
ESARROLLO Y ADMINISTRACIÓN DE LA POLÍTICA COMERCIAL   
 ii) Transparencia   
"15. El Ministerio de Comercio e Industria c onsulta a los medios empresariales con regularidad, 
principalmente por medio de reuniones con l as diversas cámaras de comercio y asociaciones 
comerciales de Singapur, como la Federación de Empresas de Singapur (SBF).  La SBF, establecida en 2002 en virtud de la Ley relativa a la Federaci ón de las Empresas de Singapur, representa al mayor 
número de empresas de Singapur y es uno de los órga nos que ejercen de enlaces con el Gobierno en 
relación con los intereses de los medios empresaria les de Singapur.  También se celebran consultas 
con el Consejo Nacional Salarial, de carácter trip artito, el Congreso Nacional de Sindicatos y la 
Asociación de Consumidores de Singapur de manera  regular.  En ocasiones, pueden crearse comités 
nacionales para examinar cuesti ones específicas (como el Comité de Análisis Económico en 2001-
2003).  Los comités suelen incluir representantes de los ministerios, los organismos oficiales, y el sector privado.  Los proyectos de ley o direct rices pueden publicarse para su consulta pública, 
normalmente a través del sitio Web de los minist erios y organismos oficiales correspondientes". 
6. ¿Las conclusiones y/o el resultado de las c onsultas que hace el Gobierno a los medios 
empresariales, es para el Gobierno de Singapur de carácter obligatorio tenerlas en cuenta, o es 
el cumplimiento de un requisito? 
 7. ¿Pueden los Gobiernos o personas naturales de otros países hacer comentarios a los proyectos 
de Ley publicados pa ra consulta?   
 8. En caso afirmativo, ¿Son tenidos en cuenta est os comentarios para la redacción final de los 
proyectos de ley? 
 
5) R
ÉGIMEN DE INVERSIÓN EXTRANJERA  
 
ii) Incentivos. 
 
"48… Los incentivos suelen inclui r concesiones en los tipos impositivos  a las sociedades de entre el 5 
y el 15 por ciento (el tipo normal es el 20 por ciento , que se reducirá al 18% a partir de la evaluación 
de 2008) o bien exenciones del impuesto de so ciedades, dependiendo del régimen.  Además hay  WT/TPR/M/202/Add.1 
 Page 25 
 
 
  incentivos para los inversores en varios servicios, como los servicios financieros, el turismo, los 
servicios de los medios de comunicación y las telecomunicaciones…".  9. ¿Cuáles son los incentivos adicionales a los me ncionados otorgados a los inversores en el 
sector de servicios de turismo? 
 III. POLITICAS Y PRÁCTICAS COMERCIALES, POR MEDIDAS  1) I
NTRODUCCIÓN  
"3…Las Empresas Vinculadas a la Administración (EVA) están formadas principalmente por 
empresas vinculadas a Temasek, que se admini stran y compiten según la práctica comercial, 
independientemente del Gobierno.  Durante el perí odo objeto de examen, Temasek, ha privatizado en 
cierta medida las EVA; no obstante, las EVA a ún operan en muchos sectores de la economía…" 
 
10. ¿En las privatizaciones que se han hecho en algunas Empresas Vinculadas a la 
Administración (EVA) pueden participar empresas de capital extranjero? 
 
2) M EDIDAS QUE AFECTAN DIRECTAMENTE A LAS IMPORTACIONES  
 i) Procedimientos Aduaneros  
"5… todas las importaciones deben acompañarse de facturas, listas de bultos, conocimientos de 
embarque y cualquier otro tipo de documento per tinente.  Ciertos productos pueden requerir otros 
documentos…" 
"6. Las autoridades consideran que las ventajas de TradeNet son numerosas
1.  Ofrece un mejor nivel 
de servicio a la comunidad comercial y mejora la gestión de los recursos humanos tanto para los 
comerciantes como para los organismos.  Los doc umentos pueden transmitirse electrónicamente y los 
permisos que se aprueben pueden recibirse por la mism a vía, todo ello durante las 24 horas del día.  
Además, la duración del proceso de aprobación se ha reducido a 10 minutos en promedio comparado con un período de dos a siete días.  La elimin ación del papeleo y la deducción automática de los 
derechos e impuestos también han reducido los cost os comerciales para los comerciantes.  Otras 
ventajas que cabe citar son las siguientes: un control aduanero más eficaz, que mejora la gestión de 
riesgos; una aplicación uniforme de la legislaci ón aduanera; y una elab oración más rápida de 
estadísticas comerciales.  Singapur también lanzó la iniciativa TradeXchange para facilitar las 
corrientes de información entre los sistemas comercial y reglamentario. 
11. ¿Podría el Gobierno de Singapur compartir su experiencia en cuanto a la Iniciativa de 
TradeXchange?  
 
12. ¿En qué consiste esta iniciativa? 
 13. Colombia nota que, no obstante la automatizaci ón de este trámite, las autoridades de Singapur 
exigen la presentación de la documentación relativa a las importaciones que consideren pertinente.  ¿De qué manera la aplicación de l sistema TradeNet y de la iniciativa 
TradeXchange permitirían detectar casos de subfacturación y/o lavado de activos? 
 
                                                     
 
1 Documento TN/TF/W/58 de la OMC, de 25 de julio de 2005, página 4. WT/TPR/M/202/Add.1 
Page 26  
 
  viii) Contratación Pública 
 
"60. Para mejorar la eficiencia administrativa, t odos los proveedores interesados en participar en los 
programas de contratación pública de Singapur de ben registrarse como interlocutores comerciales 
GeBiz para acudir a licitaciones
2; (quienes no sean interlocutor comercial GeBiz sólo pueden 
consultar las ofertas de licitación, pero no acudir a ellas).  El Registro de Proveedores del Estado no es 
obligatorio para acudir a licitaciones en lo que r especta a bienes y servicios en general, aunque en 
algunas licitaciones se puede exigir a los proveedores que estén registrados para poder optar a ellas".  
 
14. ¿Cuáles son los requisitos para la partic ipación de proveedores extranjeros en las 
contrataciones públicas? 
 15. ¿Dentro de los requisitos para proveedores extr anjeros se incluye el estar inscrito en el 
registro de proponente para el caso de proveedores extranjeros?   
 
16. Si es así, ¿con qué periodicidad se renueva el registro? 
  
JAPAN
 
 
The Secretariat Report (WT/TPR/S/202)  III. TRADE POLICIES AND PRACTICES BY MEASURE 
(2) M
EASURES DIRECTLY AFFECTING IMPORTS  
(v) Import prohibitions, restrictions, and licensing 
 
(Question 1: page 41, paragraph 23) 
 As for the import prohibitions and restrictions, the Secretariat report states that imports of cars of 
three years and older are banned for en vironmental and road-safety reasons. 
 
 Please elaborate on these reasons. 
 
(viii) Government procurement 
 
(Question 2: page 49, paragraph 57) 
 With regard to preferential treatment for go vernment procurement under bilateral FTAs, the 
Secretariat report mentions 'the threshold (is) S$223,800 for goods and services except construction, 
under the FTA with Japan'. According to the Singapo re’s notification to WTO of the exchange rate 
between SDR and S$, Japan understands that the threshold would be 'S$233,800'. 
  Could Singapore kindly explain the method of calculating ‘S$223,800’? 
 
(viii) Government procurement 
 
(Question 3: page 49-50aragraph 60) 
  (1) Please explain how suppliers are registered as GeBiz Trading Partners. 
 
                                                     
 
2 El Registro de Proveedores del Estado se efectúa en Oficina DP designada por el Ministerio de 
Hacienda (información en línea del Grupo de información DP.  Consultado en:  http://www.dpgroup.com.sg).  WT/TPR/M/202/Add.1 
 Page 27 
 
 
   (2) Please indicate whether or not some conditions  need to be fulfilled for suppliers to be 
registered. 
 
 (3) Please explain the specific relationship between the GeBiz Trading Partners and the 
Government Supplier Registration (GSR)'. Do  the suppliers need to fulfill certain 
conditions to be registered as GSR? 
 
(4) M EASURES AFFECTING PRODUCTION AND TRADE  
(iv) Competition policy 
 (Question 4: page 65, paragraph 117) 
 
According to the Secretariat report, The CCS issued  its first infringement decision for a bid-rigging 
case in January 2008. Japan is of the view that  the enforcement against the specific case would 
contribute to sound competitive environment and we appreciate this first step.  
 
 In this regard, please explain the details about the case. 
 
IV. TRADE POLICIES BY SECTOR 
(5) S
ERVICES  
(iii) Banking and other financial services 
 (Question 5: page 89, paragraph 40) 
 
(1) In the previous TPR of Singapore, Japan submitted the written question regarding risk-based 
capital framework in Singapore. In the question,  although the cross-border supply (Mode 1) of 
reassurance in Singapore is committed to none of  the limitations both on market access and on 
national treatment, ‘in the case of ceding to a fore ign reinsurance company more rate of liability 
reserves are required for a direct insurance company to be deposited than in the case of ceding to a 
domestic reinsurance company under the introduc tion of risk-based capital regulation. Singapore 
replied ‘such an authorisation framework to su pervise cross border reinsurance is a prudential 
measure that is consistent with international st andards of insurance supervision recommended by the 
International Association of Insurance Supervisors.  The prudential requirements are also consistent 
with Singapore's commitments and rights under GA TS and are similar to those found in other 
established insurance markets.’ 
 
 Japan would like Singapore to explain again why this framework is a prudential measure. 
 (2) According to the Secretariat report, the ri sk-based capital framework has been amended since 
the previous TPR.   Please provide specific information on the reform of the aforementioned liability reserves if 
any. In addition, please indicate consistency of su ch reformed liability reserves system with the 
obligations of the GATS.    
(iv) Communications 
 
(Question 6: page 92, paragraph 50)  
According to the Secretariat report, under the Telecom Competition Code, the dominant licensee is 
obliged to offer competing licensees three options  for interconnection. Among these options, ‘any 
existing interconnection agreement between the dom inant supplier and any other licensee’ and ‘an 
individualized agreement between the dominant a nd requesting licensee’ would enable the dominant WT/TPR/M/202/Add.1 
Page 28  
 
  supplier to provide specific licensees with interconne ction in more advantage ous conditions and rates 
than other licensees. Japan, therefore, is of the view that in some cases these options could be 
inconsistent with the Telecommunication Refere nce Paper 2.2. in which Singapore has already 
committed to the interconnection with a major s upplier under non-discriminatory terms, conditions 
and rates.       
 In this light, please indicate how Singapore ensu res the consistency of these options with its 
specific commitment of the GATS.  
(v) Transport 
 
(Question 7: page 97-98, Table IV.5) 
 
(1) Concerning the description on Singapore Regi stry Scheme (SRS) in Table IV.5 of the 
Secretariat Report, it seems inappropriate to mentio n that "foreign" registered vessels are covered by 
the SRS for the reason that, literally speaking, th e SRS seems to deal with only Singapore flagged 
vessels. Japan, rather, guesses that this description would concern about Section 13A of the Singapore 
Income Tax Act.    In this light, please give us further clarificati on of this description. In addition, Japan would 
like Singapore to clarify the relationship between SRS and Section 13A of the Singapore Income Tax 
Act. 
 
(2) In relation with the descrip tion on Approved Internat ional Shipping Enterprise Scheme (AIS) 
in Table IV.5 of the Secretariat report, Japan understands that Singapore flagged vessels are exempt 
from cooperate tax under Section 13A of the Singa pore Income Tax Act even though they are not 
approved under the AIS. In this respect, it seems in appropriate that "Singapore" flagged vessels are 
covered by the AIS, as described in the features.    In this light, please give us further clarificati on of this description. In addition, Japan would 
like Singapore to clarify the relationship between AIS and Section 13F of the Singapore Income Tax 
Act. 
 
 
CHINESE TAIPEI
 
 
SECRETARIAT REPORT:  WT/TPR/S/202 
 
I. ECONOMIC ENVIRONMENT  
(4) S TRUCTURAL POLICIES  
 
Question 1: (Page 10, Paragraph 23) 
 It is stated in the report that Singapore has conti nued to undertake a range of structural reforms in 
response to challenges posed by accelerated  globalization and increased competition. 
Apart from tax incentives, could Singapore please indicate which of its deregulatory measures have 
proved the most effective in attracting foreign investment and improving the competitiveness of its 
industries? 
  WT/TPR/M/202/Add.1 
 Page 29 
 
 
  II. TRADE POLICY REGIME: FRAMEWORK AND OBJECTIVES 
(4) TRADE  AGREEMENTS  AND  ARRANGEMENTS   
(iii) Bilateral agreements 
Overview of FTA coverage  
 Question 2: (Page 30, Paragraphs 38 & 39) 
 
As indicated, there is a wide range of different kinds of rules of origin within the spectrum of 
Singapore’s bilateral agreements. Singapore also h as the view that FTAs can be used as building 
blocks for a stronger multilateral trade liberalization framework. 
 
a) Could Singapore kindly share with us its observati ons as to whether such a multi-rule system 
has caused confusion or incon venience during implementation? And, if this has been the case, 
what could be done to improve the situation? 
 
b) Bearing in mind that most FTAs signed or ne gotiated by WTO Members currently are in fact 
bilateral FTAs as opposed to Regional FTAs, doe s Singapore still hold the view that these 
bilateral FTAs can have positive effects on the multilateral trading system? Moreover, what 
steps can be taken to multilateralize those WTO- plus FTAs in the style of, say, the revised 
"new age" partnership agreemen t between Singapore and Japan?  
 
III. TRADE POLICIES AND PRACTICES BY MEASURE 
(2) M
EASURES DIRECTLY AFFECTING IMPORTS  
(vi) Contingency measures (a) Anti-dumping and countervailing measures 
 
Question 3: (Page 42, Paragraphs 28 & 30)  
Although Singapore has an anti-dumping law in place, we have observed that no anti-dumping measures have been notified during the period under review. 
 
Is it Singapore’s current policy not to initiate any anti-dumping investigations? 
 
(3) M
EASURES DIRECTLY AFFECTING EXPORTS  
(iv) Export assistance  
Question 4: (Page 51, Paragraph 73)  
As stated, the Global Trader Programme (GTP) provid es a concessionary tax rate of 5% or 10 % on 
approved commodities and products.  
 
a) Could Singapore please explain, and if possibl e give some examples of, the scope of 
commodities and products that may be appro ved under the GTP, and also describe what 
would constitute “qualifying int ernational trading activities?”  
 
b) We would also appreciate having more information on Singapore’s rationale for having two 
different concessionary rates, and how they are applied respectively?  
 
c) One of the criteria of the GTP, as indicated in footnote 42, is that the applying companies 
“must have substantial offshore physical tradi ng activity.” Could Singapore please elaborate 
further on whether the fulfillment of such crit erion is measured by the applicant’s export 
performance? 
 WT/TPR/M/202/Add.1 
Page 30  
 
  Question 5: (Page 52, Paragraph 74) 
 
Export insurance and guarantees are available from se veral foreign insurers and a local company. 
 We would be grateful if Singapore could please pr ovide more information on these types of export 
assistance, including, for example, their purpose, and the terms and conditions for conferring export 
insurance and guarantees. 
 Question 6: (Page 52, Paragraph 75) 
 
As indicated, the export promotion and marke ting assistance is mainly provided by IE.  
 
We would appreciate receiving more information, if av ailable, on the cost benefit analysis relating to 
the above-mentioned assistance.   
(v) Free Trade Zones 
 Question 7: (Page 52, Paragraphs 76-78) 
 
We note from the report that around 47% of exports  in 2006 were accounted for by re-exports, and 
free trade zones provide services and facilities for the re-export trade.   
 
Could Singapore please clarify whether GST is exem pted for goods imported into its FTZs and, before 
re-export, undergo inspection, testing, collation, cl assification, segmentation, assembling, repacking 
or even substantial transformation process in the FTZs  ? If so, could Singapore please further provide 
details of the legal basis for such exemption? 
 
(4) MEASURES  AFFECTING  PRODUCTION  AND  TRADE   
(iii) Taxation  Question 8: (Page 62, Paragraph 104) 
 Companies will benefit from an increase in the pa rtial tax exemption (PTE) threshold from S$ 
100,000 to S$ 300,000 with effect from 2008 , which reduces the effective tax rate. 
 
Could Singapore please confirm whether the incr ease on the above-mentioned PTE is applicable to 
all companies, whether or not owned by foreigners? If not the case, we would appreciate having more 
information about the criteria used to  determine availability of the PTE. 
 Question 9: (Page 64, Paragraph 110) 
 It is stated that a new Maritime Finance Incentiv e offers a tax exemption for qualifying investment 
and a 10% concessionary tax rate for qua lifying shipping investment managers. 
 
a) Could Singapore please explain further, with examples, what would constitute the above-
mentioned “qualifying investment? Are there cr iteria in place for obtaining the above-
mentioned exemption? 
 b) If available, could Singapore provide inform ation relating to the change of its shipping 
industry’s GDP share before and after the implementation of this new incentive? 
  WT/TPR/M/202/Add.1 
 Page 31 
 
 
  (iv) Competition Policy 
 Question 10: (Page 65, Paragraph 115) 
 
The report mentions that certain activities, such as the supply of ordinary letter and postcard services, 
are excluded from the Competition Act of Singapore.  
 
It would be appreciated if Singapore co uld please provide further information on: 
 
(1) the main reasons for these activities being excluded? 
 (2) whether these activities are fully or partly excluded? 
 
(3) whether there is any programme or schedul e for incorporating th ese activities into the 
Competition Act?  
 
IV. TRADE POLICIES BY SECTOR  
(4) E
NERGY AND WATER  
 Question 11: (Page 77, Paragraph 18) 
 As indicated, with the approval of the Minister of  Trade and Industry, the EMA may grant exemptions 
from the competition provisions under the Electricity and Gas Acts. 
 
We understand that currently there are no above- mentioned exemptions. Could Singapore please 
share with us the criteria, if any , used by the EMA in determining whether an exemption should be 
granted?  
 
Question 12: (Page 79, Paragraph 20) 
 
As indicated in the Report, the EMA is studying the feasibility of the electricity vending system 
(EVS) to retail electricity to small consumers more efficiently.  Could Singapore please provide more information,  if available, on whether the retail tariff for 
electricity will be negotiable, and how the s upply obligation to customers can  be ensured?  
 
IV. TRADE POLICIES BY SECTOR  
(5) S
ERVICES  
(iii) Banking and other financial services 
 Question 13: (Page 82, Paragraph 32 & Pages 87, Box IV2) 
 It is indicated the report that, as part of Singapor e’s liberalization programme, six foreign banks were 
granted Qualifying Full Bank (QFB) privileges or full service licences.  On the other hand, 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.  
 
It is our view that the limitation on granting mo re foreign banks with new licences for full-service and 
on the business scope of the wholesale banks woul d constitute a less favourable and unfair operating 
environment for most foreign banks. We would therefore appreciate knowing whether Singapore has 
a plan in place to allow more foreign banks to est ablish new full-services, or to lift the restriction on 
retail operations imposed on wholesale banks? WT/TPR/M/202/Add.1 
Page 32  
 
  Question 14: (Page 86, Paragraph 34) 
 
The Singapore Government intends to upgrade a ll offshore banks to wholesale banking status over 
time. The MAS has issued 33 new wholesale bank licences since 2001 as part of the liberalization 
programme.   a) If already available, could Singapore plea se describe the qualification requirements for 
upgrading offshore banks to wholesale banks, and prov ide further details of  the liberalization 
programme and its timetable?  
 
b) Does Singapore also plan to upgrade whol esale and offshore banks to full-service banks?  
 
ADDITIONAL QUESTION 
 
SECRETARIAT REPORT:  WT/TPR/S/202 
 Question: (Page 52, Paragraphs 76-78) 
 We note from the report that around 47% of exports  in 2006 were accounted for by re-exports, and 
free trade zones provide services and facilities for the re-export trade.   
 
Could Singapore please clarify whether goods owned by a foreign company which are shipped from 
abroad into a Singapore FTZ and, before re-shipme nt to another overseas fo reign company,  undergo 
inspection, testing, collation, classification, segme ntation, assembly, repacking, or even substantial 
transformation while in the FTZ, are exempted from corporate tax?  It would be further appreciated if 
Singapore could please provide details of its releva nt tax laws and exemptions that apply in such 
cases. 
 
 
INDONESIA  
 
I. ECONOMIC ENVIRONMENT 
 Recent Economic Performance  
The Secretariat Report (paragraph 5, page 3) states that  "Inflation edged up to a yearly average of 
1.7% in 2004, from 0.5% in 2003, partly reflecting a jump in the prices of oil-related items (such as 
electricity and gasoline) as well as above-avera ge increases in healthcare and education costs". Could 
the Singapore indicate the amount of increases in healthcare and education? 
 
The Secretariat Report (paragraph 7, page 4) notes that Singapore Government gave the Workfare 
Income Supplement for older low-wage workers, greater investment in skills upgrading, and 
enhancing assistance for children from lower-income families. Could the Singapore describe the 
scheme of the Workfare Income Supplement? 
 Structural Policies 
 
The Secretariat Report (paragraph 25, page 11) notes that in services, it was felt that Singapore has 
"not been as aggressive and proactive" as in manufac turing, and therefore steps had to be taken to 
rectify this imbalance. In this respect, please give more informa tion regarding the steps that will be 
taken to rectify imbalance in the services?  
  WT/TPR/M/202/Add.1 
 Page 33 
 
 
  II. TRADE POLICY REGIME:  FRAMEWORK AND OBJECTIVES 
 Foreign Investment Regime  
The Secretariat Report (paragraph 51, page 33) on Taxation agreements states that “Under the DTA 
with China, Singapore gives unilateral "tax sp aring" relief to income derived from China”. Could the 
Singapore indicate the amount of the relief and the benefit of this relief?  
 III. TRADE POLICIES AND PRACTICES BY MEASURE   Introduction 
 
The Secretariat Report (paragraph 3, page 34) notes that “in an attempt to attract foreign investment and direct it into high value-added activities, Singa pore makes use of a broad range of tax and non-tax 
incentives”. We would appreciate to have further explanation regarding tax and non-tax incentives 
scheme?  
 
Measures Directly Affecting Imports 
 
The Secretariat Report (paragraph 25, page 42) states that “to meet emergency requirements, Singapore maintains a stockpile sch eme for rice, a staple food of  which there is no domestic 
production”. May we have some details regarding m echanism of those stockpile schemes? 
 
The Secretariat Report (paragraph 40, page 45) notes that “the SPRING Singapore also administers 
mandatory technical regulations as parts of th e Consumer Protection (Safety Requirements) 
Registration Scheme”. Indonesia wishes to have further explanation regarding mechanism of 
Consumer Protection (Safety Requi rements) Registration Scheme? 
 
The Secretariat Report (paragraph 47, page 46) states that "the AVA prohibits beef imports from nations in which Bovine Spongiform Ence phalopathy (BSE) has been detected". Could the Singapore 
give information about the current nations t hat been detected with Bovine Spongiform 
Encephalopathy (BSE)? 
 
Measures Directly Affecting Exports  
 
The Secretariat Report (paragraph 72, page 51) stat es that “Under the Customs Act (Part IX), duty 
drawback may be granted to exporters.  However, these provisions are not in use”. Could the 
Singapore give information why these provision not in use? And under what circumstances that duty 
drawback may be granted? 
 
The Secretariat Report (paragraph 75, page  52) notes the Double Tax Deduction Scheme.  Indonesia 
wishes to have further explanation regarding m echanism of the Double Tax Deduction Scheme? 
 
Measures Affecting Production and Trade 
 
The Secretariat Report (paragraph 95, page 57) states that "in seeking to increase its Asian exposure, Temasek is sometimes viewed as the investment arm of the Singapore Government and acquisitions can come up against local resistance…..Temasek was also the focus of debate in 2007 in the WT/TPR/M/202/Add.1 
Page 34  
 
  Indonesian Parliament, where legislators called on the Indonesian Government to take back control of 
telecom company Indosat from Temasek amid a bilate ral dispute that also affected sand deliveries". 
Indonesia seeks clarification regarding those statements?  Indonesia also seeks explanation regarding 
Indosat share sale by STT’s, meanwhile the case was still in the process at the Indonesia’s Supreme 
Court? 
 
The Secretariat Report (paragraph 95, page 57) st ates that “property-tax exemption for land under 
development may be granted in certain cases”. Could the Singapore give an example of those certain 
cases?   THE PHILIPPINES
 
 
1. In 1999, Singapore liberalized foreign bank entry to the domestic banking system by 
removing the 40 percent ceiling on foreign ownershi p (page 82, paragraph 32, of the Secretariat 
report).  The Philippines would like to inquire if this, as well as other liberalizing policies adopted 
since the conclusion of the Uruguay Round, will be bound as new GATS commitments in the DDA? 
 2.  As a related matter, does the liberalization program cover the retail business of banks, which 
is still dominated by domestic banks? 
 3. The Philippines would like to inquire about the regulations, restricti ons and limitations on 
market access and national treatment in money transfer services.    
(a) Are foreign banks allowed to provide this service, including as a stand-along service? 
 
(b) Does Singapore intend to bind existing regulations in respect of money transfer services 
as new GATS commitments in the DDA? 
 4. Singapore's import restrictions are based mainly on environmental, health, and public security 
concerns.  Does Singapore impose import restricti ons on hazardous wastes?  If so, what would these 
be? 
 
5. The Secretariat report notes that in 2007, Singa pore made amendments to its Environmental 
Pollution Control Act (Page 24, paragraph 17(iii). (a ) How would this legislation work within the 
context of trade liberalization? (b) Does this Act govern all aspects of environmental pollution? 
 
 
HONG KONG, CHINA
 
 MFN Exemptions 
(WT/TPR/S/202, P. 81, Para. 27) 
 1. As reflected in the Secretariat Report as well as Singapore’s GATS schedule of commitments, 
Singapore currently maintains nine MFN exemptions , and nearly all are of indefinite intended 
duration.  We encourage Singapore to consider removing the remaining exemptions in its next 
offer.  If immediate removal of the exemption is considered not possible at this juncture, 
would Singapore consider setting down a sp ecific expiry date for the exemptions? 
  WT/TPR/M/202/Add.1 
 Page 35 
 
 
  Banking and other financial Services 
(WT/TPR/S/202, P. 82, Para. 30) 
 2. We note from the Secretariat Report that both fo reign and national fina ncial institutions may 
obtain tax incentives under the Financial Sector Incentives Scheme as long as they are able to 
meet the qualifying criteria.  We would be grat eful for Singapore’s clarification as to whether 
foreign financial institutions are accorded full national treatment when being considered for 
and granted those tax incentives.   
 
(WT/TPR/S/202, P. 82-83, Para. 32) 
 
3. As noted from the Secretariat Report, Singapore has undertaken quite a number of 
liberalisation measures for the financial services sect or in the past decade or so, including the 
removal of the 40% ceiling on fo reign ownership of domestic banks and the 20% aggregate 
foreign shareholding on finance companies, the granting of Qualifying Full Bank privileges 
and full service licences to six foreign banks, and to our understanding, the removal of the 
49% restriction on foreign ownership of local  insurers. Would Singapore consider improving 
its next offer along these lines? 
 
Transport Services and Logistics-related Services 
(WT/TPR/S/202, P. 97, Para. 73)  
4. We note from the Secretariat Report that the plan to privatize the PSA Corporation, which 
manages Singapore’s port, container and cargo operations, was postpone d.  We would be 
grateful for an update on the latest development, if any. 
 
 
PAKISTAN
 
 
"Singapore tops the world ranking on the ease of  doing business and ranks second in the overall 
competitiveness ranking. Its trade regime has few border measures. However the absence of binding 
for more than 30% of its tariff lines could be c onsidered very low by its own standards. Would 
Singapore like to share its consideration for k eeping about one third of its tariff unbound?" 
  
NEW ZEALAND
 
 
New Zealand commends Singapore's liberalisation effort s in recent years in the financial services, 
energy, and telecommunications sectors. We would be interested in Singapore’s elaboration of 
progress in liberalisation since the last Review. In particular, does Singapore have any plans to further 
liberalise other sectors such as legal and professional services?  
 
With respect to the energy sector, Singapore acknowle dged in its Review that “liberalisation and open 
competition will reap efficiency gains and the bene fits will be passed through to the consumers”. As 
noted in the Review, Singapore is actively exploring ways to benefit the remaining 25% of Singapore’s electricity demand segment by enhancing retail contestability.  Could Singapore elaborate 
on the scope for selling services in the market? 
 WT/TPR/M/202/Add.1 
Page 36  
 
  COSTA RICA
 
 
INFORME DE LA SECRETARÍA, WT/TPR/S/202  
 
III. POLÍTICAS Y PRÁCTICAS COMERCIALES, POR MEDIDAS 
 
2) M EDIDAS QUE AFECTAN DIRECTAMENTE  A LAS IMPORTACIONES  
 
vi) Medidas de contingencia  
- En el párrafo 31 del Informe de la Secretar ía se menciona que Singapur no cuenta con 
legislación en materia de medidas de salvaguard ia y que en sus negociaciones de tratados de 
libre comercio se esfuerza por no incluir este tipo de disposiciones.  ¿Podrían explicarnos con más detalle la posición de Singapur sobre este tema? 
 
vii) Estándares y requerimientos sanitarios y fitosanitarios 
 
(a) Normas 
 
Pagina 43, párrafo 32 
 - Ha aceptado SPRING Singapur como organism o de normalización, el Código de buena 
conducta para la elaboración, adopción y aplicación de normas, que figura como anexo 3 del 
Acuerdo sobre Obstáculos Técnicos al Comercio de la OMC? 
 
Página 43, Párrafo 33  - Cuál es el procedimiento mediante el cual una norma se hace obligatoria en un reglamento 
técnico? Por transcripción de la norma o por referencia a esta? 
 
- Cuando la norma es revisada y esta se ha hec ho obligatoria en un reglamento técnico, se 
revisa también el reglamento técnico? 
 Página 43, Párrafo 35, pie de página 16  
- Son las Referencias Técnicas (TR´s) una norma de acatamiento voluntario durante el tiempo 
que están en periodo de prueba? Se incorporan en el plan de trabaj o que se debe notificar 
semestralmente a la ISO/CEI? Hay algún proceso similar para los reglamentos técnicos, en el 
sentido de tener un periodo de prue ba para determinar si son adecu ados para lograr el objetivo 
legítimo perseguido? Si es así, se notifican al Comité de Obstáculos Técnicos de la OMC 
previo a ese periodo de prueba? 
 
(b) Reglamentos Técnicos 
 
Página 45, párrafo 40  
- Para efectos de la evaluación de la conformida d de los productos de terceros países, es válida 
la certificación de un organismo de evaluación de la conformidad ubicado en un tercer país? 
Debe estar acreditado? Se reconocen los orga nismos de acreditación que tienen acuerdos de 
reconocimiento multilateral en el marco del ILAC (Internacional Laboratory Accreditation 
Cooperation) 
  WT/TPR/M/202/Add.1 
 Page 37 
 
 
  (c) Medidas Sanitarias y Fitosanitarias 
 
- ¿Quién asume el costo de las inspecciones, aná lisis de laboratorio y otras pruebas que realiza 
Singapur a los envíos, el pa ís exportador o Singapur?  
 
- En el párrafo 43, Singapur hace mención a que ciertos productos (material de propagación, 
yuca, entre otros) requieren de documentación adicional, ¿a que tipo de documentación se refieren?  
 - En relación al párrafo 44, Singapur establece que en caso de incumplimiento un envío es 
destruido o devuelto al país de origen. ¿Para Singapur sería aceptable como opción el uso de 
algún tipo de tratamiento cuarentenario?  
 - En relación a los Acuerdos de Protocolo del pá rrafo 45, ¿cuáles es el proceso a realizar para 
que un tercer país firme un Acue rdo de estos con Singapur?  
 
- En relación al párrafo 46, ¿donde se puede c onseguir información sobre las especificaciones 
microbiológicas aceptables?  
 - ¿El AVA reconoce los establecimientos acreditados  por la Autoridad Competente del país 
exportador?  
 
- En relación al párrafo 50, ¿existe algún sitio en Internet donde se pueda ubicar la lista de 
productos alimenticios de alto riesgo?  
 
(d) Etiquetado 
 
Página 47, párrafo 51  - Cual es el objetivo de exigir que se detalle el país  de origen en la etiqueta original para todos 
los productos importados? Se tiene la misma ex igencia en los productos nacionales? Debe 
estar la etiqueta original en el idioma oficia l de Singapur, o se permite el uso de una etiqueta 
complementaria cuando la etiqueta orig inal no esté redactada en dicho idioma? 
 - De conformidad con la Ley sobre la Venta de Alimentos (Sale of Food Act), se podría 
denegar el ingreso del producto por incumpli miento de las regulaciones de etiquetado? 
 
 
ECUADOR
 
 
"Ecuador is interested in a detailed as feasible  response regarding the statements made by the 
Secretariat in par 73, page 51 of its Report (doc  number WT/TPR/S/202) about Singapore's "Global 
Trader Programme", such as management criteria, administration, commodities involved, etc. " 
 WT/TPR/M/202/Add.1 
Page 38  
 
  FOLLOW-UP AND ADDITIONAL QUESTIONS 
 EUROPEAN COMMUNITIES
 
 Transport services, page 96, para. 70   
 
We would like to invite Singapore to be more sp ecific regarding the reference in its reply to 
"economic security reasons". In fact, we wish to better understand which are these reasons which do 
not allow Singapore to provide with opportunities to  foreign service suppliers in the Port of 
Singapore.  
Follow up on question 2:  Could Singapore elaborate on the socio-cultural reasons for applying high 
tariffs on stout, porter, beer and ale and not in other stronger alcoholic beverages? 
 New Question:   Chapter II: Trade Policy Regime, paragra ph 14, page 23 and para. 14, page IX. The 
Secretariat report notes that "During the period un der review, the trend towards GLCs operating 
increasingly on the same basis as private companies has been reinforced by further divestments by 
Temasek, by enhanced corporate governance re gulation (which has imposed more stringent 
disciplines for listed GLCs), and by the enactme nt of an economy-wide competition law, which 
applies in principle to all enterprises, including GLCs”.   
In the case of Temasek, the Fund value is estimated at 85% of GDP, of which 38% is in Singapore.  
The IMF Staff Report for the 2007 Article IV Cons ultation recognizes that "Public sector ownership 
in government-linked companies (GLCs) across a broad range of economic activities may stifle 
competition and private entrepreneurship.  Therefor e, staff recommended that the divestment of non-
strategic GLCs be accel erated in line with the recommenda tions of the government-sponsored 
Economic Review Committee." 
Could Singapore describe its divestment activities during the last four years and its foreseen 
divestment plans in the medium and long term?  
 
 
 
  WT/TPR/M/202/Add.1 
 Page 39 
 
  REPLIES PROVIDED BY SINGAPORE 
 
BRAZIL  
 
1. Paragraph 79 of Section IV of the Report by the Secretariat states that Singapore's policy of 
encouraging airlines to commence and maintain operati ons in its territory includes the development of 
key clusters such as aircraft leasing and financing. Wh at is the expected role of the Government in the 
development of these clusters, in particular w ith respect to aircraft leasing and financing? 
 
The role of the Singapore Government is to fac ilitate the development of Singapore into the most 
comprehensive “one-stop” aviation hub serving the gl obal market.  One of the key strategies pursued 
is support and promotion of, the aircraft mainte nance, repair and overhaul (MRO) cluster and for 
aircraft leasing and financing.  
 
 
INDIA  
 
Questions on the Report by Singapore  
 
Q1. Paragraph 8 of the Report by Singapore say s that business costs have also increased on 
account of higher wages and rentals amidst tighter  conditions in the labour and commercial property 
markets, respectively. 
 
 Could the Government of Singapore be kind e nough to state the measures taken by it to cut 
down business costs?  
To address the constraint on office space capacity in the short term, the Government has released 
transitional office sites and vacant state properties, which will yield additional office space. The 
tightness in office space should ease over the medium  term, with the completion of major projects 
currently under construction.   To mitigate rising construction cost, the Govern ment have taken various measures to manage 
construction demand while facilitating the supply of  contracting resources, such as by relaxing 
several manpower policies to ensure an adequate supply of construction manpower.  
 
Questions on the Report by the Secretariat 
 
Q2. Paragraph 3 of the Report by the Secretariat concerning Summary Observations says that, although average incomes have risen, the incomes of  some people have risen faster than those of 
others, reflecting higher wage increases for skilled and well-educated workers.  Singaporeans have 
generally benefited from globalization, but some olde r and less educated workers remain vulnerable 
to structural unemployment as the economy restructures and manufacturing and services move up the value-added ladder.    
 Could the Government of Singapore state the steps taken to narrow down the income gap 
between skilled and unskilled workers?   Further, could it mention the major areas of concern with respect to globalization and the initiatives taken to eliminate the vulnerability faced by  the older and the less educated workers due to 
structural employment? 
 
In the face of globalization, a major challenge is to ensure that workers at all levels remain 
competitive.  WT/TPR/M/202/Add.1 
Page 40  
 
  The goal is not to narrow the income gap between skilled and unskilled workers per se, but to ensure 
that all who can work will find meaningful jobs and earn adequate wages to support themselves and 
their children by assisting them to upgrade th eir skills to the maximum extent possible.  
 Singapore has been able to achieve rising incomes because our policies and people kept firmly to the 
values of personal responsibility, self-reliance, thrift,  education, hard work and shared prosperity.  
Therefore, Singapore adopted the philosophy of work- based assistance, or Workfare, as a sustainable 
solution to help older, lower skilled Singaporean workers cope with globalisation and the risks of 
structural unemployment.    
In addition, social support is given to help lo w wage families gain self-sufficiency through work and 
helping children from such families comp lete their education for a better future. 
 
Q3. Paragraph 11 of the Report by the Secretar iat concerning Summary Observations says that 
Singapore has bound some 70% of its tariff lines, whic h is unchanged from its previous Review, at an 
average rate of 6.9%.  The gap between applied and bound MFN rates and the absence of bindings for 
30.4% of tariff lines could create a degree of unpredic tability for traders in the sense that there is 
scope for the authorities to raise tariffs.    Could the Government of Singapore state whether any measure has been taken to bind the remaining 30.4% tariff lines? Moreover, is it taking any steps to reduce the gap between the applied 
and bound MFN rates? 
 
Singapore would increase our level of tariff bindings and reduce the differential between bound and 
applied rates as part of our DDA commitments. 
 Q4. Paragraph 32 of the Report by the Secret ariat concerning Economic Environment says that 
during the period under review, growth in services trade of Singapore has slowed down.   Could the Government of Singapore attri bute the reasons behind it and the initiatives 
undertaken to fuel growth in this sector?  Services form a significant part of the Singapore ec onomy and trade.  Singapore continues to promote 
the growth of this sector. 
 
Q5. Footnote 19 of Paragraph 37 of the Report by the Secretariat concerning Economic 
Environment says that if the United States undergoes a mild recession in the first half of 2008 and 
growth in the Asian region moderates but remains hea lthy, Singapore's GDP growth is likely to be in 
the upper half of the forecast range.  If the United States slips into a more severe recession, the region 
will be more significantly affected.    Could the Government of Singapore share the extent to which its ec onomy is dependant on 
the US?  
 
The global economy is more integrated now, to the extent that the current slowdown in the world's 
largest economy (US) has led the IMF to cut thei r global growth forecast for 2008 to 3.7%, 1.25%-
points lower than growth in 2007.*  Singapore's sma ll open economy would be susceptible to such a 
global slowdown.  Further, the US is Singapore's fourth largest trading partner, behind Malaysia, EU 
and China, and is a key source of Foreign Direct In vestment (FDI).  Drops in consumer spending and 
business investment affected by the tighter financin g conditions in the US, would directly impact 
Singapore.    * "World Economic Outlook", IMF April 2008 release  WT/TPR/M/202/Add.1 
 Page 41 
 
 
  Q6. Paragraph 2 of the Report by the Secretar iat concerning Trade Policy Regime: Framework 
and Objectives says that a notable institutional ch ange made to Singapore's policy-making structure 
during the review period was the establishment in 2005 of the Competition Commission of Singapore. 
  Could the Government of Singapore explain how effective has been the establishment and 
working of the Competition Commission of Singapore? 
 
The Competition Commission of Singapore (CCS) has made good progress in terms of the 
administration and enforcement of the Competition Act since it was set up.  In the past 2 years, CCS 
has issued notifications for guidance and decisi ons to businesses seeking clarity on whether their 
business activities would infringe the Competition Act. CCS has also cleared several merger 
notifications.  In addition, CCS commenced investigations into al leged infringements of the Competition Act and has 
recently released its first infringement decision agai nst a bid-rigging cartel involving 6 pest control 
companies.  These 6 companies were fined over $260,0 00. This is a major milestone for CCS, and it 
demonstrates that CCS has the capability to en force and act against anti-competitive activities.   
 In addition to enforcement of the Act, CCS has been working with government agencies to promote 
pro-competition policies and improve Singapore’s bus iness environment. CCS has also raised the 
level of awareness of competition in Singapore by engaging and working with public and private 
organisations to emphasise the benefits and im portance of competition through advocacy and 
outreach programmes.  
Q7. Paragraph 3 of the Report by the Secretar iat concerning Trade Policy Regime: Framework 
and Objectives says that reflecting the important c ontribution of foreign direct investment to the 
development of the economy, there are few restri ctions on inward foreign investment, and the 
restrictions that exist are mainly in broadcasting,  the domestic news media, retail banking, legal and 
other professional services, property ownership, as well as in some sectors in which government-
linked companies (GLCs) have a significant presen ce.  Aside from these areas, foreign investors 
operate with a minimum of restrictions and are subject to the same rules as local firms.  
 Could the Government of Singapore kindly state wh en is it going to lift the restrictions on the 
above-mentioned sectors?  
The presence of GLCs in certain sectors is not a guiding principle for instituting regulatory 
restrictions.  
 
Singapore relies on the international free flow of capital for economic survival, and recognises the 
benefits of inward foreign investments.  There a re few regulatory restrictions in Singapore's open 
economy.  Where they exist, regulatory restrictions  are only there because they are needed to 
safeguard strategic national interests, e.g. in defen ce, finance, broadcasting and media services.  This 
is not unlike the practice in other countries.   
 
All other sectors are contestable, notwithstanding th e presence of GLCs in those sectors.  GLCs 
compete on a level playing field with other private sector companies.  They a re subject to the same 
laws and regulations, including competition laws, a nd do not enjoy any preferential treatment from 
the government by virtue of direct or indirect ownership.   
 
In fact, there have been cases in the past where GLCs competed and lost out to other private sector 
enterprises in the bidding  process.  The recent high profile land s ite tenders for the Integrated Resort 
project at Sentosa Island and for the Beach Road  iconic commercial site  are some examples. 
 WT/TPR/M/202/Add.1 
Page 42  
 
  Q8. Paragraph 18 of the Report by the Secret ariat concerning Trade Policy Regime: Framework 
and Objectives says that during the review period, there have been important revisions and/or new laws regarding trade and trade-re lated legislation in the areas of  customs, consumer protection, 
competition, intellectual property rights, environmen tal pollution, public utilities, financial services, 
broadcasting, telecommunications, and postal services. 
 
 Could the Government of Singapore elaborate on the revisions and the enactment of new laws 
with respect to trade?   
Table AII.1 provides a list of the main trade-related legislation in Singapore.  For further information 
on the revised legislation, please refer to the websites of  the relevant  Ministries, as well as weblinks 
below:  http://www.egazette.com.sg/welcome.php  http://statutes.agc.gov.sg/ 
 Q9. Paragraph 2 of the Report by the Secretariat concerning Trade Policies And Practices By 
Measure says that there have been no major cha nges to the regulatory framework for sanitary and 
phytosanitary (SPS) measures, although sev eral laws have been updated.   
  Could the Government of Singapore be kind en ough to give a detailed overview of the laws 
that have been updated with respect to Sanitary and Phytosanitary (SPS) measures? 
 
The laws that have been updated are as follows: 
- Control of Plants (Plant Importation) Rules  - Agri-Food and Veterinary Authority (Certification Mark) (No. 3) Notification  
- Control of Plants (Registration of Pesticides) Rules 
- Control of Plants (Phytosanitary Certification) Rules  - Food Regulations  The full list of legislation with respect to Sanita ry and Phytosanitary (SPS) measures is available on 
the Agri-Food and Veterinary Authority (AVA) website. 
http://www.ava.gov.sg/ 
 
Q10. Paragraph 5 of the Report by the Secret ariat concerning Trade Policies And Practices By 
Measure  imports of certain high technology pro ducts, which are subject to export controls by the 
exporting country, may also require an import certificate and delivery verification (ICDV) from 
Singapore Customs.  All imports must also be acco mpanied by invoices, packing lists, bills of lading, 
and any other relevant documentation.  Additio nal documentation may be required for certain 
products.  Traders of fresh and processed food produc ts (including food appliances) are required to 
register with the Agri-Food and Veterinary Aut hority (AVA) as well as with Customs.  Additional 
documents may be required for impor ts of foods with specific animal health, plant health or food 
safety concerns. 
Could the Government of Singapore state th e additional documents required for certain 
products? 
The full list of documents required for importation is available on the Singapore Customs (SC) and 
Agri-Food and Veterinary Authority (AVA) websites. 
http://www.customs.gov.sg/ http://www.ava.gov.sg/ 
  WT/TPR/M/202/Add.1 
 Page 43 
 
 
  Q11. Paragraph 26 of the Report by the Secret ariat concerning Trade Policies And Practices By 
Measure says that import controls apply to a number  of other products including:  medicinal products, 
which are subject to regulatory controls by the Health Sciences Authority; radio communications 
equipment, controlled by the Info-Comm Developm ent Authority; and undesirable publications or 
media productions, controlled by the Media Development Authority.  
Could the Government of Singapore explain th e kinds of import controls applied on the 
above-mentioned products? 
The full list of import controls that Singapore applies is available on the Singapore Customs website. 
http://www.customs.gov.sg/  
Q12. Paragraph 31 of the Report by the Secret ariat concerning Trade Policies And Practices By 
Measure says that currently there is no safeguard legislation in Singapore.  Since 2004, Singapore's 
exports of clear and tinted float glass to the Philippi nes have been affected by a safeguard action.  
Under its bilateral free-trade agreements Singapore stri ves to the extent possible to exclude the use of 
safeguard measures.  Despite the existence of pr ovisions for emergency safeguard measures under the 
ASEAN FTA and Singapore's FTAs with Japan, the EFTA states, and the United States, Singapore 
has not invoked these provisions; nor does it intend to in the foreseeable future.  
Is the Government of Singapore contemplating enactment of legislations on Safeguards in the 
long run? 
Singapore does not have any plans for legislation on safeguards. 
Q13. Paragraph 43 of the Report by the Secretaria t concerning Trade Policies By Sector says that 
despite substantial growth in the past few years, the insurance sector accounted for only about 6% of 
total financial sector assets in 2007.  At end 2007 , there were 153 insurance companies operating in 
Singapore:  61 were direct insurers, 32 re-insur ers, and 60 captive insurers.  Total assets of the 
insurance industry amounted to S$113.1 billion at e nd 2006; American International Assurance (US), 
Great Eastern Life, NTUC Income and Prudential Assurance Singapore (UK) together account for 
approximately 80% of life insurance assets. 
Could the Government of Singapore state whether it is planning to encourage more foreign 
investment in the insurance sector to make it competitive? 
MAS has fully liberalised the insurance sector si nce March 2000 and we continue to welcome foreign 
players and investors, subject to our insurance regulations. 
Q14. As stated in both the Report by the Secretariat as well as the Report by Singapore, the 
economy of Singapore is highly dependa nt on manufacturing and services.  
What are the plans of Singapore to diversify and other sectors of the economy? 
The 2003 Economic Review Committee recomme nded remaking Singapore as a globalised, 
entrepreneurial, and diversified economy.  Manuf acturing and services remain the twin pillars of 
Singapore’s economy.  Singapore also continues to focus on developing higher value, knowledge-
intensive industries, in order to maintain its e dge as a leading hub for enterprise and innovation.   
 
General questions related to Singapore's Economy 
 
Q15. Would the government of Singapore be kind enough to state when would its Free Trade 
Agreement with the Cooperation Council for the Ar ab States of the Gulf (GSFTA) become fully WT/TPR/M/202/Add.1 
Page 44  
 
  operational? Does this Free Trade Agreement (FTA) cover a broader area and extend more liberal 
concessions compared to the other Agreements ef fectively concluded by Singapore? If yes, would 
they be extended to other Free Trade Agreement (FTA) partner countries as well?  
 
Singapore and the Cooperation Council for the Arab States of the Gulf substantively concluded 
negotiations for the GCC-Singapore Free Trade  Agreement (GSFTA) in January 2008.  
 The FTA would come into force on a mutually agreed date  which has yet to be decided.  It would be 
notified in accordance with the requiremen ts of the relevant WTO provisions. 
 
Each FTA is the result of negotiations and reflect s a balance of benefits between both Parties. 
 
Q16. According to the Government of Singapore its  medical tourism market is expected to touch 
US$1.6 bn by 2012. Would they elucidate how they would ensure availability of medical 
professionals? What are their plans regarding sign ing of Mutual Recognition Agreements (MRA's) 
with other countries?  
 
We have taken a number of measures to increase  the number of medical professionals, including 
increasing the medical student intake in the nat ional university and opening another medical school.  
 Mutual Recognition Agreements between the professi onal Boards/Councils of countries depend on the 
initiatives and responses of these bodies.  
Q17. The  Japan-Singapore New-Age Economic Partne rship Agreement (JSEPA) envisages 
liberalization of various services sectors which apart from others include medical and dental services. Would the Government of Singapore be kind enough to state its commitments in the above-mentioned 
services? How are they different from the commitments made in other Agreements? 
 
The schedule of services commitments und er JSEPA is available on our FTA website.  
http://www.fta.gov.sg/ 
 
Q18. Would the Government of Singapore give th e names of the Designated and the Conformity 
Assessment Bodies (CAB's) in its Mutual Reco gnition Agreements (MRA’s) with Japan in the 
electrical and electronics and telecommunications equipment? What modalities/terms of reference have been agreed to by the par ties with respect to conformity assessment? Is there any set procedure 
in relation to conformity assessment by each country?  For both the EE and Telecoms, the MRA is based on  mutual recognition of certification with regards 
to the technical regulations of each other regulatory regime. Designated CAB has to issue 
Certification of Conformity for regulated electic al and electronic products meeting the technical 
regulations of MRA partner.  So far, the designated CAB is TUV SUD PSB.   
Q19. Has Singapore applied any trade remedial measure (anti-dumping, countervailing duty and safeguard) against Korea? 
 
No.  Singapore has not applied any trade remedy measure against exports from Korea so far. 
 
Q20. Article 17.4 of the Korea-Singapore Free Trade Agreement (KSFTA) states that  
 
"Each Party may implement in its domestic laws more extensive protection of intellectual property 
rights than is required under this Agreement, provide d that such protection is not inconsistent with 
this Agreement and the TRIPS Agreement."   WT/TPR/M/202/Add.1 
 Page 45 
 
 
   Could the Government of Singapore state the kind of protection offered to Intellectual 
Property (IP) of other countries?   
In accordance with the MFN principle, Singapo re gives equal IP protection to all WTO members. 
Singapore also accords to nationals  of other countries treatment that is no less favourable than what 
Singapore accords to its own nationals. These princi ples are consistent with Singapore’s obligations 
under TRIPS and other international IP treaties to which Singapore is a party.  
Q21. What is the Government of Singapore’s po licy on Genetically Modified Organisms (GMO's)? 
Does Singapore provide protection to Geographical Indications (GI’s)?  
 
In Singapore, the Genetic Modification Adviso ry Committee (GMAC) sets the guidelines for the 
import, release and use of GM products.  In assessi ng and approving GM foods  for consumption in 
Singapore, the Agri-Food & Veterinary Authority (AVA) follows the guidelines of both Codex and 
GMAC.   
 
Geographical indications are protected in Sin gapore under the Geographical Indications Act 
(Cap 117B). In addition, geographical indications ma y be registered as certification trade marks or 
collective trade marks under the Trade Marks Act (Cap. 332).      
Q22. Could the Government of Singapore elaborat e the criterion used to apply limitations on 
investments under the New Zealand and Singapo re Closer Economic Partnership Agreement 
(ANZSCEP)? 
 
The limitations on investments are found in the Invest ment chapter of the Agreement.  The Agreement 
can be found on the FTA website: 
http://www.fta.gov.sg/ 
 
Q23. What are the steps taken by the Government  of Singapore to make its investment climate 
more competitive? Could she throw some light on its relevant competition (anti-trust) laws, 
regulations and policies? Further, what kind of re medies can a foreign investor expect in the case of 
investor-state dispute? 
 
To stay competitive, the Government of Singapore c ontinues to improve the country’s infrastructure, 
building up skilled manpower and ensure that there is a conducive business environment.  In 2004, Singapore adopted a generic competition la w.  Further information is available on the 
Competition Commission of Singapore website: 
http://www.ccs.gov.sg/  On the issue of investor-state dispute, the foreign in vestor can expect the remedies that are set out in 
the relevant investment chapter of the free trade agreem ent or the relevant bilateral investment treaty. 
 
Q24. What kind of unilateral Preferences are extended by Singapore to the Least-Developed 
Countries (LDCs) which conforms to the decision taken in the World Trade Organization’s (WTO’s) 
Hong Kong Ministerial Declaration of December, 2005?  
The issue of implementation of LDC moda lities is still being discussed at the WTO. 
 
Q25. What are the Minimum Asset Maintenan ce Ratio Norms for foreign banks in Singapore? 
What is the criterion used to eval uate banks for fixing such ratio? 
 WT/TPR/M/202/Add.1 
Page 46  
 
  MAS' liberalisation measures in the last fe w years have encouraged greater foreign bank 
participation in our banking sector.   
 
In Singapore, many foreign banks have been allowe d to operate as branches, unlike some other 
jurisdictions, where foreign banks a re required to establish local subs idiaries.  The asset maintenance 
(AM) requirement is therefore a prudential measu re designed to protect depositors in the event of a 
financial crisis or the bank's insolvency. The AM  requirement framework applies to all foreign bank 
branches in Singapore and requires them to maintain  a minimum level of eligible assets in Singapore 
in proportion to their deposit liabilities.  
 Foreign full banks which have access to retail de posits, as well as wholesale banks which have 
greater access to domestic deposits vis-a-vis o ffshore banks, are required to maintain minimum 
eligible assets equivalent to 35% and 15% of thei r domestic deposits respectively.  Offshore banks are 
required to maintain eligible assets of at leas t $5m.  In applying these prudential measures, MAS 
takes into consideration each bank’s financial soun dness, risk profile, and any  supervisory concerns 
over the risk management systems and controls of  its Singapore operations and may require banks to 
maintain higher AM requirements. The AMR for a bank may be revised upwards or downwards, 
depending on MAS’ supervisory assessments of the bank. 
 The AM requirements were determined after clos e consultations with the banking industry, and 
carefully calibrated to balance prudential obj ectives and banks' commercial interests.  The 
consultation was conducted from 13 September to 13  October 2006, further which MAS provided our 
responses to the industry's feedback on 14 Fe bruary 2007. Details can be viewed at 
(i) http://www.mas.gov.sg/resource/publications/consult_papers/2006/MAS640.pdf 
(ii) http://www.mas.gov.sg/resource/publicati ons/consult_papers/2006/Response_to_Feedback_ 
 Proposed_MAS640_Feb07.pdf 
 
Q26. Could the Government of Singapore state wh ether generic drugs come under the purview of 
price controls? What incentives are given to Fore ign Research & Development (R&D) companies in 
Singapore? Is there any cap/ceiling on Foreign Investments by Pharmaceutical Companies in 
Singapore? 
 
Generic drugs do not come under the purview of price controls.   
 Details on incentives for Research & Development (R &D) companies are available on the Economic 
Development Board website: 
http://www.edb.gov.sg/  There is no cap/ceiling on foreign investments by pharmaceutical companies in Singapore.  
 
Q27. Could the Government of Singapore state th e procedure for repatriation of gains made by 
Joint Ventures (JV’s) and Wholly-Owned Subsidiaries etc. in Singapore? 
 
Generally, there are no special procedures for repatri ation of gains from Singapore as there are no 
exchange controls in Singapore.  
Q28. From YA2005 onwards, a company is taxed at a flat rate of 20% on its chargeable income. 
The corporate income tax rate will be reduced  to 18% from YA2008. Could the Government of 
Singapore be kind enough to menti on when will it be implemented? 
 
The corporate income tax rate of 18% will be eff ective from the Year of Assessment 2008. This means 
that corporate income from financial (accounting) yea rs ending in 2007 will be taxed at the new rate 
of 18%.  WT/TPR/M/202/Add.1 
 Page 47 
 
 
  Q29.  Could the Government of Singapore state the incentives provided to export firms operating in 
its territory? Are these incentives different for foreign export firms? 
Singapore does not offer incentives solely for export firms.   
 
Q30. When does Singapore expect to comple te its ongoing Free Trade Agreement (FTA) 
negotiations with other countries? 
 
The conclusion of any Agreement depends on the dynamics of the respective negotiations. 
 Singapore would duly notify in accordance with th e requirements of the relevant WTO provisions. 
 Q31. Could the Government of Singapore be  kind to state whether it gives Government 
Procurement contracts to foreign firms? Is the procedure different from that of domestic firms? 
 
Singapore has an open and transparent procurement regim e. A tender is awarded to the supplier that 
provides an overall best value for money that meets the specifications and requirements stipulated in 
the tender. We do not distinguish or discriminate between a foreign and local supplier. All foreign and domestic suppliers are subject to the same procedure. 
 
 
CHINA
 
 
1. Based upon its national conditions, Singapore has established itself as a good example among 
WTO Members which has developed and prospered gr eatly from liberalization of trade and an open 
trade-regime. For many years Singapore has been remaining one of the most open as well as most competitive economies in the world. However, the high degree of its openness leaves Singapore 
vulnerable to periodic external shocks to some extent.  
 Could Singapore please elaborate how its econom y accommodates external shocks during the 
period under review, particularly with respect to the recent U.S. sub-prime crisis and soaring prices of food and energy all over the world?  
Singapore’s long term strategy is to continue to grow a competitive economy that creates more and 
well-paying jobs for all workers.  Singapore has res ponded to global inflation through various ways 
such as allowing the Singa pore dollar to appreciate, and diversifying our food sources. 
 
2. Since 2004, Singapore’s free-trade agreements (FTAs) with India, Jordan, Korea, Panama, 
and Brunei, Chile, and New Zeala nd have entered into force, a nd Singapore is currently in FTA 
negotiations with Canada, China, Mexico, the Gu lf Cooperation Council, Pakistan, and Ukraine. 
 
 Could Singapore please elaborate its priorities in pursuing trade libe ralization and choosing 
respective negotiating FTA partners? Please describe the changes, if any, with regard to its trade and 
investment flows with other trading partners after signing of these FTAs. 
Singapore’s principal priority remains the WT O, and the Doha Development Agenda.  Singapore 
views its bilateral FTAs as a critical complement  to the efforts at the multilateral level.   
 
Singapore maintains an open policy with regard to  pursuing comprehensive, WTO-consistent and 
WTO-plus FTAs.  In general, we have seen an increase in bilateral trade and investment  flows after the conclusion of 
FTAs. 
 WT/TPR/M/202/Add.1 
Page 48  
 
  3. Page 30 para. 40 of the Secretariat’s report states that “In services, Singapore has followed a 
positive-list approach with EFTA, India, Japan, and New Zealand and a negative-list approach with 
Australia, Korea, Panama, and the United States.”  
 Could Singapore explain the "rationale" for choosing different types of services of 
liberalization, positive list and negative list?  
While Singapore aims for a negative list approach, our FTAs differ from one another in terms of 
architecture, based on the requi rements of the other Party. 
 
 
SWITZERLAND
 
 
Report by the Secretariat  
I. RECENT ECONOMIC DEVELOPMENTS 
(3) Macroeconomic Policies 
(i) Monetary and exchange rate policy  
In para. 12 , the Secretariat's report indicates that mone tary policy is based on the management of a 
trade-weighted exchange rate index within an undi sclosed band. At the same time, the report suggests 
that the Monetary Authority of Singapore announces semi-annually the level and direction within the 
band. Could the Singaporean authorities clarify this a pparent contradiction in the way their exchange 
rate policy operates ? 
 
There is no contradiction in the operation of our exc hange rate policy, which can be characterised by 
three key features - "Basket", "Band" and "Crawl ". Singapore's exchange rate  is managed against a 
trade-weighted basket of the currencies of our major trading partners and competitors. This trade-
weight basket is maintained broadly within a ta rget band, where changes in the level and direction of 
the band are announced to the market semi-annually in our monetary policy statement. The policy 
band itself is allowed to “crawl”, and is reviewed periodically to ensure that it remains consistent 
with the underlying fundamentals of the economy,  as well as to prevent a misalignment in the 
currency.    
Singapore’s particular monetary policy instrument, th e exchange rate, is a market determined price, 
unlike an official interest rate which a central bank has direct control over. Given that exchange rates are market determined and can be impacted by a wide range of factors, we need to adopt a calibrated 
approach towards communicating particular aspects of our monetary policy management operations.  
 
MAS does not disclose which currencies it includes in  the basket and the exact weights it assigns to 
them, as well as the width of the band to retain th e flexibility to exercise judgment and deviate from a 
predetermined policy path in the event of  la rge and unexpected shocks to the economy. MAS' 
monetary policy decision is announced in terms of any changes to the slope, level or width of the band.  The magnitude of these changes, if any, is  described qualitatively.  Please see the MAS 
Monetary Policy Statement of 10 October 2007 (h ttp://www.mas.gov.sg/news_room/statements/2007/ 
Monetary_Policy_Statement10Oct07.html)  for an example of such an announcement. 
  WT/TPR/M/202/Add.1 
 Page 49 
 
 
  III. TRADE POLICIES AND PRACTICES BY MEASURE 
(2) Measures Directly Affecting Imports (ii) Tariffs 
(a) bound MFN tariffs 
 
According to para. 7  of the Secretariat's report, there are 52 tariff lines subject to specific rates. 
However, these lines have not been included in the Secretariat's analys is due to the absence of their 
ad valorem  equivalent. Could the Singaporean authorities indicate which are the 52 tariff lines subject 
to specific duties ? From the Secretariat re port it is not clear whether Singapore has non ad valorem  
tariffs for industrial products. C ould Singapore indicate if it still has non ad valorem  duties for 
industrial products and for which ones ?  
 
The 52 tariff lines can be found in Singapore’s Goods Schedules.  With regard to industrial products, there are no non ad valorem duties. 
 Para. 9  of the Secretariat's report indicates that Singapore's applied MFN tariffs are almost zero. It 
remains therefore unclear why it has bound only 69.6 % of its tariffs and why the bindings remain 
substantially higher than the MFN applied rates. Given the fact that Singapore did not increase its 
applied tariffs during the period under review, could the Singaporean authorities indicate whether and 
how they intend to increase the predictability of thei r tariffs for the tariff lines for which there is a 
large gap between the bound and ap plied tariffs and for those which are currently still unbound ?  
 
As part of the DDA negotiations, Singapore is prepa red to increase our level of tariff bindings.  The 
actual rate at which the tariffs  are bound, and to what extent th is narrows the differential between 
bound and applied rates will depend on the outcome of the negotiations. 
 
(b) Applied MFN tariffs (p.36 - para. 10 + footnote 5 and para. 7 + footnote 4)  
 
Para. 10 + footnote 5 and para. 7 + footnote 4 : According to footnote 4 in para. 7 in the 
Secretariat's report, the 2005 schedul e consists of 5'383 tariff lines. Footnote 5 of para. 10  indicates 
that the current (2007) applied MFN tariff based on the HS2007 nomenclature, consists of 8'285 lines 
at the SH 8-digit level. Could the Singaporean authorities explain for which reasons the number of 
tariff lines seems to have increased substantially ? 
 
The “5,383 tariff lines”, at footnote 3 of paragr aph 7, refers to Singapore’s bound commitments in 
the HS2002 nomenclature at HS 6-digit level. 
 
(vi) Contingency measures 
(a) Anti-dumping and countervailing measures 
 In para. 30 , the Secretariat's report suggests that u nder the Countervailing and Anti-dumping Act 
MTI may initiate an investigation to determin e whether goods are being dumped or whether a 
countervailable subsidy is being provided. Could the Singaporean authorities clarify which conditions 
are to be satisfied for an investigation to be in itiated ? Furthermore, in the case of anti-dumping, is a 
petition from the domestic industry required to initiat e an investigation or is an ex-officio decision 
possible and under what conditions ?  The relevant information is available in Singa pore’s Countervailing and Anti-Dumping Duties Act. 
http://statutes.agc.gov.sg/ 
 WT/TPR/M/202/Add.1 
Page 50  
 
  (viii) Government procurement 
 In para. 55 , the Secretariat's report states that procurement is generally carried out by individual 
ministries and agencies. Could the Singaporean aut horities provide additional informations regarding 
the share of agencies in total procurement ? What is the legal status of those agencies and, in 
particular, what is the difference, if any, betw een so-called "lead agencies" and other agencies ? 
 
The total value for procurements  by all the government agencies in Singapore for 2007 was S$16.1 
billion. Lead agencies are those who are responsible for consolidating demand of common purchases 
across the public sector. All such procurements are done through open tend ers in accordance with 
GPA requirements and there is therefore no differen ce with the WTO-GPA obligations. The "other 
agencies" are all the other agencies covered under the GPA. 
 
 
CHILE
 
 
II. TRADE POLICY REGIME:  FRAMEWORK AND OBJECTIVES 
(4) T RADE AGREEMENTS AND ARRANGEMENTS  
 
1. Does Singapore have any way of measuring the im pact of the free trade agreements that have 
been concluded? 
 
There is no straightforward way to measure the impact of FTAs.  However, for the FTAs that 
Singapore has concluded, we have seen an increa se in bilateral trade and investment flows. 
 
(5) F OREIGN INVESTMENT REGIME  
 
2. Paragraph 48 states the following:  "Non-tax incentives include grants for certain activities, in 
particular relating to high-value-a dded sectors, training, and R&D". 
 
 What type of grants are these? 
 How are they allocated?  What amounts are involved?  
Examples of non-tax incentives are:- 
(a) Innovation Development Scheme (IDS), 
(b) Initiatives in New Technologies (INTECH), (c) Research Incentive Scheme for Companies (RISC) & etc.   
 Other non-tax incentives can be found in Tabl e AIII.8, page 137 of Appendix Tables. 
 
Eligible companies are required to submit formal ap plications to the relevant approving authority for 
assessment and approval.  Generally, the grant amount will depend on the size,  complexity and risk level of the projects.   
 
III. TRADE POLICIES AND PRACTICES BY MEASURE  (1) I
NTRODUCTION  
 
3. In relation to paragraph 1, does Singapore envisage increasing its WTO-bound tariff lines so 
as to ensure greater predictability for economic operators?  WT/TPR/M/202/Add.1 
 Page 51 
 
 
  As part of the DDA negotiations, Singapore is prepa red to increase our level of tariff bindings.  The 
actual rate at which the tariffs  are bound, and to what extent th is narrows the differential between 
bound and applied rates will depend on the outcome of the negotiations. 
 
(2) M EASURES DIRECTLY AFFECTING IMPORTS  
 
4. Is there an agency which supports domestic  exporters in dealing with dumping and/or 
safeguard investigations?  If so, what is its rela tionship with the Ministry of Trade and Industry? 
 The Ministry of Trade and Industry (MTI) mon itors investigations and measures taken against 
Singapore companies and provides assistance where we  can, together with agencies such as the 
Economic Development Board (EDB) and International Enterprise Singapore (IE Singapore).  
 
5. Is any form of assistance provided to ensu re that complaints are properly filed in cases 
relating to dumping, subsidies or safeguards? 
 
We did not receive any request to provide such assistance during the period under review. 
 
6. In relation to paragraph 40, are certificates that  are issued by bodies located in the country of 
sale accepted for the 45 products requiring certif icates of conformity assessment from designated 
third party conformity assessment bodies ?  What is the procedure followed? 
 
Only Certificates of Conformity issued by Desi gnated Certification Bodies located in Singapore and 
those of MRA partners are accepted for the 45 produc ts. To have its Certification Bodies located in 
Chile to be accepted to issue Certificates of Conf ormity for Singapore; Chile may wish to participate 
in Part III of the APEC EE MRA. and thereafter nominates its Certification Bodies for Singapore’s 
consideration. 
 
7. In relation to paragraph 53, what is the procedure for authorizing the importation and 
production of genetically modified food?  In Singapore, applications to import a new GMO for food and/or feed use would first be assessed by 
Genetic Modification Advisory Committee (GMAC)’s Subcommitt ee on Release of Agriculture-
Related GMOs based on the Subcommittee’s establishe d guidelines. After the safety evaluation, the 
Subcommittee would make its recommendations to GM AC, which would then make a decision on the 
acceptance of the GMO. 
 
GMAC will endorse the application if it is satisfied wi th the safety of the new GMO and will forward 
its recommendations to AVA.  AVA will furth er evaluate the safety of the GMO.   
  Taking GMAC’s recommendation into consideratio n and if AVA has no further concerns on the safety 
of the GMO, AVA would grant a conditional approval in which the applicant has to submit validated 
detection methods and reference materials for the GMO, for post-approval monitoring and reference 
depository respectively. AVA may conduct further labor atory tests to verify the protocols of the 
submitted detection methods.  When AVA is satis fied with the applicant’s submissions, AVA would 
issue an official approval letter to the applicant. 
 8. With regard to government procurement, are there any statistics on the trend in procurement 
between Singapore and the countries with which it has concluded agreements in this respect?  If so, 
please provide references or statistics.  WT/TPR/M/202/Add.1 
Page 52  
 
  As Singapore does not distinguish or discriminate between a foreign and local supplier, we do not 
monitor the proportion of foreign suppliers.  Therefor e we do not have the statistics requested for by 
Chile. 
 
(4) M
EASURES AFFECTING PRODUCTION AND TRADE  
 
9. In Box III.1, the Initiatives in New Technol ogy (INTECH) scheme is described as follows:  
"This scheme, administered by the EDB, is desi gned to encourage manpower development in the 
application of new technology, industrial rese arch and development, professional know-how, and 
design and development of new products, processes,  and services so as to establish new capabilities 
within a company or an industry.  Grants cover up to 50% or 70% of the allowable costs of training, which may include salaries, airfare, cost  of living allowance, and course fees". 
  How are these grants allocated?  Are they non-tax incentives, like those previously mentioned? 
 Are they considered to be incentives? 
 
Eligible companies are required to submit formal ap plications to the relevant approving authority for 
assessment and approval.   
Yes, INTECH is one of the non-tax incentives.  
IV. TRADE POLICIES BY SECTOR 
(5) S
ERVICES  
 
10. In relation to paragraph 60, is there any inte ntion to amend Article 47 of the Broadcasting Act 
so as to open up the free-to-air broadcasting sector to foreign firms?  
Singapore's broadcasting sector is excluded from  liberalisation under the WTO due to national 
interest reasons to retain the ability to stipul ate our requirements on local content and foreign 
ownership for national security considerations, and to develop and preserve local cultural values and 
national identity.   However, there are no investment and ownership restrictions on foreign companies using Singapore 
as a base to broadcast to the region.  
 
We will like to point out that section 44 and not section 47 should be the correct reference.  
 
11. Is there any intention to authorize direct-to-home satellite television services? 
 
Singapore restricts the use of DTU (Direct to Us er) and DTH (Direct to Home) satellite dishes 
because such principal satellite TV systems do not  offer adequate enforcement measures to keep out 
undesirable content that is at odds with Singa pore’s multi-racial and multi-religious society.  
 To date, Singapore does not see the need for DT H satellite TV services to be introduced since 
consumers in Singapore are able to enjoy a wide spectr um of TV services via free-to-air, cable, IPTV 
and WebTV.   
  WT/TPR/M/202/Add.1 
 Page 53 
 
 
  CANADA  
 
Report by the Government (WT/TPR/G/202) 
 Part I. Economic performance and outlook: paragraph 8, page 5: 
 
The Government Report refers to tighter conditions  in the labour market. Those conditions emerged 
as a growing challenge for both domestic a nd foreign firms operating in Singapore.  
 1. What specific actions has the Government of Singa pore taken, and will take in the future, to 
overcome this challenge?  
 
Singapore has been taking flexible and responsive l abour market policies.  For instance, to expand 
the resident workforce, the Government has been encouraging older worke rs to work longer, and 
economically inactive residents to enter the labour force. 
 
The government also develops foreign manpower po licies to complement and augment the local 
workforce.  These policies are designed to be respons ive to market demands and allow companies to 
capitalise on growth opportunities.  Part V. Doha Development Agenda: paragraph 44, page 11:  
 
Under the section Aid-for-Trade, the report indi cates that Singapore supports the objectives of the 
Aid-for-Trade Initiative through, inter alia , the Singapore Cooperation Programme, Singapore's 
technical assistance programme to developing countries.  
2. Could Singapore provide more information on the management of the Singapore Cooperation 
Programme (SCP)?  
 3. Could Singapore provide specific lessons learne d on using an umbrella program, which is the 
SCP, to deliver its technical assistance programmes?  
 Information on the management of the Singapo re Cooperation Programme (SCP) and assessment of 
its benefits is available at the SCP website: http://www.scp.gov.sg/ 
 
Report by the Secretariat (WT/TPR/S/202)
 
 
Part I. Economic Environment: (2) Recent econ omic performance: paragraph 5, page 3:  
 
The Secretariat report states that Singapore's consumer price index reached a 26-year high of 6.6% in January, which is quite high for a developed ec onomy (we note that inflation has subsequently 
reached 7.5% in May). While some of this increa se can be linked to global food and oil prices, as well 
as the July 2007 GST hike, the intense amount of capital construction and business expansion in the 
city-state has also contributed to the price pressures.   1. Has the Government of Singapore taken any steps to slow economic growth to a more 
sustainable rate? 
 
The outlook for 2008 is for slower growth and higher inflation, reflecting in large part developments 
in the US economy and global food and energy pri ces respectively.  Singapore’s GDP growth is 
expected to moderate to 4.0-6.0%.  This would be  in line with the economy’s underlying potential rate 
of growth over the medium term and help  to relieve incipient cost pressures. WT/TPR/M/202/Add.1 
Page 54  
 
  Part I. Economic environment: (3) Macroeconomi c policies; (i) Monetary and exchange rate 
policy: paragraph 12, pages 6 and 7: 
 
The Secretariat report states that the Moneta ry Authority of Singapore (MAS) announces semi-
annually the level and direction in which the Si ngapore dollar will fluctuate within the band. The 
MAS implements this policy through direct sales or purchases of the Singapore dollar in the foreign 
exchange market.   2. Given recent price pressures on the economy, can  you explain why Singapore only revises its 
monetary policy twice-per-year? 
 
The rationale for reviewing the monetary poli cy stance every six months are is follows: 
 First, there exist inherent lags in the price trans mission mechanism.  A change in the exchange rate 
policy stance will impact consumer prices only after c onsiderable lags via its effect on import prices 
and derived demand for factor resources.  It is t hus important to allow for a sufficiently long time 
period between policy reviews so that a proper a ssessment of the impact of previous policy settings 
can be made.    Second, under MAS' exchange rate-centred regime,  S$NEER (S$ Nominal Effective Exchange Rate) 
policy band appreciates at a predetermined rate that is congruent with current and expected 
economic conditions.  The S$NEER is  allowed to fluctuate and is thereby market-determined within 
the confines of the band.  As such, it is allowed to  “find” the appropriate level in line with prevailing 
economic developments.  Thus, unlike an interest rate regime, the level of the intermediate target (or 
monetary instrument) in Singapore’s case (i.e. the S$N EER) is not held constant in the interim period 
between reviews.  This “crawl” and the “band” fe atures help mitigate the risk of policy errors, 
thereby allowing for the frequency of  policy reviews to be somewhat lower than that under an interest 
rate framework.  Third, the objective of monetary policy in Singapor e is to achieve medium-term price stability. The 
exchange rate centred monetary policy framework provides a nominal anchor of stability over the 
medium term for a small open economy like Singapo re and as such, should not react to short-term 
volatility in growth and inflation developments. 
 Part II. Trade Policy Regime: Framework and Ob jectives: (3) development and Administration 
of Trade Policy; (ii) Transparency: paragraph 14, page 23:  
 The Secretariat report notes that Singapore has taken a leadership role in promoting greater 
transparency among sovereign wealth funds.   3. Can the Government of Singapore provide details on how Temasek Holdings and GIC, for 
example, intend to enhance their transparency practices? 
 Temasek has voluntarily published an annual Temasek Review since 2004, although it is not required 
to do so as an exempt private company under Singapore law. This gives an overview of their 
investment strategy and governance framework, alo ng with their Group’s activities and performance.  
Temasek has also obtained Trip le-A credit ratings by Standard & Poor’s and Moody’s, and has 
issued a global bond. 
 
GIC currently discloses information on its website  relating to its investment process, long-term 
performance, strategies of the various in vestment groups and investment highlights. 
  WT/TPR/M/202/Add.1 
 Page 55 
 
 
  We are open to considering furth er disclosures which are practical, serve a purpose, and at the same 
time do not compromise our national interest or the competitiveness of our investment agencies, 
relative to other investors.  In our view, the aim is to ensure that GIC and Temasek continue to be 
commercially-oriented, be professional invest ors; and be credibly perceived as such. 
 
Part II: Trade policy regime: framework and objectives (5) foreign investment regime (i) 
overview: paragraph 44, page 31:  
The Secretariat report states, “Foreign direct investment in the manufacturing sector remains 
unrestricted. Foreign investment limits have been maintained in broadcasting and newspaper services: 
in broadcasting, FDI is allowed up to 49%, unl ess waived by the Minister for Information, 
Communication and the Arts. There are restrictions on foreign law firms and foreign lawyers practising Singapore law in Singapore but there are no restrictions in any arbitration work and in 
matters governed by foreign law. Foreign invest ment in some of Singapore's government-linked 
companies (GLCs), depending on the sectors they ope rate in, is also subject to restrictions. For 
example, the aggregate foreign shareholding limit in PSA Corporation, which manages Singapore's 
ports, is 49%. Foreign ownership restrictions may also apply to Singapore designated airlines 
depending on the requirements of Singapore's b ilateral and multilateral air services agreements.” 
 4. a) If there are no restrictions on FDI in the manufacturing sector, could Singapore please 
explain the rationale for listing the Control of Manufacture Act in its reservations for 
existing non-conforming measures in its FTAs?  
 b) What, if any, products may be added to the list of restrictions under the COMA in the 
future?  
 
The aim of the Control of Manufacture Act (COMA) is for the government to retain control of the 
manufacture of sensitive products. The products are currently retained for en vironmental, health, 
social, safety, and security reasons. The legisla tion is applied to both investments for domestic 
investors and foreign investors.   New products have not so far been added to the list of COMA products.   
Part III. Trade Policies and Practices by Measure: (2) Measures Directly Affecting Imports; 
(viii) Government procuremen t: paragraph 61, page 50: 
 
The Secretariat notes that after consultations with  SMEs in 2004 and 2005, the Singapore Government 
relaxed procurement rules to enable SMEs great er access to government procurement opportunities. 
 
5. What is the dollar value of contracts to which these exceptions are applicable? 
 6. Please explain if and how these relaxed rules a pply to procurements covered by the WTO 
Agreement on Government Procurement. 
 It was indicated in the 2004 TPR report that SM Es often fail to qualify for Government tenders 
because the government procuring en tities were not prepared to try SMEs out due to its lack of track 
records.  Though there were instances of SMEs bei ng awarded contracts by MNCs [multinational 
corporations], SMEs were still unable to secure any contracts from the government procuring 
entities. Following a review, this requirement of tra ck records was relaxed. Th is relaxation applies 
not only to SMEs but also the MNCs. Also the reg istration requirement of suppliers for procurements 
below S$70,000 (which is below the GPA threshold of 130,000 SDR) was also waived. These changes 
benefit not only the SMEs but also all the suppli ers including the MNCs. None of these relaxations 
have any impact on the procurements covered by the WTO Agreement on Government Procurement. 
 WT/TPR/M/202/Add.1 
Page 56  
 
  Part III. Trade Policies and Practices by Meas ure: (4) Measures Affecting Production and 
Trade; (VI) Intellectual Property Rights: Paragraph 128, page 70:  
Canada notes that according to the Secretariat Re port, "the Statutes (Miscellaneous Amendments) Act 
of 2007 and the Patents (Amendments No. 2) Rules modified the law to align the patent system to the 
regulations under the Patent Cooperation Treaty".  
 7. Canada would appreciate if Singapore could pr ovide directions on how these new provisions 
have allowed aligning on the Patent Cooperation Treaty. 
 Key features of the Amendments to the PCT Regulations (April 1, 2007) are the (a) Restoration of the Right of Priority and (b) Missing Parts and Incorpor ation by Reference.  The Statutes (Miscellaneous 
Amendments) Act of 2007 cont ain provisions on the (a) Restoration of the Right of Priority  and (b) 
Missing Parts and Incorporation by Reference  and th e Patents (Amendments No. 2) Rules provide for 
the correction of a mistake in a declaration affec ting the declared priority date within the period 
prescribed. 
 Part III. Trade Policies and Practices by Meas ure: (4) Measures Affecting Production and 
Trade; (VI) Intellectual Property Rights: Paragraph 130, page 70: 
 
The Secretariat Report states that "under Part XI, Section 53 of the Act, licences of right may be 
offered by the patent owner to anyone wishing to obtain a licence". 
 8. Canada would be grateful if Singapore could cl arify whether an obligation for the patentee to 
licence his invention arises from Section 53 of the Act. 
 Section 53 of the Patents Act does not impose any obligation for the patentee to license his invention 
under the Act. The choice is left to the patentee. This  provision is adapted from Section 46 of the UK 
Patents Act 1977. The intention of this provision is to allow the patentee to notify others of his 
willingness to licence his patent where the patentee may not personally be inclined to exploit his 
patent commercially.  This will facilitate greater co mmercialisation of useful patents and allow the 
public to benefit from the invention.   
 
Part III. Trade Policies and Practices by Meas ure: (4) Measures Affecting Production and 
Trade; (VI) Intellectual Property Rights: Paragraph 136, page 71:  
Canada notes that according to the Secretariat re port for Singapore, "Singapore has no specific 
legislation concerning trade secrets and confiden tial information. They are protected under common 
law by the law of confidence, which the authorities state provides broad and effective protection."  9. Could Singapore please elaborate on the scope of protection offered by the law of 
confidence? 
 The elements of Singapore’s law of confidence are la rgely similar to elements found in the laws of 
England.   Briefly, the law of confidence can be invoked in one  of two ways: (1) the obligation of confidentiality 
may arise under an agreement, express or implied; or  (2) in the absence of an agreement, equity may 
nonetheless impose an obligation of confidentiality on information if three elements are satisfied: (a) 
the information to be protected is of a confidentia l nature; (b) the information has been imparted in 
circumstances importing an obligation of confiden ce; and (c) there has been unauthorized use of the 
information to the detriment of the party who origi nally communicated it. On point (c), it is to be 
noted that case law has clarified that there may be  cases where surrounding circumstances justify the  WT/TPR/M/202/Add.1 
 Page 57 
 
 
  imposition of an obligation of confidence in the absence of proof of detriment. The law of confidence 
may be used to protect a wide range of informa tion including personal, commercial information, as 
well as trade secrets and technical information. A r ange of remedies is available in the event of a 
breach. These include interim and permanent injunc tions to restrain use or disclosure; damages, 
account of profits and the impositi on of a constructive trust over prop erty derived from the breach.  
 
Part III. Trade Policies and Practices by Meas ure: (4) Measures Affecting Production and 
Trade; (VI) Intellectual Property Rights: Paragraph 137, page 71: 
 
The Secretariat notes that, "Penalties for counterfeiting of trade marks can be up to S$100, 000 and/or 
imprisonment for up to five years. (No data were ma de available by the authorities as to whether such 
penalties are actually imposed.)"  10. Canada would be grateful if Singapore coul d provide further information regarding the 
effectiveness of these penalties in curbing co pyright infringement and the counterfeiting of 
trade marks. 
 
We believe our legislative and enforcement regime s, coupled with other measures such as public 
education and awareness programmes, have been effec tive in combating IP piracy and counterfeiting.  
For instance, in 2007, Singapore was ranked 2nd in the annual survey on IP risks carried out by the 
Hong Kong based Political and Economic Risk Consu ltancy (PERC). It was stated that “Singapore 
offers some of the best protection of IPRs of any country in Asia." Similarly, in the 2007 IMD World 
Competitiveness Yearbook, Singapore ranked 2nd for adequate enforcement of IPR. The annual 
survey of software piracy rates conducted by the Bu siness Software Alliance (BSA) also showed that 
the rate of software piracy in Sin gapore is decreasing year by year.  
 
Some of the recent cases showing deterrent sentenc es imposed in copyright infringement and trade 
mark counterfeiting cases are:  (i) Public Prosecutor v Poh Leong Beng : The accused was arrested on 11 July 2007 in an 
operation against a syndicate distributing c ounterfeit luxury and sportswear products. The 
accused was charged under Section 49 (c) of th e Trade Marks Act.  He was convicted on 
29 May 2008 and sentenced to 16 months imprisonment
. 
 (ii) Public Prosecutor v Choy Kum Weng : The accused was arrested on 5 May 2008 in an 
operation against a syndicate distributing cop yright infringing optical discs, comprising 
mainly of software and games, to retail s hops. The accused was charged under Section 
136(2)(b) of the Copyright Act.  He was convicted on 25 Jun 2008 and sentenced to 39 
months imprisonment . 
 Part IV. Trade Policies by Sector (5) Services (ii) Commitments under the GATS and bilateral 
agreements: paragraph 28, page 81:  
"During the review period, Singapore has also con tinued to be active in negotiating and implementing 
PTAs that include services with various tradi ng partners. Singapore has followed a positive-list 
approach with India, EFTA, New Zealand, Jord an, and Japan, and a generally more ambitious 
negative-list approach in its preferential agreements  with the United States, Korea, Panama, Australia, 
and the multi-party Trans-Pacific SEP (New Zealand,  Chile, Brunei, and Singapore). There is, overall, 
much diversity in the commitments undertaken by Singapore in its various preferential agreements. 
Examples of commitments going beyond the GATS schedule/offer include:"  The examples list agreements concluded with  New Zealand (ANZSCEP), Japan (JSEPA), EFTA 
(ESFTA), Australia (SAFTA), and the United Stat es (USSFTA), noting that Singapore's commitments WT/TPR/M/202/Add.1 
Page 58  
 
  beyond GATS include professional, telecommunications , financial, business, and transport services. 
However, in many of its Free Trade Agreements , including with the United States and Panama, 
Singapore has reserved its right to adopt future measures in specified sectors in investments and cross-border service activities that violate the principle of MFN given that no corresponding MFN reservations have been taken in Singapore’s GATS offer.  
 
11. Canada would appreciate Singapore's explana tion on the rationale for adopting what is 
essentially a GATS minus position with resp ect to some of its reservations. 
 
Singapore’s commitments in our FTAs do not change  the legal rights and obligations undertaken at 
the WTO.  In any event, the MFN reserva tions in our FTAs are not GATS-minus. 
 Part IV. Trade Policies by Sector: (5) Services; (iii) Banking and Other Financial Services; (b) 
Banking: paragraph 32, pages 82 and 82: 
 Paragraph 32 notes that as part of Singapore’s five-y ear program to liberalize access by foreign banks 
to its domestic market and strengthen its banking  system, Singapore granted Qualifying Full Bank 
(QFB) privileges to six foreign banks.  12. What criteria were used to grant the QFB privileges to the six foreign banks? 
 MAS took into account prudential considerations like the bank's financial position, its credit ratings, 
capital and global asset size, as we ll as its reputation and track record. 
 
13. a) Could Singapore indicate whether it intends to increase the number of QFB licenses 
available to foreign banks in the near future? 
b) If so, could Singapore explain what process and criteria would be used to assess QFB 
license applications?  
 
(a) Singapore has awarded a total of 6 QFB licenses to foreign banks under our banking 
liberalisation programme. Subsequent QFBs were aw arded via our Bilateral Free Trade Agreements 
(FTAs), subject to them meeti ng MAS' prudential requirements.  
 
Singapore's domestic banking sector is small and MA S' policy is for the banking sector to be 
underpinned by a strong core of local banks such t hat in the event of a major crisis, these local 
players with long term interests aligned with th e Singapore economy can act as stabilisers for our 
financial system. Going forward, we do not preclude further liberalisation measures in a way that 
continues to strengthen our banking sector whilst ma intaining confidence and stability in the financial 
system.   (b) Please refer to the response to Question 12.  Part IV. Trade Policies by Sector: (5) Services;  (vii) Professional services; (b) Legal services: 
paragraphs 95-97, pages 102-103:  
Paragraphs 95-97 describe the details of recommenda tions that the Government implemented in 2007 
and planned for 2008, regarding joint law ventur es between foreign and Singapore law firms, and 
general liberalization in the legal services sector in Singapore.  Paragraph 96 states, that "Foreign law 
firms may set up offices in Singapore to advise clie nts only on the laws of their home country or 
international law."   WT/TPR/M/202/Add.1 
 Page 59 
 
 
  14. In respect of its next services offer, is the Government contemplating to reflect its recent 
liberalization, as well as its current policy of permitting foreign law firms to set up offices in 
Singapore to advise clients on foreig n (home) and international law? 
 
Singapore has over the years progressively and systema tically liberalised th e legal services sector, 
taking into consideration local co nditions. With respect to our next  services offer, these matters are 
presently under consideration in the context of the overall outcome of the DDA negotiations. 
 
Part IV. Trade Policies by Sector: (5) Services; (vii) Professional services; (b)  Engineering and 
architecture services: paragraph 101, page 103:  
 
Paragraph 101 notes that, "In line with provisions in the FTA with the United States, and applicable to 
all foreign firms, Singapore has reduced the requirement  that the chairman and two thirds of a firm's 
board of directors must be composed of engineers,  architects or land surveyors registered with local 
professional bodies to a simple majority."  
 
15. Is this a legislative change? If so, please pr ovide a reference to the applicable law. 
 
The relevant information is available on the Ministry of National Development website: 
http://www.mnd.gov.sg/ 
  
THE EUROPEAN COMMUNITIES
 
 
SUMMARY OBSERVATIONS 
(1) E CONOMIC ENVIRONMENT  
 
WTO Secretariat's Report, page vii , para. 4 
 
The Report states that Singapore has continued to undertake structural reforms, focusing on lowering 
costs, increasing wage and labour market flexibilit y, further liberalizing the banking, telecom and 
utility sectors.  Singapore is also negotiating several  trade and investment agreements with major 
trading partners.  1. Could Singapore elaborate further on how it inte nds to encourage sustainable development 
and core labour standards in this context? 
 
Singapore aims to build a diversified, globalised, and entrepreneurial economy.  Manufacturing and 
services will remain the engines propelling Singapo re’s growth, supported by science & technology 
and competitive factor inputs. Singapore also aims  to be one of the world’s best places for 
entrepreneurs to start and grow a business.  Sin gapore will continue to foster the strong tripartite 
relationship among the government, unions and empl oyers in the development of labour standards 
and preparing Singapore for future growth. 
 III. TRADE POLICIES AND PRACTICES BY MEASURE  (2) M
EASURES DIRECTLY AFFECTING IMPORTS  
(ii) Tariffs 
 WTO Secretariat's Report, page 38, para. 10-11 
 
2. Could Singapore elaborate on the rationale for applying high tariffs on stout, porter, beer and 
ale, but not on other alcoholic beverages? 
 WT/TPR/M/202/Add.1 
Page 60  
 
  These tariffs have been maintain ed for socio-cultural reasons.  
 (vii) Standards and Sanitary and Phytosanitary Requirements 
 WTO Secretariat's Report, page 46, para. 47 
 Article 2.3.13.1 of the OIE Terrestrial Animal Heal th Code stipulates the list of commodities which 
should not require any BSE rela ted conditions, "regardless of the BSE status of the exporting 
country". This list includes inter alia deboned skeletal muscle meat from cattle 30 months of age or less, milk and milk products, semen and in vivo,  derived cattle embryos collected and handles in 
accordance with the recommendations of the Intern ational Embryo Transfer Society, and hides and 
skins and gelatine and collagen prepared  exclusively from hides and skins. 
 3. Could Singapore demonstrate whether it is following the above-mentioned approach and 
could Singapore ensure that it applies th e OIE recommendations for trading commodities 
depending on the OIE-BSE risk status categorization of the exporting country? 
 4. Does Singapore recognise the recent change of EC countries into countries with controlled 
BSE risk according to OIE for the importation of beef from EC to Singapore? If not, could 
Singapore clarify? 
 
Singapore takes reference to OIE’s approach to classify BSE risk in countries that are not free of 
BSE. However, we also note that the OIE cate gory for controlled risk for BSE covers many countries 
with variable levels of control. In particular, ea ch of the countries differs in BSE prevalence and 
history; profile of cattle, slaughterhouse and rend ering industry, as well as standards of BSE 
surveillance and control measures.  
 
In Singapore’s case, we would allow resumption of im port of beef from previously approved countries 
(before they were affected by BSE) following a ri sk assessment that the controls put in place by the 
country pose a minimal risk of BSE to Singapore, wh ich is deemed to be our appropriate level of 
protection (ALOP).  As such, we will continue to assess the risk posed by specific beef products on a 
country-by-country basis.  
 
Singapore notes the recent change in risk categorisa tion of EC countries based on OIE's assessment.  
Singapore was already in the process of assessing the risk of beef from  certain EC countries. 
Singapore will continue with our assessment for impor t of beef, in particular on countries that have 
been recognised as negligible risk for BSE by OIE.  
 
WTO Secretariat's Report, page 47, para. 51  
The Reports states that under the Sale of Food Act (Cap. 283) and the Food Regulations certain 
imported products must be labelle d with the "country of origin". 
 
5. In view of the fact that Singapore has no tified the WTO Secretariat that it has no non-
preferential rules of origin (document G/RO /N/3), could Singapore indicate how is the 
requirement for "country of origin" for labelling purposes determined? 
 
“Country of origin” labelling is required for th e purpose of product traceability, e.g. for product 
recall when required.  Under the Sale of Food Act “Country of origin” refers to the country where the 
final product is produced.   WT/TPR/M/202/Add.1 
 Page 61 
 
 
  (viii) Government Procurement 
 WTO Secretariat's Report, page 49, para. 56  
The Report states that Singapore may maintain a 2.5%  preference margin for the supply of goods and 
auxiliary services from other ASEAN members, up to  a maximum value of USD 40,000 per tender. 
 6. Could Singapore indicate how often it resorts to  this instrument and whether there are 
considerations to withdraw it? 
 
This 2.5% preference margin was an issue that arose during Singapore's accession to the WTO-GPA. 
It was agreed at that time during Singapore’s accession that Singapore may maintain a 2.5% 
preference margin if the need arises. To date, this in strument has hardly been used but we still need to 
retain it as it is Singapore's commitment to ASEAN.  
WTO Secretariat's Report, page 50, para. 61 
 
The Report states that Singapore Government relaxe d procurement rules to enable SMEs greater 
access to government procurement opportunities.  7. Could Singapore provide information on which pr ocurement rules were relaxed to enable 
SMEs greater access to procurement opportunities? 
 
SMEs were not able to benefit from government proc urements because of the requirement of track 
records by the government procuring entities. Followi ng a review, this requirement of track records 
was relaxed. This relaxation appli es not only to SMEs but also to the MNCs. Also the registration 
requirement of suppliers for procurements below S$70,000 (which is below the GPA threshold of 
130,000 SDR) was also waived. These changes benefit not  only the SMEs but also all the suppliers 
including the MNCs. None of these relaxations ha ve any impact on the procurements covered by the 
WTO Agreement on Government Procurement.  (4) M
EASURES DIRECTLY AFFECTING IMPORTS  
(iv) Competition policy 
 WTO Secretariat's Report, page 65, para. 117  
8. Could Singapore share its assessment of the functioning of the Competition Commission 
(CCS)?  
 9. Could Singapore describe to what extent the implementation of the Competition Act has had 
an impact on its economy?  
 
CCS has made good progress in terms of the admin istration and enforcement of the Competition Act 
since it was set up.  In the past 2 years, CCS has issued notifications for guidance and decisions to 
businesses seeking clarity on whether their business activities would infringe the Competition Act, 
and has also cleared several merger notifications.  
Till date, CCS has received 3 notifications for deci sions and 8 mergers notifications. CCS has also 
received notifications for guidance a nd complaints from the public. 
 In addition, CCS commenced inves tigations into alleged infringe ments of the Competition Act. 
Several of these investigations are ongoing. Recently, the CCS imposed its first infringement decision 
against a bid-rigging cartel involving 6 pest cont rol companies.  These 6 companies were fined over WT/TPR/M/202/Add.1 
Page 62  
 
  S$260,000. They did not appeal the decision. The release of the first infringemnt decision 
demonstrates that CCS has the resolve and capabi lity to enforce and act against anti-competitive 
activities.    In addition to enforcement of the Act, CCS has been working with government agencies to promote 
pro-competition policies and improve Singapore’s bus iness environment. CCS has also raised the 
level of awareness of competition in Singapore by engaging and working with public and private 
organisations to emphasise the benefits and im portance of competition through advocacy and 
outreach programmes. For example, CCS has ju st issued a guideline on Competitive Impact 
Assessment for public organisations. 
 
Given the increased implementation of competition law in developed and developing economies worldwide, familiarity of competition law princi ples in general has allowed Singapore companies to 
better understand the competition regimes when they op erate in these countries. This also helps them 
not to fall afoul of these laws.  
 
IV. TRADE POLICIES BY SECTOR  (5) S
ERVICES  
(iv) Communications 
(a) Telecommunications  
WTO Secretariat's Report, page 90, para. 46 
 
The Report states that following introduction of full competition in the telecommunications market, any foreign operator can provide faciliti es and services based telecom services.  
 
10. Could Singapore provide information on the equity of these operators and in particular, if they 
are fully/partially owned by the foreign operators? 
 
IDA does not impose any foreign equity limits on th e facilities and services based telecom operators, 
hence these operators can be fully or par tially owned by the foreign operators. 
 
The foreign operators will only have to be a com pany incorporated under the Singapore Companies 
Act for the provision of facilities-based operations, or a company incorporated or a foreign company 
registered under the Singapore Companies Act fo r the provision of services-based operations.   
 
WTO Secretariat's Report, page 91, para. 47 
 
The Report states that there are at present 43 f acilities-based operators licensed in Singapore.  
 11. Given the high number of these operators, coul d Singapore provide information on the range 
of services they actually offer and sc ope of geographical coverage.   
 FBOs are allowed to deploy and/or operate any fo rm of telecommunication network, systems and/or 
facilities for the purpose of providing telecomm unication and/or broadcasting services outside of 
their own property boundaries to third parties, wh o may include other li censed telecommunication 
operators, business customers or th e general public.  The range of telecommunication services which 
can be provided over the licensees’ facilities may include backbone/wholesale bandwidth capacity 
and interconnection/access services to  other licensed telecommunicati on operators, or other domestic 
and international services.  The network coverage can be nationwide or only to selected geographical areas in Singapore. 
  WT/TPR/M/202/Add.1 
 Page 63 
 
 
  WTO Secretariat's Report, page 91, para. 48 
 
The Report refers to two major plans (Singapore ONE and the Next Gen NBN) to provide with 
nationwide services.   
12. Could Singapore explain whether these projects are funded by the state or they are launched 
by the private sector?  
 
The SingaporeONE was partly funded by the Go vernment. It has since been divested.  
 
The Next Generation NBN will be deployed by the private sector through an open Request for 
Proposal (RFP) process where all interested parties can submit their bid to design, build and operate 
the network. The government is pre pared to provide a grant of up to S$1 billion for the infrastructural 
project.  
(b) Audiovisual and media services 
 WTO Secretariat's Report, page 93, para 59 
 
The Report states that the Media Development Aut hority was created in response to the increasing 
convergence of different media, and the need for a consistent approach to regulation and development 
of the media sector. Licensing by Media Development Authority for media businesses or 
professionals to provide services or apparatus and equipment is extremely burdensome. There have 
been reports of denial or revocation of permits  without warning or without giving a reason.  
 13. Could Singapore explain what justifies such practice?  
 Para 59 of the Report only states that “The MDA was created in response to the increasing 
convergence of different media, an d the need for a consistent approach to regulation and development 
of the media sector.”  The other statements are not found in the Secretariat Report, and we do not understand the basis nor the relevance of the a llegations contained in those statements. 
 
WTO Secretariat's Report, page 93, para 60  
 
The Report states that Singapore’s local free-to-air broadcasting, cable, and newspaper sectors are effectively closed to foreign firms. Section 47 of the Broadcasting Act restricts foreign equity 
ownership of companies broadcasting to the Singa pore domestic market to less than 49 percent, 
although the Act also gives the Media Developm ent Authority (MDA) authority to waive this 
requirement. The government also limits individua l equity stakes in broadcasting companies to no 
more than five percent of issued shares.   14. Could Singapore furnish information in ho w many cases, compared to the number of 
applications, the MDA waived these requirements. 
 
To the EC's knowledge, BBC World Service is the onl y foreign free-to-air broadcaster in Singapore. 
As BBC has been admitted, the EC see no reasons for not admitting other free-to-air broadcasters in Singapore. 
 
Singapore's broadcasting sector is excluded from  liberalisation under the WTO due to national 
interest reasons to retain the ability to stipul ate our requirements on local content and foreign 
ownership for national security considerations, and to develop and preserve local cultural values and 
national identity.   WT/TPR/M/202/Add.1 
Page 64  
 
  However, there are no investment and ownership restrictions on foreign companies using Singapore 
as a base to broadcast to the region.   We will like to point out that (a) section 44 and not section 47 should be the correct reference, and (b) 
the Minister of the Information, Communications and the Arts (MICA) and not MDA has the power to 
waive foreign ownership controls.  
 To date, MDA has received two applications fr om foreign entities, i.e. BBC and Bloomberg, to 
provide broadcasting services in Singapore. Minister/MICA had granted waivers for both companies.   
In addition, individual equity stak es in broadcasting companies are not  limited. Any person wishing to 
acquire an interest of 5% or more in the shares of  any major local broadcasting company can do so 
after obtaining Minister/MICA’s approval. 
 
WTO Secretariat's Report, page 94, para 62  
 
The Report states that the use of satellite dishes is limited to certain organi zations and that Singapore 
has not authorized direct-to-home satellite 
television services 
 15. Could Singapore explain why it restricts the use of satellite receiving dishes and has not 
authorized direct-to-home satellite television services? 
 Singapore restricts the use of DTU (Direct to Us er) and DTH (Direct to Home) satellite dishes 
because it is imperative to keep out undesirable cont ent that is at odds with Singapore’s multi-racial 
and multi-religious society. Security challenges fa ced by the region over the past few years have only 
heightened our awareness that we must continue to be vigilant against influences that may split or 
divide our society.  
 As Singapore is small and compact geographically, we have chosen the cabling option to provide 
consumers with a wide spectrum of services. Furt hermore, Singapore is seeing the introduction of 
IPTV and WebTV services, which provide consumers with even more TV choices.  
(v) Transport  
WTO Secretariat's Report, page 96, para. 70 
 
16. With reference to the fact that Singapore ser vice suppliers benefit from exclusivity in the 
provision of services auxiliary to maritime tran sport in the Port of Singapore, and with 
reference to the extensive international opera tions of Singapore's port operators abroad, could 
Singapore explain the factors that prevent it fro m providing similar opportunities in the Port 
of Singapore for foreign providers to suppl y services auxiliary to maritime transport? 
 
Singapore is unable to make commitments in services auxiliary to maritime transport.  For instance, 
for cargo handling, it is our policy to have only tw o terminal operators for economic security reasons. 
Only PSA and Jurong Port are allowed to pr ovide cargo handling services at Singapore ports. 
However, Singapore has allowed foreign equity partic ipation in our cargo terminal sector through JV 
agreements with shipping lines to op erate dedicated terminal facilities. 
  WT/TPR/M/202/Add.1 
 Page 65 
 
 
  (vii) Professional Services 
(ii) Legal Services 
 
WTO Secretariat's Report, page 102, paras  95, 97 
 
The Report states that Singapore takes measures to ensu re that there is no oversupply of lawyers in the 
domestic legal market and that foreign lawyers can  be employed by Singapore law firms who can own 
equity shares up to 25% of the total equity shares or profits. In paragraph 97, it appears that there is an 
intention to improve the current status quo to share up to 49% of the profits. 
 
17. Could Singapore elaborate on this intention and indicate also what prevents Singapore from 
considering full ownership of shares or profits by foreigners law firms?  
 
The intention to improve th e current status quo to share up to 49% of the profits is in relation to the 
Enhanced Joint Law Venture Scheme.  Under this sch eme, which will be implemented within the next 
12 months, foreign law firms will be allowed to sha re up to 49 % of the profits of the constituent 
Singapore law firm in the permitted areas of practice.    Separately, foreign lawyers can also be employed  by Singapore law firms (i.e. a Singapore law firm 
on its own, that is not in a joint venture with a foreign firm) and they can own equity shares up to 25% 
of the total equity shares or profits of the firm.  
 
Singapore does not allow, for now, full ownership of shares or profits in a Singapore law firm by 
foreign lawyers.  The Government has been trying to  build up a strong local Bar and judiciary for 
many years. It is essential for Singapore's needs, as for other societies, that  we have a strong local 
Bar that will be able to fully represent their clients in litigation before the Singapore courts. 
Moreover, without a strong local Bar, the quality of the judiciary will suffer, as most superior court 
judges are drawn from the Bar.  The on-going liberalis ation that is being implemented with effect to 
the Joint Law Venture Scheme and the Qualifyi ng Foreign Law Firm Scheme will allow a much 
greater participation of foreign law firms in Singapore law through the hiring of Singapore lawyers.     WTO Secretariat's Report, page 103, para. 99 
 
The Report suggests that following SAFTA, Australian law firms have become more competitive than 
UK law firms.   18. Is Singapore considering the option of providing similar benefits to UK law firms to allow 
them to compete on equal footing with law firms originated from other countries?  
 
This will depend on the overall balance of benefits in any future agreement involving Singapore and 
the UK.  
 
 THE UNITED STATES
 
 
I. ECONOMIC ENVIRONMENT 
 (4) S
TRUCTURAL POLICIES  
 
Page 10, paragraph 25:  The Secretariat’s Report states that the government of Singapore provides 
incentives to attract investment in  targeted areas and has developed infrastructure to support its 
biotechnology industry and industrial parks to cater to  special needs of targeted industries.  Please 
describe these incentives.  In addition to biotechnolog y, what industries has the government targeted?  WT/TPR/M/202/Add.1 
Page 66  
 
   
There are no specific incentives for biotechnology industry. 
 Biotech companies may apply for incentives that a re available to all industries based on the 
“qualifying activities” they carried out in Singa pore (e.g. manufacturing, R & D, HQ activities & 
etc). 
 (7) O
UTLOOK  
 
Page 16, paragraph 38:  The Secretariat’s Report states that th e government continues to offer tax 
incentives in industries that it is trying to nurture.  Such industries include the semiconductor, IT, and 
biomedical science and services.  Please describe the incentives that the Singapore government offers 
to the semiconductor and the IT industries. 
 
There are no specific incentives for se miconductor and IT industries. 
 
Semiconductor and IT companies may apply for the incen tives that are available to all industries as 
long as their activities carried out in Singapore fall within the “qualifying activities” as prescribed in 
the incentive application form.  
III. TRADE POLICIES AND PRACTICES BY MEASURE 
 (2) M
EASURES DIRECTLY AFFECTING IMPORTS  
 
(vii) Standards and sanitary and phytosanitary requirements 
 
(c) Sanitary and phytosanitary (SPS) measures 
 Page 46, paragraph 46:  What is the basis for Singapor e’s policy regarding allowable 
microbiological specifications?  Were the specificat ions established according to the principles for 
establishing microbiological criteria in foods outlined by CODEX? Why does the Singapore 
government believe it is necessary to take samples from each shipment of raw meat and poultry for 
laboratory testing for the presence of microorgani sms?  The United States does not believe it is 
necessary to test imported raw meat and poultry produ cts for Salmonella at Port of Entry; it relies on 
the foreign government to ensure that the meat  and poultry meets the US import requirements. 
 Singapore's food safety requirements are stringent and consistent with international standards. We 
have an integrated food safety system in place and, for meat and meat products, our food safety 
measures include:  1) Review of animal and public health standar ds, production systems and practices at source 
 
2) Inspection and accreditation of source farm s, abattoirs and food processing establishments 
 3) Verification of compliance through inspection at points of entry and local abattoirs, 
laboratory testing and surveillance. 
 
Sampling and testing of primary produce at the point  of entry into Singapore serves as a form of 
verification of our integrated food safety system. Sampling and testing is not enforced for all import 
shipments but risk-based, based on history of violation/compliance of safety standards.  The safety of foods is principally assured by cont rol at the source, product design and process control 
during production, processing (including labelling), handling, distribution, storage and preparation  WT/TPR/M/202/Add.1 
 Page 67 
 
 
  and use, in conjunction with the applicatio n of the HACCP system.  Singapore’s current 
microbiological criteria are to check and verify the effectiveness of, and compliance with, process 
controls of imported products (via  indicator organisms).  The cr iteria are consistent with the 
principles for the establishment and application of microbiological criteria for foods outlined by 
Codex. 
 Page 46 Paragraph 47: According to the Secretariat’s Report,  in 2005, Singapore’s AVA reviewed 
its import conditions for beef from mad-cow-disea se-affected countries and developed new import 
requirements in line with OIE (World Organization for Animal health) guidelines.  The Secretariat 
further states that AVA “worked with the U.S. Department of Agriculture to finalize, inter alia,  the 
health certification programme to fac ilitate the resumption of imports.”  
 When does Singapore intend to adhere to the OIE gu idelines for the trade in beef and beef products 
from countries classified as controlled risk category for BSE? 
 
Singapore notes that the OIE category for controlled risk for BSE appears to be very broad, and 
includes many countries, each of which diff ers in BSE prevalence and history; the cattle, 
slaughterhouse and rendering industry; and consistency of implementation and enforcement of BSE 
surveillance and control measures. For example, count ries recognized as controlled risk differ in BSE 
prevalence, implementation of SRM removal, extent of ban of SRM in animal feed as well as animal 
identification and traceback systems.  In Singapore’ s case, we would allow resumption of import of 
beef from previously approved countries following a ri sk assessment that the controls put in place by 
the country pose a minimal risk of BSE to Singapore, which is deemed to be our appropriate level of 
protection (ALOP).    Singapore will also review the risk of BSE infectivity  in specific tissue, eg bone-in and boneless tissue 
and age-related risk, taking into consideration th e outcome of scientific studies on transmission of 
infective prion in meat (which have yet to be comp leted) to determine the allowable range of meat, 
whether bone-on or boneless, organs and offals, and processed meat products.  
 
(d) Labeling 
 
Page 47 Paragraph 49:  Please explain why all consignments of high risk shellfish products such as 
oysters, cockle meat, cooked praw ns and cooked meat have to under go laboratory tests upon arrival in 
Singapore? Does this imply that Singapore requires further assurance beyond the statements provided 
in the export health certification issued by the federa l or state inspectors of the exporting country? The 
test and hold procedures in place have created difficulties for importers of shipments of live sea food 
products with very short shelf lives.  
 
One of the measures of Singapore’s integrated food safety system is the ve rification of compliance 
through inspection at points of entry, laboratory testing and surveillance.  Surveillance of specific 
high-risk shellfish and meat products is necessary due to  their history of violation of safety standards, 
so to assure consumer protection. 
 
Oysters, cockle meat, cooked prawns and cooked crabmeat are all deemed to be high risk shellfish 
products due to the fact that they are either eate n raw or blanched (in the case of oysters and cockles 
respectively) or have undergone extensive handling during processing and are ready-to-eat (in the case of cooked prawns and cooked crabmeat).  Given their classification as “high risk” items, 
imports of such products are required to be ac companied by health certificates issued by the 
competent authorities of the exporting countries.  Also  in view of the “high risk” classification, 
Singapore needs to conduct import checks to ensure that  the products are safe for consumption.   
 WT/TPR/M/202/Add.1 
Page 68  
 
  Live seafood products are not normally placed under hold and test.  They are normally sampled and 
released for sale.  There were a few cases of “hold and test” for live oysters, due to:  
 
a) Repeated detections of norovirus in p revious imports from the same source.  “Hold 
and test” was imposed as Singapore had experienced a number of norovirus food 
poisoning outbreaks in which consumpt ion of raw oysters were implicated. 
b) Reports of Vibrio (V. cholerae, V. parahaem olyticus, v. vulnificus) contamination.  In 
the case of V. parahaemolyticus, we noted that the US  
 Food and Drug Administration had even issued a wa rning on eating raw oysters harvested from the 
affected growing area.  Singapore had imported live oysters from the same US State (including the 
same growing area) in which the vibriosis outb reak occurred, and thus imposed the “hold and test” 
on US oysters as a precaution.  When live oysters are placed under “hold and test”,  the importers would be requested to freeze the 
oysters pending the outcome of  the laboratory tests. 
 (3) M
EASURES DIRECTLY AFFECTING EXPORTS  
 
(iv) Export assistance 
 Page 52, paragraph 75:  The Secretariat’s Report states that IE Singapore provides export promotion 
and marketing assistance through programs, “s uch as the Double Tax Deduction Scheme, which 
allows companies to deduct against their taxable income twice the eligible expenses incurred in 
activities such as participation in overseas trade fairs, setting up of overseas marketing offices and 
other investment expansion activities.”  Please provi de additional details e xplaining how the Double 
Tax Deduction Scheme operates.  
 
Please refer to the example below on how the DTD scheme works for a company. 
 Company A spends S$10,000 to participate in an overseas trade fair. Upon qualifying for DTD, this 
eligible expense will be doubled for the purpose of tax deduction, thereby translating into potential 
tax savings for Company A.   
 
 
ARGENTINA
 
 
WT/TPR/S/202, Report by the Secretariat 
 
II. RECENT ECONOMIC PERFORMANCE 
(3) M ACROECONOMIC POLICIES  
(i) Monetary and exchange rate policy 
 
Paragraph 15, page 7 
 
 According to this paragraph, there are no fo rmal exchange controls in Singapore, except one 
primary restriction on lending to financial en tities for speculative purposes against the Singapore 
dollar.  In what situations do the authorities consid er that there are "speculative purposes" against the 
dollar?  What is the legal framework for this provision? 
 
The legal framework for this is provided for under MAS Notices. These have the force of law and are 
issued under primary legislation enacted by Acts of Parliament.   
  WT/TPR/M/202/Add.1 
 Page 69 
 
 
  Financial institutions to which the Notice applies have understood it to mean manipulation of the 
Singapore dollar in a manner inconsis tent with underlying economic f undamentals so as to destabilise 
financial sector soundness. 
 
(ii) Fiscal policy 
 
Paragraph 16, page 7 
 
 This paragraph reports that  although the overall budget bala nce was positive from the late 
1980s through to the early 2000s, it has mostly been in  deficit in recent years.  What measures is the 
Government taking to tackle the continuing budget deficit? 
 
The Singapore Government aims to achieve a balanced  budget over each term of government.  This 
means that we accumulate budget surpluses duri ng years of good economic growth, and draw on 
these accumulated surpluses during periods of economi c downturn, subject to constraints spelt out in 
the Constitution. 
 In recent years, particularly in FY2001  and FY2003, we have run slightly  larger deficits to implement 
relief measures to ameliorate and cushion the impac t of an economic downturn, and to make strategic 
investments to enhance long term competitivene ss to ride the growth path when the economy 
recovered from the downturn.   
 
Despite these small budget deficits run from year to year, we have been able to achieve a balanced 
budget over the term of Government. We have run surpluses in FY2005 and FY2007.  One way the 
Government has done this is by relying more on indi rect taxation, such as broad-based consumption 
taxes. For example, the Government raised the Goods and Services Tax (GST) rate from 5% to 7% in 
2007, to fund programmes to help the lower-in come, prepare for an ageing population and to 
increase investments in education, infr astructure and research and development.  
 Over the medium term, we are making changes to our Net Investment Framework to leverage on it 
more for spending.  This would put our budget position in a much stronger position going forward.  
 
III. TRADE POLICY REGIME:  FRAMEWORK AND OBJECTIVES 
(5) F
OREIGN INVESTMENT REGIME  
(ii) Incentives 
 
Paragraph 48, page 32 
 
 According to this paragraph, in addition to incentives for investors in different services, 
Singapore grants non-tax incentives in the form of grants  for certain activities, particularly in the high 
value-added sectors, training, and research and development.  What are these incentives, and by what legislation are they regulated?  Examples of non-tax incentives are:-  (a) Innovation Development Scheme (IDS), (b) Initiatives in New Technologies (INTECH), (c) Research Incentive Scheme fo r Companies (RISC) & etc.   
 
Other non-tax incentives can be found in Tabl e AIII.8, page 137 of Appendix Tables. 
 Non-tax incentives (e.g. grant) are not legislat ed but administered by the relevant approving 
authorities based on the guide lines set for each scheme. WT/TPR/M/202/Add.1 
Page 70  
 
  IV. TRADE POLICIES AND PRACTICES BY MEASURE 
(2) M
EASURES DIRECTLY AFFECTING IMPORTS  
(ii) Tariffs 
(d) Duty exemptions and concessions 
 Paragraph 14, page 38 
 
 According to this paragraph, it is possible to  request exemptions from duties and special taxes 
on the importation of certain goods used by local indus tries, such as raw or intermediate materials.  
Could you please provide more information on how th is works and on the products included in this 
exemption mechanism? 
 
Local industries using dutiable raw materials can apply for duty exemption. Applications should show 
the quantities/annual requirements of such raw ma terials and the description and quantities of the 
products to be manufactured. Duty exempted materi als should only be used for the manufacture of the 
applicants’ products. Besides ethyl alcohol, the oth er dutiable raw materials subject to exemption 
from payment are wine and rum. 
 
(iii) Other charges affecting imports 
(a) Goods and services tax 
 Paragraph 16, page 39 
 
 This paragraph states that the Government  applies a goods and services tax relief scheme 
called the "Major Exporters Scheme (MES)" under whic h the goods and services tax is deferred at the 
point of importation and becomes payable only if th e imported goods are sold domestically.  What are 
the sectors that can benefit from this exemption?  Are the criteria for qualification as a "major 
importer" exclusively those that appear in Table A. III.1?  Where is the list of eligible enterprises 
published?  
The Major Exporter Scheme (MES) is a concession desi gned to help the cash flow of major exporters 
who have significant imports. It is open to a ll GST-registered businesses who could meet the 
qualifying conditions. The main conditions are as follows: 
 
(a) The zero-rated supplies of the applicant mu st account for more than 50% of the total 
supplies or the value of the zero-rated s upplies is more than S$10 million for the past 
12 months; 
 
(b) The applicant has good internal controls, proper accounting records and good 
compliance records with  the tax authority. 
 Please visit the Inland Revenue Authority of Singap ore, IRAS’s website for more information on the 
Major Exporter Scheme: 
http://www.iras.gov.sg/ir asHome/page03.aspx?id=2108 
 IRAS does not publish a list of GST-registered pe rsons who are placed under the Major Exporter 
Scheme. 
  WT/TPR/M/202/Add.1 
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  (3) M EASURES DIRECTLY AFFECTING EXPORTS  
(i) Procedures 
 
Paragraph 65, page 50 
  This paragraph states that under the Strate gic Goods (Control) Act, exports of goods 
considered to be strategic must have a valid perm it issued by Customs prior to export.  According to 
the report, such goods are included in a list, which has in fact been expanded since 1 January 2008.  
What is the aim of this law?  What criteria need to  be met for a product to be considered "strategic"? 
 The aim of the Strategic Goods (Control) Act is to regulate trade in strategic goods and strategic 
goods technology.  Strategic goods, in this context, refer to goods that  could be used in the production or development of 
military equipment and weapons of mass destruction.   These include dual-use goods that could be 
used for civilian or military purposes, such as encry ption, aviation and marine equipment, electronic 
and laser equipment, etc.  The list of controlled goods is in line with international practices, based on 
the control lists of the multilateral export contro l regimes viz. the Austra lia Group, Nuclear Suppliers 
Group, Missile Technology Control Regi me and the Wassenaar Arrangement.   
 Further information on the Strategic Goods (Control) Act is available on the Singapore Customs 
website: http://www.customs.gov.sg/stgc/topNav/hom/  
(iv) Export assistance 
 
Paragraph 73, page 51 
 
 This paragraph reports that the Government , through the Global Trader Programme (GTP), 
provides a concessionary tax rate of five per cent or ten per cent on qualifying  international trading 
activities of approved commodities and products.  Wh at international trading activities are granted 
this incentive?  Please specify what goods are included.  Under the Global Trader Programme (GTP), th e list of approved products includes:  
- Petroleum and petroleum products, - Agricultural commodities and bulk edible products, - Building and industrial materials, - Consumer products, 
- Machinery components, 
- Minerals - Electrical products 
 Qualifying international trading activities refer to tr ading in any of the appr oved products on a spot 
or forward basis. 
 
(4) M
EASURES AFFECTING PRODUCTION AND TRADE  
(iii) Taxation 
(c) Tax incentives 
 Paragraph 109, page 62 
 
 This paragraph of the Report states that the Government has developed a new tax incentive 
programme to encourage companies into high-tech  activities, in the form of tax concessions on WT/TPR/M/202/Add.1 
Page 72  
 
  royalties.  Is this programme already in force?  What are the tax concessions?  What are the eligibility 
requirements for this benefit?  
The tax concession on royalties develop ed to encourage companies into high tech activities is called 
Approved Royalties Incentive (ARI). Th is concession is already in force. 
 
Companies granted with ARI will be exempted either  partially or fully the withholding tax liability of 
10% or reduced DTA rate, on the royalty payments paid to the overseas recipient. 
 The approving authority will assess each application on case-by-case basis.  Generally, projects that 
introduce technology or know-how into an industry wh ich is substantially more advanced than that of 
the average prevailing in that industry w ill be considered by the approving authority. 
 
Paragraph 110, page 64 
  This paragraph states that the Government in troduced several additional measures to promote 
the development of Singapore as a financial centre,  with enhanced tax incentives for asset and wealth 
management, capital and treasury markets, and cap tive insurance.  What are these measures, and 
what, exactly, do the incentives consist of?  
Please refer to Table AIII.7 for the list of applicable incentives.  
 
Paragraph 110, page 64 
 
 According to this paragraph, a new fina ncial incentive was introduced to develop the 
maritime industry offering a tax exemption for qua lifying investment and a ten per cent concessionary 
tax rate for qualifying shipping investment managers .  What, exactly, is meant by "qualifying" in 
these two cases?  
The qualifying investments refer to investments in  vessels that have been approved under the 
Maritime Finance Incentive.  To qualify, companies mu st fulfil a number of criteria including having 
to control and manage such investments from Singapore. 
 
IV. TRADE POLICIES BY SECTOR 
(3) M
ANUFACTURING  
(ii) Key sectoral policies 
 
Paragraph 13, page 76 
 
 According to this paragraph of the report, in  order to deepen Singapore's technology base and 
strengthen knowledge-based manufact uring clusters, the State offers tax incentives to encourage 
innovation by firms operating in the country.  What are these tax incentives?  Are they limited exclusively to those mentioned in Table A.III.7? 
 
Some of these tax incentives are:- 
 
(a) Development and Expansion Incentive 
This incentive will be granted to approved companies engaged in manufacturing or increased 
manufacturing of any product that woul d be of economic benefit to Singapore. 
  WT/TPR/M/202/Add.1 
 Page 73 
 
 
  (b) Investment Allowance 
 This incentive will be granted to compani es engaged in approved qualifying activities which 
include - manufacturing and specialized engin eering or technical servi ces activities, research 
and development activities & other approved qualifying activities as specified in the Economic Expansion Incentives Act (EEIA).  
 
(5) S
ERVICES  
(iii) Banking and other financial services 
(a) Overview 
 
Paragraph 30, page 82 
 
 According to this paragraph, Singapore offers  certain incentives to financial institutions, in 
particular concessionary tax rates for qualifying ac tivities that are important to Singapore's financial 
sector growth.  What criteria do the financial ins titutions have to meet to be eligible for these 
incentives?  What activities are considered "impor tant to Singapore's fi nancial sector growth"? 
 
Please refer to Table AIII.7 for the list of applicable incentives. 
 (b) Banking 
 
Paragraph 31, page 82 
 
 This paragraph states that since 2007, the Ba nking Act and other financial legislation has 
undergone important amendments to enhance the MAS's powers for dealing with distressed or 
insolvent banks.  What do these amendments consist of?  
MAS recognises that a private sector resolution option is often preferred by regulations when dealing 
with a bank in distress or insolvency. However, in the event that this is not possible, international 
experience has shown that it is important for the regulator to be able to take action quickly to 
minimise losses to depositors and other creditors, and to  maintain stability in the financial system. To 
this end, the parliament passed a Bill amending th e Banking Act in 2007, which will accord MAS a 
wider role in the resolution process and a broader range of resolution options. 
 Please refer to paragraph 14 of the following speech for more details:  
http://www.mas.gov.sg/news_room/statement s/2007/Second_Reading_Speech_by_Mr_Lim_Hng_Kian
g_22Jan2007.html 
 
Paragraph 32, page 82 
 
 According to this paragraph, certain banks were  granted the status of "Qualifying Full Bank" 
which enables them to perform a wider range of  permitted banking operations.  What criteria does a 
bank have to meet in order to be eligible for Qu alifying Full Bank status, and what are the additional 
operations that this status enables them to perform?  
MAS took into account prudential considerations like the bank's financial position, its credit ratings, 
capital and global asset size, as we ll as its reputation and track record.  
 Qualifying Full Banks may operate a total of 25 locations. They may also share Automated Teller 
Machines (ATMs) among themselves, and relocate th eir sub-branches freely. QFB are allowed to 
negotiate with the local banks on a commercial bas is to let their credit card holders obtain cash 
advances through the local bank's ATM networks. Q FBs may also provide debit services through an WT/TPR/M/202/Add.1 
Page 74  
 
  EFTPOS network, offer Supplementary Retirement Sc heme and CPF Investment Scheme accounts, 
and accept fixed deposits under the CPF Investment Scheme and Minimum Sum Scheme. Details can 
be viewed at http://www.mas.gov.sg/fin_development /Types_and_Number_of_Institutions.html 
 
(v) Transport 
(c) Maritime transport 
 
Paragraph 75, page 97 
  According to this paragraph, Singapore has four incentive regimes for shipping and related 
companies based on preferential tax rates to provide  those companies with an environment conducive 
to the development of their activities.  What requi rements does a company need to meet in order to 
qualify for these benefits?  Generally, applicants must have a presence in Singapore and should be overseeing their business 
from Singapore.   
 
ADDITIONAL QUESTION
 
 
WT/TPR/S202, REPORT BY THE SECRETARIAT 
 
III. TRADE POLICIES AND PRACTICES BY MEASURE (2) M
EASURES DIRECTLY AFFECTING IMPORTS  
(vii) Standards and sanitary and phytosanitary requirements 
Paragraph 48, page 47 
 
 According to this paragraph, imports of fr esh eggs currently come from accredited farms in 
Malaysia, Japan, Australia, New Zealand, and the Unite d States, and that imports of broiler chickens 
and ducks are permitted only from accredited farms in Ma laysia.  What are the criteria that govern the 
marketing of fresh eggs, egg prod ucts, and other poultry products? 
 Members interested in exporting to Singapore have to provide information on the organisational 
structure of the licensing authority, poultry disease status (eg HPAI), legislations for control of 
animal and veterinary public health as well as the national microbiological and residue control 
programmes for documentary evaluation.   
Interested farms and processing establishments can a pply through their Veterinary Authority to AVA 
by completing an application form available on AVA's website.  Fo r export of table eggs and live 
broilers to Singapore, an inspection of the interest ed poultry farms may be conducted before approval 
is granted by AVA.  For the export of table eggs , the layer farms should have an approved Salmonella 
enteritidis(SE) program in place and are not practis ing SE vaccination.  For export of processed egg 
and meat products, AVA may also require inspection of the interested processing establishments, 
besides documentary evaluation.   
  WT/TPR/M/202/Add.1 
 Page 75 
 
 
  REPUBLIC OF KOREA  
 
TRADE POLICIES BY SECTOR 
 
Services - Banking and Other Financial Services 
 
1. According to the Secretariat Report (parag raph 31, page 82), to enhance protection for 
Singapore depositors, the Monetary Authority of Si ngapore (MAS) introduced an asset maintenance 
regime to help improve recovery of assets from a foreign bank branch in Singapore, should it 
fail.       Please provide us detailed informa tion with regard to the asset maintenance regime. 
 MAS' liberalisation measures in the last fe w years have encouraged greater foreign bank 
participation in our banking sector.   
 In Singapore, many foreign banks have been allowe d to operate as branches, unlike some other 
jurisdictions, where foreign banks a re required to establish local subs idiaries.  The asset maintenance 
(AM) requirement is therefore a prudential measu re designed to protect depositors in the event of a 
financial crisis or the bank's insolvency. The AM  requirement framework applies to all foreign bank 
branches in Singapore and requires them to maintain  a minimum level of eligible assets in Singapore 
in proportion to their deposit liabilities.   
Foreign full banks which have access to retail de posits, as well as wholesale banks which have 
greater access to domestic deposits vis-a-vis o ffshore banks, are required to maintain minimum 
eligible assets equivalent to 35% and 15% of their domestic deposits respectiv ely.  Offshore banks are 
required to maintain eligible assets of at le ast $5m.  In applying these prudential measures, MAS 
takes into consideration each bank’s financial soun dness, risk profile, and any  supervisory concerns 
over the risk management systems and controls of  its Singapore operations and may require banks to 
maintain higher AM requirements. The AMR for a bank may be revised upwards or downwards, 
depending on MAS’ supervisory assessments of the bank.  The AM requirements were determined after clos e consultations with the banking industry, and 
carefully calibrated to balance prudential objectives and banks' commercial interests.  The 
consultation was conducted from 13 September to 13  October 2006, further which MAS provided our 
responses to the industry's feedback on 14 Fe bruary 2007. Details can be viewed at 
(i)http://www.mas.gov.sg/resource/public ations/consult_pap ers/2006/MAS640.pdf 
(ii)http://www.mas.gov.sg/resource/publications /consult_papers/2006/R esponse_to_Feedback_Propo
sed_MAS640_Feb07.pdf 
 
Services - Professional Services 
 
2. According to the Secretariat Report (parag raph 101, page 103), to provide architectural 
services in Singapore, an architect is required to register with the Board of Architects, pass the 
prescribed examination and have at least two years of practical experience. These requirements can 
act as an obstacle to foreign architects wishing to do business in Singapore. In  the case of Korea, there 
is no such requirement for registration with a professional organization. Furthermore, Korea 
recognizes foreign architect licenses in case a joint co ntract with Korean architects is pursued. Please 
elaborate the Singapore Government's plans, if any, to ease these requirements. 
 
The relevant information regarding these requiremen ts is available on the Board of Architects 
website:  http://www.boa.gov.sg/ 
 
 WT/TPR/M/202/Add.1 
Page 76  
 
  AUSTRALIA
 
 
SUMMARY OBSERVATIONS 
 (5) S
ECTORAL POLICIES  
 1. Australia notes that Singapore has an open services economy, but this is not reflected in its 
Uruguay Round commitments or Doha Services offe r.  A priority for Australia is improved 
commitments on professional services.  Singapore has made no offer on legal services and has an 
MFN exemption on legal services.  
 - Why is such a restriction in place? - Are there plans to make commitments in this key services sector? 
 
The MFN exemption was put in place because of  our policy of recognizing certain foreign universities 
in the UK, Australia, NZ and the United States.  At the moment, Singapore does not have a common 
professional examination for all would-be lawyers.  We have liberally recognized 19 UK universities, 
10 Australian and 2 NZ and 4 US ones – because of  the similarities between Singapore’s legal system 
and these other common law countries. However, we are currently not in a position to recognize, on 
an MFN basis, all law schools in the world, due to our economic and social concerns. As such, we 
took out an MFN exemption.  
 Singapore has over the years progressively and systema tically liberalised th e legal services sector, 
taking into consideration local conditions. Commitm ents in the area of legal services are under 
consideration. 
 
 
COLOMBIA
 
 
Report by the Secretariat WT/TPR/S/202 
 
I. ECONOMIC ENVIRONMENT (2) R
ECENT ECONOMIC PERFORMANCE  
"7. Singaporeans have generally benef ited from globalization, but some  have benefited more than 
others.  A number of older and less educated work ers remain vulnerable to structural unemployment 
as the economy restructures and manufacturing a nd services move up the value-added ladder.  
Although all income groups have seen higher income  growth, the disparity in household income has 
widened during the review period, reflecting higher wage increases for skilled and knowledge 
workers.  The Government has recognized that income inequalities may unde rmine social cohesion 
and has taken steps to address this, through inter alia,  the Workfare Income Supplement for older 
low-wage workers, greater investment in skills upgrading, and enhancing assistance for children from 
lower-income families." 
1. What does the Workfare Income Supplement consist of? 
 
2. What are its characteristics and under what conditions is it allocated? 
 The Workfare Income Supplement (WIS) Scheme gi ves income supplements to older, low-wage 
workers.  The WIS scheme aims to encourage workers to find work and stay in work, and to build up 
their savings for retirement, housing and healthcare needs. 
  WT/TPR/M/202/Add.1 
 Page 77 
 
 
  The WIS scheme forms a key pillar of Singapore’s so cial security system, and is linked to the Central 
Provident Fund (CPF) which is a na tional, mandatory savings scheme to  help citizens save for their 
retirement, housing and healthcare needs.   
 
(4) S TRUCTURAL POLICIES  
"26. The Government has also built upon the regulat ory reform undertaken in several services 
sectors (telecommunications, electricity, and gas) and ra ised or removed foreign investment limits (for 
example in telecommunications, financial services, elect ricity).  Some steps have been taken to curtail 
the role of GLCs, which operate in many sectors;  some enterprises have b een privatized during the 
period under review, although it is still not clear what market share they represent in the many sectors 
in which they operate.  Moreover, after l ong eschewing an over-arching competition law, the 
Government enacted such a law in 2005." 
3. What steps have been taken to curtai l the role of government-linked companies 
(GLCs)?  
The key step towards reducing the role of GLCs  (which comprise mainly of Temasek investee 
companies) in Singapore’s economy is their gradual divest ment over time.  This trend of divestment is 
continuing*. For example, it was publicly announced in 2007 that Temasek would be divesting the 
electricity generation companies in its stable i.e. T uas Power, Senoko Power and PowerSeraya.  Tuas 
Power was sold to Huaneng in March this year, and Temasek has just announced that they will divest 
Senoko Power by mid-2009.  More importantly, GLCs are not a means of indu strial policy in the current developed state of 
Singapore’s economy. GLCs, whether directly or i ndirectly owned by Government, do not enjoy any 
advantages by virtue of their ownership links and compete on equal terms with private sector 
enterprises.   
 * To clarify, the Government does not direct or  influence investments or divestments made by 
Temasek Holdings. Temasek today ma kes such decisions independently of Government, and on purely 
commercial considerations. This is in line with Te masek’s role to deliver sustainable, long-term 
financial returns on its overall portfolio to its sole shareholder, the Government. 
 
4. What are the most important aspects c overed by the recently enacted competition 
law?  
The Competition Act (“the Act”) The Act seeks to  prohibit anti-competitive activities that unduly 
prevent, restrict or distort competition. These are th e three main prohibited activities under the Act:  
- anti-competitive agreements, decisions and practices ("the section 34 prohibition"); 
- abuse of a dominant position ("the section 47 prohibition"); and  
- mergers and acquisitions that substant ially lessen competition ("the section 54 
prohibition"). 
 (7) O
UTLOOK  
"40. Among the social challenges facing Singapore, the demographic trends of falling fertility 
rates and rising life expectancy are resulting in a ra pidly ageing population, which could contribute to 
an eventual fall in Singaporeans' overall propensit y to save insofar as a growing number of retirees 
rely increasingly on their savings (rather than income ) to finance consumption.  The Government has 
been helping Singaporeans to prepare financially for retirement through long-term and continuing 
reforms in policies pertaining to employment, tr aining, retirement savings, housing and health." WT/TPR/M/202/Add.1 
Page 78  
 
  5. What do the political reforms pertaining to employment, training, retirement savings, 
housing and health entail? 
The Central Provident Fund (CPF), a defined cont ribution social security scheme, is a critical 
enabler of Singapore’s social security system.  St arted in 1955, it has helped Singaporeans own 
homes, afford high quality healthcare and save for their retirement.  The CPF is regularly reviewed to 
ensure that it remains relevant and keeps up with the changing needs of our population. Thus, major 
reforms have been undertaken over the last 20 years.  In 2007, Singapore conducted another 
fundamental reform of our CPF system to help Si ngaporeans improve their retirement adequacy and 
work longer, in order to deal decisively with the challenges of Singapore’s rapidly ageing population.  
 In February 2008, the Government announced a Lease Buyback Scheme to help low-income elderly 
households in smaller flats to unlock their housing equ ity to meet retirement n eeds.  In the area of 
healthcare financing, Singapore’s philosophy fo cuses on individual responsibility and co-payment, 
together with government subsidies and community support.   II. TRADE POLICY REGIME:  FRAMEWORK AND OBJECTIVES (3) D
EVELOPMENT AND ADMINISTRAT ION OF TRADE POLICY  
(ii) Transparency 
 
"15. The MTI consults regularly with the busi ness community, primarily through meetings with 
the various chambers of commerce and trade as sociations in Singapore, such as the Singapore 
Business Federation (SBF).  The SBF, establishe d in 2002 under the Singapore Business Federation 
Act, represents the largest number of companies in Singapore and is one of the bodies that liaises with 
the Government on the interests of the business commun ity in Singapore.  Consultations are also held 
with the tripartite National Wages Council, the Na tional Trades Union Congress, and the Consumers 
Association of Singapore on a regular basis.  National committees may be formed from time to time to examine specific issues (such as the Economic Review Committee in 2001- 03).  The Committees 
usually include representatives from ministries, st atutory boards, and the private sector.  Draft 
legislation or guidelines may be issued for public  consultation, usually through the website of 
ministries and statutory boards." 
6. Does the Government of Singapore consid er it obligatory to take into account the 
conclusions and/or outcome of  its consultations with the business community, or is it 
fulfilling a requirement? 
The Singapore Government takes the consultations with the business community seriously and takes 
these into account in formulating our policies. 
 
7. Can governments or natural persons from other countries comment on the draft 
legislation issued for consultation? 
In Singapore, draft legislation (or "Bill") is pa ssed, after having been introduced and debated in 
Parliament by Members of Parliament. Before in troducing certain Bills in Parliament, especially 
Bills concerning trade matters or Bills of a speciali sed or technical nature, the government may first 
issue draft Bills for public consultation, e.g., draft Income Tax (Amendment) Bill 2008 accessible at 
http://www.mof.gov.sg/consultatio n_current/public_con_income_tax_bill_amendment.html.  There is 
nothing to stop a foreign government or natio nal from offering views on such draft Bills.  
 
8. If so, are such comments taken into account when finalizing draft legislation? 
All comments received from the public consultation exercise will be considered carefully and adopted 
where appropriate.   WT/TPR/M/202/Add.1 
 Page 79 
 
 
  (5) F OREIGN INVESTMENT REGIME  
(ii) Incentives  
"48. ... The incentives generally comprise concessional corporate tax rates of between 5% and 
15% (the normal rate is 20% to be reduced to 18% from the 2008 asse ssment  onwards) or corporate 
income tax exemptions, depending on the scheme.  In addition, incentives are provided for investors in several services, including financial services, tourism, media services, and telecommunications ..." 
9. What additional incentives are provided fo r investors in the tourism services sector? 
Please refer to relevant information in Table AIII.7. 
 III. TRADE POLICIES AND PRACTICES BY MEASURE 
(1) I
NTRODUCTION  
"3. ... Government-linked companies (GLCs) c onsist mainly of Temasek-linked companies 
(TLCs), which, it is claimed, are run and compete on a commercial basis at arm's length from the Government.  During the period under review, there h as been some divestment of GLCs by Temasek;  
nonetheless, GLCs still operate in many sectors of the economy ... " 
10. Can companies with foreign capital partic ipate in the above-mentioned divestment of 
GLCs? 
Yes, companies with foreign capital can generally participate in the divestment of GLCs, which are 
conducted on a commercial and open basis.  (2) M
EASURES DIRECTLY AFFECTING IMPORTS  
(i) Customs procedures 
"5. ... All imports must [ ... ] be accompanied by invoices, packing lists, bills of lading, and any 
other relevant documentation.  Additional documentation may be re quired for certain products ... " 
"6. The authorities consider that the benefits from TradeNet are numerous.3  It offers an improved 
level of service to the trading community and impr oved human resource management for both traders 
and agencies.  Documents can be transmitted a nd the approved permits received electronically, 
24 hours a day.  Furthermore, the approval pro cess has been reduced to ten minutes on average from 
two to seven days.  The elimination of paperwork and the automatic deduction of duties and taxes has 
also reduced business costs for traders.  Other benefi ts include:  more efficient customs control, which 
enhances risk management;  uniform enforcement of  customs legislation;  and faster production of 
trade statistics.  Singapore also launched the Trad eXchange to facilitate in formation flow among the 
commercial and regulatory systems." 
11. Could the Government of Singapore share its experiences in respect of the 
TradeXchange initiative? 
12. What does this initiative involve? 
TradeXchange is a neutral and secure IT platform that supports Business-to-Government (B2G) 
transactions and caters to Business-to-Business (B 2B) information and document exchanges. It aims 
to be the common platform for the trading and logist ics community to interfa ce with the Government 
when importing and exporting goods into and out of Singapore.  
                                                     
 
3 WTO document TN/TF/W/58, 25 July 2005, page 4. WT/TPR/M/202/Add.1 
Page 80  
 
  TradeXchange has improved the effic iency, productivity and competitiveness of the trade and logistics 
industry.  Since its implementation, it has recei ved positive responses from the trading community in 
Singapore.  Further information on TradeXchange is ava ilable on the Singapore Customs and TradeXchange 
websites: 
http://www.customs.gov.sg  http://www.tradexchange.gov.sg  
13. Colombia notes that although this pro cess has been automated, the Singaporean 
authorities require the presentation of import-related documents that they consider 
relevant.  How would the application of the TradeNet system and the TradeXchange 
initiative enable cases of under-invoicing and/or asset laundering to be detected? 
TradeNet is an automated system for traders to submit declarations to Customs. Based on the 
information, Customs conducts back- end risk profiling and targeting. 
 TradeXchange is a neutral and secure IT platform that supports Business-to-Government (B2G) 
transactions and caters to Business-to-Business (B 2B) information and document exchanges, and was 
not set up for the purpose of risk profiling.  
(viii) Government procurement 
"60. For administrative efficiency, all suppliers  interested in participating in Singapore's 
government procurement programmes are required to re gister as GeBiz Trading Partners in order to 
bid for tenders
4;  (non-GeBiz Trading Partners can only view tender opportunities but cannot bid for 
them).  Government Supplier Registration for gene ral goods and services is not compulsory in order 
to bid for tenders although some tenders may require suppliers to be registered in order to qualify." 
14. What are the requirements for the partic ipation of foreign suppliers in government 
procurement? 
Foreign suppliers for government proc urement in Singapore are subject to the same requirements as 
the domestic suppliers.  
15. Are foreign suppliers required to be registered under the bidders' register?  
Like the domestic suppliers, the foreign suppliers are also required to be registered as GeBIZ Trading 
Partner in order to bid for the quotations and tenders that are available on-line in Singapore.  The 
foreign suppliers are also similarly entitled to the fir st free account per company that are applicable 
to the domestic suppliers.   
 16. If so, how often is registration renewed?  
The Government Supplier Registration is currently valid for 3 years if the company can provide an 
audited account of the last closed financial yea r.  Companies unable to provide such an audited 
account will be given an 18-month validity to e nable us to review their financial status more 
regularly.  All local and overseas business entiti es are subject to these same requirements. 
 
 
                                                     
 
4 Government Supplier Registration is through the MoF-appointed DP Bureau (DP Information Group 
online information.  Viewed at:  http://www.dpgroup.com.sg).  WT/TPR/M/202/Add.1 
 Page 81 
 
 
  JAPAN  
 The Secretariat Report (WT/TPR/S/202) 
 
III. TRADE POLICIES AND PRACTICES BY MEASURE (2) M
EASURES DIRECTLY AFFECTING IMPORTS  
(v) Import prohibitions, restrictions, and licensing 
 
(Question 1: page 41, paragraph 23)  
As for the import prohibitions and restrictions, the Secretariat report states that imports of cars of 
three years and older are banned for en vironmental and road-safety reasons. 
  Please elaborate on these reasons.  The policy of banning the import of vehicles 3 years and older is non-discriminatory.  It helps the process of gradually phasing out old vehicles, which are more pollutive and break down more 
frequently.  
 
(viii) Government procurement 
 
(Question 2: page 49, paragraph 57)  
With regard to preferential treatment for go vernment procurement under bilateral FTAs, the 
Secretariat report mentions ‘the threshold (is) S $223,800 for goods and services  except construction, 
under the FTA with Japan’. According to the Singapo re’s notification to WTO of the exchange rate 
between SDR and S$, Japan understands th at the threshold would be ‘S$233,800’. 
 
 Could Singapore kindly explain the method of calculating ‘S$223,800’? 
 
This is a typo error which we have highlighted to the WTO Secretariat for correction.  The correct 
threshold is S$233,800 and not S$223,800.  
(viii) Government procurement 
 
(Question 3: page 49-50aragraph 60)  
(1) Please explain how suppliers are registered as GeBiz Trading Partners. 
 
(2) Please indicate whether or not some conditions  need to be fulfilled for suppliers to be 
registered. 
 
(3) Please explain the specific relationship between the GeBiz Trading Partners and the 
Government Supplier Registration (GSR)’. Do the suppliers need to fulfill certain conditions 
to be registered as GSR? 
 
(1) GeBIZ is the Singapore government's one-st op e-procurement portal. All public sector's 
invitations for quotations and tenders are posted on GeBIZ. Suppliers need to have an account to 
submit their bids on-line and to receive electronic purchase orders.  Suppliers can register for their 
account on-line.  
 
(2) Suppliers need to be a valid company or busin ess in order to be eligible as a registered 
GeBIZ supplier.   WT/TPR/M/202/Add.1 
Page 82  
 
  (3) GeBIZ Trading Partners means registered supplie rs in GeBIZ who can use their accounts to 
submit their bids on-line and to receive elect ronic purchase orders.  Government Supplier 
Registration (GSR) is a registration process for grading the financial capacity of suppliers to 
participate in Singapore government tenders.  A pr ocessing fee is required for GSR and applicants 
are required to submit their financial statements.  
(4) M
EASURES AFFECTING PRODUCTION AND TRADE  
(iv) Competition policy 
 
(Question 4: page 65, paragraph 117) 
 
According to the Secretariat report, The CCS issued  its first infringement decision for a bid-rigging 
case in January 2008. Japan is of the view that  the enforcement against the specific case would 
contribute to sound competitive environment and we appreciate this first step.  
  In this regard, please explain the details about the case. 
 
CCS’ first infringement decision was against a bid-rigging cartel involving 6 pest control companies.  
The 6 companies colluded to submit tenders or quotati ons for termite treatment projects involving the 
use of a pesticide, by either not competing or s ubmitting higher cover bids. The value of the contracts 
affected by the big-rigging activities ranged from S$14,950 to S$349,000.  In  its investigations, the 
CCS carried out unannounced visits at the premises of the six com panies, issued notices to their 
present and ex-personnel involved in the various proj ects requiring them to produce information and 
documents and interviewed them.   The 6 compani es were found to have infringed Section 34 of the 
Act, which prohibits bid-rigging  or collusive tendering and were fined a total of S$262,759.66. 
 
IV. TRADE POLICIES BY SECTOR (5) SERVICES (iii) Banking and other financial services  
(Question 5: page 89, paragraph 40)  
(1) In the previous TPR of Singapore, Japan submitted the written question regarding risk-based 
capital framework in Singapore. In the question,  although the cross-border supply (Mode 1) of 
reassurance in Singapore is committed to none of  the limitations both on market access and on 
national treatment, ‘in the case of ceding to a fore ign reinsurance company more rate of liability 
reserves are required for a direct insurance company to be deposited than in the case of ceding to a 
domestic reinsurance company under the introduc tion of risk-based capital regulation. Singapore 
replied ‘such an authorisation framework to su pervise cross border reinsurance is a prudential 
measure that is consistent with international st andards of insurance supervision recommended by the 
International Association of Insurance Supervisors.  The prudential requirements are also consistent 
with Singapore's commitments and rights under GA TS and are similar to those found in other 
established insurance markets.’ 
 
 Japan would like Singapore to explain again why this framework is a prudential measure. 
 
For the calculation of liabilities or claims reserve s of a registered insurer in Singapore, there is no 
difference between the treatment of reinsurance a rrangements with a Singapore registered reinsurer 
and that of arrangements with a foreign  reinsurer not registered in Singapore. 
 
The only difference is the reinsurance adjustment that a registered insurer in Singapore subtracts 
from its computation of its financial resources av ailable to meet its capital requirements. The 
reinsurance adjustment is a prop ortion of the reduction in the liabilities or reserves due to  WT/TPR/M/202/Add.1 
 Page 83 
 
 
  reinsurance which reflects the degree of supervi sion MAS has over the reinsurer and the financial 
standing of the reinsurer.   
A Singapore registered insurer is free to enter in to reinsurance arrangements with both reinsurers 
registered in Singapore and those that are not.  A reinsurer registered in Singapore is subject to the 
risk-based capital framework and supervision of MAS.  Reinsurers based  overseas which are not 
regulated or are subject to a lighter regulatory regime may have a higher probability of default.  A 
Singapore registered insurer which cedes risks to such a reinsurer should take this higher probability 
of default into account in their computation of their financial resources.  
 
(2) According to the Secretariat report, the ri sk-based capital framework has been amended since 
the previous TPR.  
 Please provide specific information on the reform of the aforementioned liability reserves if 
any. In addition, please indicate consistency of su ch reformed liability reserves system with the 
obligations of the GATS.   
 
No substantive amendments to the ru les governing liability reserves were made. 
 
(iv) Communications  (Question 6: page 92, paragraph 50) 
 
According to the Secretariat report, under the Telecom Competition Code, the dominant licensee is 
obliged to offer competing licensees three options  for interconnection. Among these options, ‘any 
existing interconnection agreement between the dom inant supplier and any other licensee’ and ‘an 
individualized agreement between the dominant a nd requesting licensee’ would enable the dominant 
supplier to provide specific licensees with interconne ction in more advantage ous conditions and rates 
than other licensees. Japan, therefore, is of the view that in some cases these options could be 
inconsistent with the Telecommunication Refere nce Paper 2.2. in which Singapore has already 
committed to the interconnection with a major s upplier under non-discriminatory terms, conditions 
and rates.      
 
 In this light, please indicate how Singapore ensu res the consistency of these options with its 
specific commitment of the GATS. 
 
An individualised interconnection agreement is a res ult of voluntary commercial negotiations which a 
Requesting Licensee can enter into seeking interconnection with a Dominant Licensee.  
 These individualised agreements must still comply to  the Minimum Interconnection Duties specified in 
5.4 though 5.4.8 of the Telecoms Competition Co de. In addition, all interconnection agreements 
involving a Dominant Licensee will have to be approved and published by IDA. Therefore, a 
Requesting Licensee can seek for the same terms and conditions which a Dominant Licensee has with 
another Licensee.  
 The above provisions put in place for commerci ally negotiated interconnection agreements are 
consistent with the principles of non-discriminati on, transparency as well as timeliness as committed 
to in the Telecommunications Reference Paper.  WT/TPR/M/202/Add.1 
Page 84  
 
  (v) Transport 
 (Question 7: page 97-98, Table IV.5) 
 
(1) Concerning the description on Singapore Regi stry Scheme (SRS) in Table IV.5 of the 
Secretariat Report, it seems inappropriate to mentio n that "foreign" registered vessels are covered by 
the SRS for the reason that, literally speaking, th e SRS seems to deal with only Singapore flagged 
vessels. Japan, rather, guesses that this description would concern about Section 13A of the Singapore 
Income Tax Act.   
 In this light, please give us further clarificati on of this description. In addition, Japan would 
like Singapore to clarify the relationship between SRS and Section 13A of the Singapore Income Tax 
Act. 
 
(2) In relation with the descrip tion on Approved Internat ional Shipping Enterprise Scheme (AIS) 
in Table IV.5 of the Secretariat report, Japan understands that Singapore flagged vessels are exempt 
from cooperate tax under Section 13A of the Singa pore Income Tax Act even though they are not 
approved under the AIS. In this respect, it seems in appropriate that "Singapore" flagged vessels are 
covered by the AIS, as described in the features.    In this light, please give us further clarificati on of this description. In addition, Japan would 
like Singapore to clarify the relationship between AIS and Section 13F of the Singapore Income Tax 
Act. 
 
We are unclear as to the thrust of Japan’s ques tions.  Section 13A of the Singapore Income Tax Act 
provides the legislative effect for the income tax benefit under the SRS. 
 
 
CHINESE TAIPEI
 
 
Secretariat Report:  WT/TPR/S/202 
 
I. ECONOMIC ENVIRONMENT 
(4) S TRUCTURAL POLICIES  
Question 1: (Page 10, Paragraph 23) 
 
 It is stated in the report that Singapore has continued to undertake a range of structural 
reforms in response to challeng es posed by accelerated globalization and increased competition. 
 Apart from tax incentives, could Singapore please indicate which of its deregulatory measures 
have proved the most effective in attracting fore ign investment and improving the competitiveness of 
its industries? 
 
The Government of Singapore adopts broad-based me asures to help its industries and to keep 
Singapore attractive as a business location, one of which is keeping its corporate tax regime 
competitive.   
  WT/TPR/M/202/Add.1 
 Page 85 
 
 
  II. TRADE POLICY REGIME: FRAMEWORK AND OBJECTIVES 
(4) T RADE AGREEMENTS AND ARRANGEMENTS  
(iii) Bilateral agreements 
 Overview of FTA coverage  
Question 2: (Page 30, Paragraphs 38 & 39) 
 As indicated, there is a wide range of different kinds of rules of origin within the spectrum of 
Singapore's bilateral agreements. Singapore also ha s the view that FTAs can be used as building 
blocks for a stronger multilateral trade liberalization framework. 
(a) Could Singapore kindly share with us its obser vations as to whether such a multi-rule system 
has caused confusion or inconvenience during impl ementation? And, if this has been the case, 
what could be done to improve the situation? 
(b) Bearing in mind that most FTAs signed or negotiated by WTO Members currently are in fact 
bilateral FTAs as opposed to Regional FTAs, does Singapore still hold the view that these 
bilateral FTAs can have positive effects on the multilateral trading system? Moreover, what 
steps can be taken to multilateralize those WTO- plus FTAs in the style of, say, the revised 
"new age" partnership agreemen t between Singapore and Japan? 
 
We are not aware of any confusion.  Indeed  we have seen an increase in bilateral trade and 
investment flows. 
 
Singapore views its bilateral FTAs as a critical comple ment to the efforts at the multilateral level.  We 
have painstakingly ensured that Singapore’s FTAs a re comprehensive, WTO-consistent and in many 
aspects, WTO-plus.  These agreements can act as  catalyst to multilateral trade liberalization. 
 
III. TRADE POLICIES AND PRACTICES BY MEASURE 
(2)  M EASURES DIRECTLY AFFECTING IMPORTS  
(vi) Contingency measures 
(a)  Anti-dumping and countervailing measures 
 
Question 3: (Page 42, Paragraphs 28 & 30) 
  Although Singapore has an anti-dumping law in place, we have observed that no anti-
dumping measures have been notified during the period under review. 
 
 Is it Singapore's current policy not to initiate any anti-dumping investigations? 
 
We did not receive any petition requesting for an  investigation during the period under review. 
 
(3) M
EASURES DIRECTLY AFFECTING EXPORTS  
(iv) Export assistance  
Question 4: (Page 51, Paragraph 73)  
 As stated, the Global Trader Programme (GTP) provides a concessionary tax rate of 5% or 
10% on approved commodities and products.  
(a) Could Singapore please explain, and if possible give some examples of, the scope of 
commodities and products that may be approve d under the GTP, and also describe what 
would constitute “qualifying inte rnational trading activities?”  
(b) We would also appreciate having more info rmation on Singapore’s rationale for having 
two different concessionary rates, and how they are applied respectively?  WT/TPR/M/202/Add.1 
Page 86  
 
  (c) One of the criteria of the GTP, as indicated in footnote 42, is that the applying companies 
"must have substantial offshore physical tr ading activity." Could Singapore please elaborate 
further on whether the fulfillment of such cr iterion is measured by the applicant’s export 
performance? 
 
(a) Under the GTP, the list of current approved products includes:  
- Petroleum and petroleum products, 
- Agricultural commodities and bulk edible products, 
- Building and industrial materials, 
- Consumer products, - Machinery components, 
- Minerals 
- Electrical products 
 
Qualifying international trading activities refer to tr ading in any of the appr oved products on a spot 
or forward basis.   
(b) The 10% concessionary tax rate applies to  companies with only trading activities in 
Singapore. For the 5% concessionary tax ra te, companies have to fulfil more stringent 
criterion in terms of carrying out of stra tegic headquarter functions in Singapore. 
 
(c) Fulfilment of the criterion is not measured by the applicant’s export performance. Most 
companies under the GTP carry out pure offs hore trade where the goods do not enter 
Singapore borders. 
 
Question 5: (Page 52, Paragraph 74)  
 Export insurance and guarantees are availabl e from several foreign insurers and a local 
company. 
 We would be grateful if Singapore could pl ease provide more information on these types of 
export assistance, including, for example, their purpo se, and the terms and conditions for conferring 
export insurance and guarantees.  We would be grateful for further clarity on the type of information that is being requested. 
 
Question 6: (Page 52, Paragraph 75) 
 
 As indicated, the export promotion and marke ting assistance is mainly provided by IE.  
 We would appreciate receiving more information, if available, on the cost benefit analysis 
relating to the above-mentioned assistance.  
 
We have no such information available. 
 
(v) Free Trade Zones 
Question 7: (Page 52, Paragraphs 76-78) 
 
 We note from the report that around 47% of exports in 2006 were accounted for by re-
exports, and free trade zones provide services and facilities for the re-export trade.   
 
 Could Singapore please clarify whether GST is  exempted for goods imported into its FTZs 
and, before re-export, undergo insp ection, testing, collation, classification, segmentation, assembling,  WT/TPR/M/202/Add.1 
 Page 87 
 
 
  repacking or even substantial transformation pr ocess in the FTZs ? If so, could Singapore please 
further provide details of the legal basis for such exemption? 
Free Trade Zones (FTZs) are essentially designated areas in Singapore where the payment of duties 
and taxes are suspended when the goods arrived in Singapore.  
 Specifically, no duty or GST is payab le on goods upon their arrival in FTZs in Singapore, and no duty 
or GST is payable when these goods are exported overseas from FTZs.  
 
Duty (where applicable) and GST is only payable when the goods leave the FTZ and enter into 
customs territory for local consumption. 
 
(4) M
EASURES AFFECTING PRODUCTION AND TRADE  
(iii) Taxation  
Question 8: (Page 62, Paragraph 104) 
 
 Companies will benefit from an increase in the partial tax exemption (PTE) threshold from S$ 
100,000 to S$ 300,000 with effect from 2008 , which reduces the effective tax rate. 
 
 Could Singapore please confirm whether the increase on the above-mentioned PTE is applicable to all companies, whether or not owne d by foreigners? If not the case, we would appreciate 
having more information about the criteria used to determine availability of the PTE. 
 
The PTE is applicable to all companies
, whether or not owned by foreigners. 
 
Question 9: (Page 64, Paragraph 110) 
 
 It is stated that a new Maritime Finance Incentive offers a tax exemption for qualifying 
investment and a 10% concessionary tax rate for qualifying shipping investment managers. 
(a) Could Singapore please explain further, with  examples, what would constitute the above-
mentioned “qualifying investment? Are there criteria in place for obtaining the above-
mentioned exemption? 
(b) If available, could Singapore provide inform ation relating to the change of its shipping 
industry's GDP share before and after th e implementation of this new incentive? 
 
(a) A qualifying investment refers to an investment in  vessels that has been  approved.  To qualify, 
companies need to fulfil a number of criteria including having to control and manage such 
investments from Singapore.  This is provided on a non-discriminatory basis. 
 
(b) We do not collect such information. 
 (iv) Competition Policy 
Question 10: (Page 65, Paragraph 115) 
 
 The report mentions that certain activities, su ch as the supply of ordinary letter and postcard 
services, are excluded from the Competition Act of Singapore.  
 It would be appreciated if Singapore co uld please provide further information on: 
 
(1) the main reasons for th ese activities being excluded? WT/TPR/M/202/Add.1 
Page 88  
 
  (2) whether these activities are fully or partly excluded? 
(3) whether there is any programme or sche dule for incorporating these activities into the 
Competition Act?  
 
The full list of activities excluded from the Competition Act is:  
a. the supply of ordinary letter and postcard services;  
b. piped potable water;  
c. wastewater management services;  
d. scheduled bus services;  
e. rail services;  
f. cargo terminal operations; and  
g. clearing house activities by specified persons. 
 
The exclusion of some of these sectors is largely based on public interest considerations such as 
national security, defence and ot her strategic interests.  
 The other exclusions are for sectors or ac tivities which already have sectoral competition 
frameworks. These sectors are in transition from  a previously monopolistic situation to a more 
competitive environment today.  Under such ci rcumstances, more active market regulation and 
intervention is needed. Moreover, th ere are various technical matters affecting competition in these 
areas.  Hence, the sector-specific regulators, w ith their industry knowledge and expertise, are in a 
better position to handle such issues.  
(2) The activities listed above are fully  excluded from the Competition Act. 
 (3) Some of these excluded activities will be reviewed in 2009 to see if they can come under scope 
of the Competition Act. 
 
IV. TRADE POLICIES BY SECTOR  
(4) E
NERGY AND WATER  
 
Question 11: (Page 77, Paragraph 18)  
 As indicated, with the approval of the Minist er of Trade and Industry, the EMA may grant 
exemptions from the competition provisions  under the Electricity and Gas Acts. 
 We understand that currently there are no ab ove-mentioned exemptions. Could Singapore 
please share with us the criteria, if any, used by the EMA in determining whether an exemption 
should be granted?  
 
Competition provisions should not be applied to curb actions or restra in or prevent policies taken by 
the Government (ministries and statutory boards ) that are necessary to fulfil national policy 
objectives. EMA would grant exemptions if deemed necessary to fulfil national policy objectives. 
 
Question 12: (Page 79, Paragraph 20) 
 
 As indicated in the Report, the EMA is stud ying the feasibility of the electricity vending 
system (EVS) to retail electricity to small consumers more efficiently. 
 Could Singapore please provide more information,  if available, on whether the retail tariff for 
electricity will be negotiable, and how the suppl y obligation to customers can  be ensured?  
  WT/TPR/M/202/Add.1 
 Page 89 
 
 
  Reliability of supply to the consumers is ensured by  the grid company, SP PowerAssets, regardless of 
the choice of retailers.   
 
IV. TRADE POLICIES BY SECTOR  (5) S
ERVICES  
(iii) Banking and other financial services 
 
Question 13: (Page 82, Paragraph 32 & Pages 87, Box IV2) 
 
It is indicated the report that, as part of Singapore’s liberalization programme, six foreign 
banks were granted Qualifying Full Bank (QFB) priv ileges or full service licences.  On the other 
hand, wholesale banks may engage in the same ra nge 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.   
It is our view that the limitation on granting more foreign banks with new licences for full-
service and on the business scope of the wholesale ba nks would constitute a le ss favourable and unfair 
operating environment for most foreign banks. We would therefore appreciate knowing whether 
Singapore has a plan in place to allow more foreign ba nks to establish new full-services, or to lift the 
restriction on retail operations imposed on wholesale banks? 
Singapore's domestic retail banking market is sma ll. Existing foreign full banks and QFBs already 
have a significant share of the retail market. For ma ny other foreign banks, the business potential lie 
at the wholesale banking level.  
 
MAS will monitor the trends as banking liberalis ation proceeds and adjust the scope and pace of 
subsequent liberalisation measures if necessary. 
 
Question 14: (Page 86, Paragraph 34) 
 
The Singapore Government intends  to upgrade all offshore banks to wholesale banking status 
over time. The MAS has issued 33 new wholesale bank licences since 2001 as part of the liberalization programme.  
(a) If already available, could Singapore ple ase describe the qualification requirements for 
upgrading offshore banks to whol esale banks, and provide further details of the liberalization 
programme and its timetable?  
(b) Does Singapore also plan to upgrade w holesale and offshore banks to full-service banks? 
 
(a) Banks interested in upgrading their bankin g licence from offshore to wholesale banking 
should contact MAS to discuss their plans prio r to submitting a formal application. MAS will 
take into consideration factors including the tr ack record and financial soundness of the bank 
and its parent institution or major sharehold ers. MAS will also assess the intended business 
strategies of the bank, and whether its risk management systems and processes are 
commensurate with the size and complexity of its proposed plans. 
 
(b) MAS will monitor the trends as banking liberalisation proceeds and  adjust the scope and 
pace of subsequent liberalisation measures if necessary.  
 
 WT/TPR/M/202/Add.1 
Page 90  
 
  INDONESIA
 
 
I. ECONOMIC ENVIRONMENT 
Recent Economic Performance 
 
 The Secretariat Report (paragraph 5, page 3) states that  “Inflation edged up to a yearly 
average of 1.7% in 2004, from 0.5% in 2003, partly re flecting a jump in the pri ces of oil-related items 
(such as electricity and gasoline) as well as above -average increases in healthcare and education 
costs”. Could the Singapore indicate the amount of increases in healthcare and education? 
 
Healthcare and education costs increased 6.0% and 4.2% respectively.   
 
The Secretariat Report (paragraph 7, page 4)  notes that Singapore Government gave the 
Workfare Income Supplement for older low-wage wo rkers, greater investment  in skills upgrading, 
and enhancing assistance for children from lower-i ncome families. Could the Singapore describe the 
scheme of the Workfare Income Supplement? 
The Workfare Income Supplement (WIS) Scheme gi ves income supplements to older, low-wage 
workers.  The WIS scheme aims to encourage workers to find work and stay in work, and to build up 
their savings for retirement, housing and healthcare needs. 
 The WIS scheme forms a key pillar of Singapore’s so cial security system, and is linked to the Central 
Provident Fund (CPF) which is a na tional, mandatory savings scheme to  help citizens save for their 
retirement, housing and healthcare needs.    Structural Policies 
 
The Secretariat Report (paragraph 25, page 11) notes that in services, it was felt that 
Singapore has "not been as aggressive and proactive" as in manufacturing, and therefore steps had to 
be taken to rectify this imbalance. In this resp ect, please give more information regarding the steps 
that will be taken to rectify imbalance in the services?  
 
We believe that there is no imbalance in the servi ces sector in Singapore.  The services producing 
industries contributed about 64% to 2007 GDP, of whic h 16% of GDP is attributed to wholesale and 
retail trade and 24% is attributed equally to financial services and business services.  Singapore 
continues to attract FDI in various areas, such  as logistics, education, infocommunications and 
media, professional services, financial services, and other supporting business activities. 
 
II. TRADE POLICY REGIME:  FRAMEWORK AND OBJECTIVES 
 
Foreign Investment Regime 
 
 The Secretariat Report (paragraph 51, page 33) on Taxation agreements states that “Under the DTA with China, Singapore gives unilateral "tax sparing" relief to income derived from China”. 
Could the Singapore indicate the amount of th e relief and the benefit of this relief? 
 The provision of tax sparing relief in the DTA with China is a continuity of the tax treatment granted 
in the original DTA, and based on overall mutual  benefit. The granting of  tax sparing encourages 
resident businesses to invest and do business in Ch ina while enjoying certain tax incentives that 
China may give to further economic development.   WT/TPR/M/202/Add.1 
 Page 91 
 
 
  III. TRADE POLICIES AND PRACTICES BY MEASURE  
Introduction 
 The Secretariat Report (paragraph 3, page 34) notes that “in an attempt to attract foreign 
investment and direct it into high value-added ac tivities, Singapore makes use of a broad range of tax 
and non-tax incentives”. We would appreciate to have  further explanation regarding tax and non-tax 
incentives scheme? 
Non-tax incentives generally include grants and loan s, such as to develop capability in high-value-
added activities, training, and R&D to enhance Singapo re’s competitiveness. A list of some of the 
non-tax incentives can be found in Table AIII.8, page 137 of Appendix Tables. 
 Tax incentives generally comprise concessionary corporate tax rates or corporate income tax 
exemptions, depending on the scheme.    
Tax incentives are given mainly under the Income Tax Act (Cap  134), and the Economic Expansion 
Incentives (Relief from Income Tax) Act (Cap 86).    Measures Directly Affecting Imports 
 The Secretariat Report (paragraph 25, page 42) states that “to meet emergency requirements, 
Singapore maintains a stockpile sch eme for rice, a staple food of  which there is no domestic 
production”. May we have some details regarding mechanism of those stockpile schemes? 
 
Rice is a controlled item in Singapore. A licence is  required to import, trade and re-export rice. The 
rice importer is required to maintain 2 months wo rth of his monthly import quota at the government 
designated warehouse.  
 The Secretariat Report (paragraph 40, page 45) notes that “the SPRING Singapore also 
administers mandatory technical regulations as  parts of the Consumer Protection (Safety 
Requirements) Registration Scheme”. Indonesia wi shes to have further explanation regarding 
mechanism of Consumer Protection (Saf ety Requirements) Registration Scheme? 
 
The details of the Consumer Prot ection (Safety Requirements) Regist ration Scheme (CPS Scheme) are 
explained in the CPS Scheme Information Bookle t. Please log on www.spring.gov.sg/safety and click 
on CPS Scheme Information Booklet.  
 
Indonesia as member of the ASEAN JSC EEE has liste d Testing Laboratories that can issue test 
reports for Singapore under the ASEAN EE MRA.  
 The Secretariat Report (paragraph 47, page 46) states that “the AVA prohibits beef imports 
from nations in which Bovine Spongiform Encepha lopathy (BSE) has been detected”. Could the 
Singapore give information about the current nations  that been detected with Bovine Spongiform 
Encephalopathy (BSE)? 
 
Information on countries which have reported BSE may be found on the OIE website:   
http://www.oie.int/eng/info/en_esb.htm?e1d5 
 
Measures Directly Affecting Exports 
 The Secretariat Report (paragraph 72, page 51) states that “Under the Customs Act (Part IX), 
duty drawback may be granted to exporters.  Ho wever, these provisions are not in use”. Could the WT/TPR/M/202/Add.1 
Page 92  
 
  Singapore give information why these provision not in use? And under what circumstances that duty 
drawback may be granted? 
The duty drawback provision is not in use as  Singapore Customs administers warehousing schemes 
that allow for the suspension of duty upon entry into these licensed warehouses. Duty is only payable 
upon release from the warehouse into cust oms territory for local consumption. 
 
 The Secretariat Report (paragraph 75, page  52) notes the Double Tax Deduction Scheme.  
Indonesia wishes to have further explanation re garding mechanism of the Double Tax Deduction 
Scheme? 
 
Please refer to the example below on how the DTD scheme works for a company. 
 Company A spends S$10,000 to participate in an overseas trade fair. Upon qualifying for DTD, this 
eligible expense will be doubled for the purpose of tax deduction, thereby translating into potential 
tax savings for Company A.   Measures Affecting Production and Trade  
 The Secretariat Report (paragraph 95, page 57) states that "in seeking to increase its Asian 
exposure, Temasek is sometimes viewed as the i nvestment arm of the Singapore Government and 
acquisitions can come up against local resistance…..T emasek was also the focus of debate in 2007 in 
the Indonesian Parliament, where legislators calle d on the Indonesian Government to take back 
control of telecom company Indosat from Temasek am id a bilateral dispute that also affected sand 
deliveries". Indonesia seeks clarification regarding those statements? Indonesi a also seeks explanation 
regarding Indosat share sale by STT’s, meanwhile the case was still in the process at the Indonesia’s 
Supreme Court?  
 
The sale of Indosat shares was a decision made independently by STT.  The Singapore Government 
does not direct or influence the decisions of Temasek, let alone any of its investee companies. 
 
 The Secretariat Report (paragraph 95, page 57) states that “property-tax exemption for land 
under development may be granted in certain cases”.  Could the Singapore give an example of those 
certain cases?  
Vacant land on which a project has been granted approved building project (ABP) status by the 
Minister will be eligible for Property Tax exempti on. The exemption will be valid from the date of 
commencement of foundation works for a maximum period of three years, or the TOP (temporary 
occupation Permit) date, whichever is earlier.  To qualify for exemption under this Order, the Mi nister must grant the development ABP status. The 
Minister will only grant ABP status, if 
 
- The date of commencement of foundation wo rks of the project is on or after 1st May 
2001 and  
- The project has the support of Economic Development Board and  
- The project involves substantial investment cost (excludes land costs), and  
- The project will create substantial spin-offs and benefits for Singapore. 
 
    WT/TPR/M/202/Add.1 
 Page 93 
 
 
  PHILIPPINES  
 
1. In 1999, Singapore liberalized foreign bank entry to the domestic banking system by 
removing the 40 percent ceiling on foreign ow nership (page 82, paragraph 32, of the 
Secretariat report).  The Philippines would like to inquire if this, as well as other liberalizing 
policies adopted since the conclusion of the Uruguay Round, will be bound as new GATS 
commitments in the DDA? 
 
The WTO negotiations are important to Singapore since we are a free and open economy and it would 
be in Singapore's interest as a financial centre s erving the region for market access restrictions in the 
region to be lowered. Singapore has and will therefore continue to make positive contributions to the 
WTO process and would be prepared to make meaningful commitments after taking into 
consideration the quality of offers made by our key markets.  
 
2. As a related matter, does the liberalization pr ogram cover the retail business of banks, which 
is still dominated by domestic banks? 
 
Singapore's liberalisation programme covers the reta il business of banks, which is extended under 
MAS' licenses for full banks (FBs) and qualifying full banks (QFBs). Full banks are granted the 
widest range of permissible banking activities and are allowed to conduct Singapore dollar domestic 
retail operations. Of the 103 foreign banks in Singapore, 24 are designated by MAS as FBs, including 
7 QFBs.  
 3. The Philippines would like to inquire about the regulations, restricti ons and limitations on 
market access and national treatment in money transfer services.   
 
(a) Are foreign banks allowed to provide this service, including as a stand-along service? 
 We would like to seek further clarification on the definition of "money transfer services", please. 
 If this refers to the WTO Financial Services subs ector on "payment and money transmission services, 
including credit, charge and debit cards, travell ers cheques and bankers' draft", going by Singapore's 
revised conditional offers in 2005, foreign banks can offer such money transfer services only through 
a commercial presence in Singapore, whether in th e form of a remittance shop as a stand-alone 
service, or where the remittance service is conduc ted a bank / merchant bank. Remittance shops 
extending such a service will have to be establis hed in Singapore, except where the remittance 
business is conducted by banks and merchant banks, a re required to be majority owned by Singapore 
citizens. Bankers' drafts can only be issued by banks.  Only the following can i ssue stored value cards: 
(i) a bank in Singapore licensed by MAS; and (ii) a juridical person for the payment only of goods 
and services or both goods and services provided by t hat person. The limitations indicated for the 
lending of all types including consumer credit,  mortgage credit, factoring and financing of 
commercial transaction through a commerci al presence will also be applied. 
 
(b) Does Singapore intend to bind existing re gulations in respect of money transfer 
services as new GATS commitments in the DDA? 
 
Singapore will generally consider improving our next  offer if there are commen surate offers from our 
trading partners in the final outcome of the DDA as well as depending on the overall balance of 
benefits in the negotiations. 
 4. Singapore's import restrictions are based mainly on environmental, health, and public security 
concerns.  Does Singapore impose import restri ctions on hazardous wastes?  If so, what 
would these be? WT/TPR/M/202/Add.1 
Page 94  
 
  The full list of import restrictions that Singapo re applies is available on the Singapore Customs 
website. http://www.customs.gov.sg/ 
 
5. The Secretariat report notes that in 2007, Singa pore made amendments to its Environmental 
Pollution Control Act (Page 24, paragraph 17(iii). (a) How would this legislation work within 
the context of trade liberalization? (b) Does this Act govern all aspects of environmental 
pollution? 
 
The amendments to the EPCA in 2007 resulted in  the EPCA being renamed to Environmental 
Protection & Management Act (EPMA).  The EPMA pr ovides for the protection and management of 
the environment (air pollution, water pollution, noi se pollution, hazardous substances, toxic waste, 
and ozone depleting substances) and re source conservation.  It does not  serve as a technical barrier 
to trade.  
 
 
HONG KONG, CHINA
 
 
MFN Exemptions 
(WT/TPR/S/202, P. 81, Para. 27) 
1. As reflected in the Secretariat Report as well as Singapore’s GATS schedule of commitments, 
Singapore currently maintains nine MFN exemptions , and nearly all are of indefinite intended 
duration.  We encourage Singapore to consider re moving the remaining exemptions in its next 
offer.  If immediate removal of the exemption is considered not possible at this juncture, would 
Singapore consider setting down a specific expiry date for the exemptions? 
Singapore is still in the process of consulting ou r relevant authorities to study the feasibility of 
removing some of the MFN exemptions. 
 
Banking and other financial Services 
(WT/TPR/S/202, P. 82, Para. 30) 
2. We note from the Secretariat Report that both foreign and national fina ncial institutions may 
obtain tax incentives under the Financial Sector In centives Scheme as long as they are able to 
meet the qualifying criteria.  We would be grat eful for Singapore’s clarification as to whether 
foreign financial institutions are accorded full na tional treatment when being considered for and 
granted those tax incentives.   
Both foreign and national financial institutions that apply for our tax incentives are subject to a 
similar set of qualifying criteria. Both the foreign and national financial institutions will enjoy the 
same scope of incentive as long as they meet the qualifying criteria.  In other words, full national 
treatment applies.  
 
(WT/TPR/S/202, P. 82-83, Para. 32) 
3. As noted from the Secretariat Report, Singapore has undertaken quite a number of liberalisation 
measures for the financial services sector in the p ast decade or so, including the removal of the 
40% ceiling on foreign ownership of domestic  banks and the 20% aggregate foreign 
shareholding on finance companies, the granting of Qualifying Full Bank privileges and full service licences to six foreign banks, and to  our understanding, the removal of the 49% 
restriction on foreign ownership of local insure rs. Would Singapore cons ider improving its next 
offer along these lines?  WT/TPR/M/202/Add.1 
 Page 95 
 
 
  The WTO negotiations are important to Singapore since we are a free and open economy and it would 
be in Singapore's interest as a financial centre s erving the region for market access restrictions in the 
region to be lowered. Singapore has and will therefore continue to make positive contributions to the 
WTO process and would be prepared to make meaningful commitments after taking into 
consideration the quality of offers made by our key markets.  
 
Transport Services and Logistics-related Services 
(WT/TPR/S/202, P. 97, Para. 73) 
4. We note from the Secretariat Report that the plan to privatize the PSA Corporation, which 
manages Singapore’s port, container and car go operations, was postponed.  We would be 
grateful for an update on the latest development, if any. 
There are currently no immediate plans to privatise PSA Corporation.  
 
 
PAKISTAN  
 "Singapore tops the world ranking on the ease of  doing business and ranks second in the overall 
competitiveness ranking. Its trade regime has few border measures. However the absence of binding 
for more than 30% of its tariff lines could be c onsidered very low by its own standards. Would 
Singapore like to share its consideration for k eeping about one third of its tariff unbound?" 
 
As part of the DDA negotiations, Singapore is prepa red to increase our level of tariff bindings.  The 
actual rate at which the tariffs  are bound, and to what extent th is narrows the differential between 
bound and applied rates will depend on the outcome of the negotiations. 
 
 
NEW ZEALAND
 
 
 New Zealand commends Singapore’s liberalisation efforts in recent years in the financial services, energy, and telecommunications sectors. We would be interested in Singapore’s elaboration 
of progress in liberalisation since the last Review. In particular, does Singapore have any plans to further liberalise other sectors such as legal and professional services?   Singapore has undertaken major libera lisation efforts in recent years in the financial services, energy, 
and telecommunications sectors.  Further informati on on these liberalisation efforts can be found in 
our Government Statement. 
Commitments in the area of legal an d professional services are under consideration. 
 
 With respect to the energy sector, Singapore ac knowledged in its Review that “liberalisation 
and open competition will reap efficiency gains and the benefits will be passed through to the 
consumers”. As noted in the Review, Singapore is actively exploring ways to benefit the remaining 
25% of Singapore’s electricity demand segment by  enhancing retail contestability.  Could Singapore 
elaborate on the scope for selling services in the market?  
Since 2003, about 10,000 large consumers, accounti ng for 75% of total electricity demand, have 
already become retail-contestable.  This means that retailers compete to sell electricity directly to 
these consumers.  The remaining 25% consists of sm all household customers.  This group is not yet  
contestable, as it is more expensive for electri city retailers to service a large number of small 
customer accounts.  
 WT/TPR/M/202/Add.1 
Page 96  
 
  Singapore is currently studying an Electricity Vendi ng System (EVS) which would help reduce the 
costs associated with serving small consumers.  If  feasible, there is a very high chance that the real 
benefits will accrue to the consum er in a switch to contestability. 
 
 
COSTA RICA
 
 
REPORT BY THE SECRETA RIAT – WT/TPR/S/202 
 
III. TRADE POLICIES AND PRACTICES BY MEASURE 
(2) Measures directly affecting imports (vi) Contingency measures 
 - According to paragraph 31 of the Secretariat Report, Singapore does not have any safeguard 
legislation, and in negotiating its free trade agreements it strives to exclude the use of 
safeguard measures.  Could you please provide further detail on Singapore's position in this 
respect. 
 Singapore views its bilateral FTAs as a critical comple ment to the efforts at the multilateral level.  We 
have painstakingly ensured that Singapore’s FTAs a re comprehensive, WTO-consistent and in many 
aspects, WTO-plus.  They are WTO-plus in that they go beyond existing WTO obligations to achieve a 
freer and more predictable trading environment.  The non-application of bilateral safeguard 
measures is one such aspect.   
 
(vii) Standards and sanitary and phytosanitary requirements 
 
(a) Standards 
Page 43, paragraph 32 
 - As the standardization body, has SPRING Si ngapore accepted the Code of Good Practice for 
the Preparation, Adoption and Application of Standards which appears in Annex 3 to the 
WTO Agreement on Technical Barriers to Trade? 
Yes. SPRING Singapore accepted the Code of Practic e for the Preparation, Adoption and Application 
of Standards in Annex 3 to the WTO Agreement on TBT.  
 
Page 43, paragraph 33  - What is the procedure for making a standard mandatory in technical regulations?  Through 
transcription of the standard, or by reference to the standard?  
Standards will be referenced in technical regul ations when they are made mandatory.  
 
- When a standard which has been made mandatory  in technical regulations is revised, are the 
technical regulations revised as well?  
When standards that are referenced in regulatio ns are revised, the regulators may amend the 
reference to the newly revised standards, but not al ways in synchronization with the amendment date. 
  WT/TPR/M/202/Add.1 
 Page 97 
 
 
  Page 43, paragraph 35, footnote 16 
 - Are technical references (TRs) voluntary st andards during the test period?  Are they 
incorporated in the work programme that has to  be notified to the ISO/IEC every six months?  
Is there a similar process for technical regula tions providing for a test period to determine 
whether they are suitable for achieving their leg itimate objective?  If so, are they notified to 
the WTO Committee on Technical Barriers to  Trade prior to this test period?  
Compliance to technical references (TRs) and standar ds are all voluntary,  unless they have been 
stipulated as mandatory in regulations or adminis trative requirements for safety, environmental and 
health issues by government bodies. 
They are no known work programme to be notified to ISO/IEC every 6 months. Publication of new standards will be publicized  through our public channels when technical 
references are approved as national standards.  
  There is no process for test period of technical regulations.   
 
(b) Technical regulations 
Page 45, paragraph 40 
 
- For the purposes of conformity assessment of pr oducts from third countries, is certification by 
a conformity assessment body located in a third country valid?  Does it have to be accredited?  
Are accreditation bodies that have multilateral recognition agreements in the framework of 
the International Laboratory Accredita tion Cooperation (ILAC) recognized?  
Only Certificates of Conformity issued by Desi gnated Certification Bodies located in Singapore and 
those of MRA partners are accepted for the 45 products.  
SPRING Singapore recognises the ILAC multilatera l recognition agreement and allows Designated 
Certification Bodies to accept test reports (to th e applicable product safe ty standards) bearing the 
ILAC MRA logo.  
(c) Sanitary and Phytosanitary (SPS) Measures 
- Who covers the cost of inspections, labor atory analysis and other tests conducted by 
Singapore on shipments, the exporting country or Singapore? 
AVA covers the cost of inspections, lab analysis and other tests conducted by Singapore on shipments. 
 
- In paragraph 43, Singapore mentions that certa in products (for example propagating material, 
yuca) require additional documentation.  What  kind of documentation do they require? 
We think there is a mistake in the terminology ("additional documentation") and what that sentence 
refers to is that some plants require "additional declaration/certification".  The usual phytosanitary 
certificate only states that "the plants/plant products has not been subjected to the risk of infestation 
or infection", but plants/plant products from the South American Tropics, for example, require an 
additional declaration/certification on the phytosanita ry certificate to certify that they are "free from 
Microcyclus ulei ".  So the additional requirement is not another document, but another 
declaration/certification, which will appear on the same phytosanitary certificate document. 
 
- Regarding paragraph 44, Singapore states that unf it consignments are destroyed or returned to 
the country of origin.  Would some sort of qua rantine treatment be an acceptable option for 
Singapore? WT/TPR/M/202/Add.1 
Page 98  
 
  Paragraph 44 refers to food consignm ents, for which “quarantine” treatment would not apply, as the 
unfit consignments would be due to some form of contamination, rather than due to disease.  
Nevertheless, where appropriate, Singapore will consider allowing certain types of “unfit” 
consignments to be further processed within Singapore. 
 
- Regarding the protocol agreements mentioned in paragraph 45, what procedure does a third 
country have to follow in order to sign one of these agreements with Singapore? 
 
These are not “protocol agreements”,  per se, as mentioned in the report, but rather they are 
accreditations.  The accreditation of foreign farms and establishments is based on risk assessment, 
including factors such as the veterinary infrastr ucture, disease status, legislation and other SPS 
measures, and hygiene.  Countries which are interested in seeking accreditation may apply to 
Singapore’s AVA and submit information about its animal health and veterinary public health 
systems, together with information about the r espective farms or establishments seeking the 
accreditation.  Following the ri sk assessment as mentioned above, accreditation may be given. 
 - With reference to paragraph 46, where is it possible to obtain information on allowable 
microbiological specifications? 
 Information on allowable microbiological specific ations is available from AVA on request.   
 
- Does the AVA recognize establis hments accredited by the competent authority of the 
exporting country? 
Yes, AVA does recognize establishments accredited by the competent authority in some exporting 
countries.  In order to apply for accreditation to export meat to Singapore, an establishment will need 
to send its application through the competent authorit y of its country for endorsement.  The competent 
authority will then forward the endorsed applicat ion to Singapore for consideration.     
 
- With reference to paragraph 50, is there a web site containing the list of high-risk food 
products? 
The list of high risk processed food products is av ailable at the following website under the heading, 
“Import requirements of specific food products” 
http://www.ava.gov.sg 
 (d) Labelling 
Page 47, paragraph 51 
 - What is the purpose of requiring that the country of origin be specified on the original label of 
all imported products?  Does the same requireme nt exist for domestic products?  Does the 
original label have to be in the official la nguage of Singapore, or is it possible to use a 
supplementary label when the origin al label is not in that language? 
 
“Country of origin” under the Sale of Food Act, re fers to the country where the final product is 
produced.  “Country of origin” labelling is required  for the purpose of product traceability, e.g. for 
product recall when required.  In the case of loca lly produced products, the name and address of the 
manufacturers are to be specified on the label. Und er the Sale of Food Act, prepacked food products 
are to be labeled in English.  If the original label is not in English, supplementary label with the 
required information in English is acceptable. 
  WT/TPR/M/202/Add.1 
 Page 99 
 
 
  - Is it possible under the Sale of Food Act to deny  entry to a product that has failed to comply 
with the labelling regulations? 
 
Food products that do not comply with the labe lling requirements are allowed to enter into 
Singapore.  The discrepancies are to be rectified before the products are released for sale.  
 
 
ECUADOR  
 
"Ecuador is interested in a detailed as feasible  response regarding the statements made by the 
Secretariat in par 73, page 51 of its Report (doc  number WT/TPR/S/202) about Singapore's "Global 
Trader Programme", such as management criteria, administration, commodities involved, etc. " 
 
Under the GTP, the list of current approved products includes:  
- Petroleum and petroleum products, 
- Agricultural commodities and bulk edible products, - Building and industrial materials, - Consumer products, - Machinery components, 
- Minerals 
- Electrical products 
 Qualifying international trading activities refer to tr ading in any of the appr oved products on a spot 
or forward basis.  
 
 WT/TPR/M/202/Add.1 
Page 100  
 
  RESPONSES TO FOLLOW-UP AND ADDITIONAL QUESTIONS 
 THE EUROPEAN COMMUNITIES
 
 
Follow up on question 2 : Could Singapore elaborate on the socio-cultural reasons for applying high 
tariffs on stout, porter, beer and ale and not in other stronger alcoholic beverages? 
 
Beer and stout are most commonly consumed by Si ngaporeans.  In maintaining the tariffs on these 
products, Singapore hopes to contro l the consumption quantities in  our effort to discourage 
consumption and to reduce alcohol related problems. 
 
New Question :  Chapter II:  Trade Policy Regime, paragra ph 14, page 23 and para. 14, page IX.  The 
Secretariat report notes that "During the period un der review, the trend towards GLCs operating 
increasingly on the same basis as private companies has been reinforced by further divestments by 
Temasek, by enhanced corporate governance re gulation (which has imposed more stringent 
disciplines for listed GLCs), and by the enactme nt of an economy-wide competition law, which 
applies in principle to all enterprises, including GLCs”.  
 
In the case of Temasek, the Fund value is estimated at 85% of GDP, of which 38% is in Singapore.  
The IMF Staff Report for the 2007 Article IV Consultation recognizes that “Public sector ownership in government-linked companies (GLCs) across a broad range of economic activities may stifle 
competition and private entrepreneurship.  Therefor e, staff recommended that the divestment of non-
strategic GLCs be accel erated in line with the recommenda tions of the government-sponsored 
Economic Review Committee.”  
Could Singapore describe its divestment activities during the last four years and its foreseen 
divestment plans in the medium and long term?  
 
Temasek's role today is that of an investment  holding company which owns and independently 
manages its assets, with the aim to deliver sustai nable financial returns on its overall portfolio to its 
sole shareholder, the Singapore Government. Therefore, decisions on divestment of GLCs held by 
Temasek are made by Temasek purely on the basis of commercial considerations and appropriate 
market conditions, without any direction or influence from the Government. 
 The trend of divestment by Temasek of its local investee companies is continuing. For example, it was 
publicly announced in 2007 that Temasek would be divesting the electricity generation companies in 
its stable i.e. Tuas Power, Senoko Power and Po werSeraya. Tuas Power was sold to Huaneng in 
March this  year, and Temasek has just announced  that they will divest Senoko Power by mid-
2009.  
 Separately, with regard to Statutory Board companies, the Government had divested PSB 
Corporation and PSB Certificate to German company TUV SUD in 2006. In March 2008, 
Government also announced the tender commencement for SISTIC, a ticketing services company with 
private sector equivalents. 
  
More importantly, GLCs are not a means of indu strial policy in the current developed state of 
Singapore’s economy. GLCs, whether directly or i ndirectly owned by Government, do not enjoy any 
advantages by virtue of their ownership links and compete on equal terms with private sector 
enterprises.   
  WT/TPR/M/202/Add.1 
 Page 101 
 
 
  Transport services, page 96, para. 70   
 
Question:   
We would like to invite Singapore to be more sp ecific regarding the reference in its reply to 
"economic security reasons". In fact, we wish to better understand which are these reasons which do 
not allow Singapore to provide with opportunities to  foreign service suppliers in the Port of 
Singapore.  
On our policy to have two terminal operators, we would like to inform that Singapore is an island 
state where limited land resou rces compelled that these be optimally utilised. The current 
arrangement of having 2 terminal operators is intende d to provide economies of scale in operations to 
serve this need.  Notwithstanding this constraint , Singapore has allowed foreign equity participation 
in our cargo terminal sector through JV agreemen ts between the terminal operators and shipping 
lines, under which the latter can operate dedicated terminal facilities. 
 
 
__________