JOINT VENTURES WITH AUSTRALIAN INDUSTRIALISTS

Mr Ng Yeow Chong asked the Minister for Finance whether the Government will consider joint ventures with Australian industrialists to establish factories in Singapore to manufacture goods with raw materials imported from Australia on the terms that 50 per cent of the finished products be allowed by the Australian Government to be imported into Australia free of tariff, the remaining 50 per cent being for the local and other overseas markets.

Dr Goh Keng Swee: The Singapore Government has been considering joint ventures with Australian industrialists along the lines indicated by the Member. It is our view that the establishment of joint ventures whereby raw materials and semi-finished products imported from Australia will be processed and finished in Singapore, partly for export to Australia with tariff concessions, and partly for sale in Singapore and export to other countries, will be of substantial benefit to both parties. However, nothing has materialised from discussions held at official and technical levels on this subject.