TECHNOLOGICAL DEVELOPMENT IN SINGAPORE (Measures to stimulate)

Mr Eugene Yap Giau Cheng asked the Minister for Trade and Industry, in view of Singapore's industrialisation drive ,for the 1980s, whether a blueprint for action to stimulate technological development in Singapore has been drawn up, and if he will provide an outline of the blueprint and state when it will be implemented.

The Minister for Trade and Industry (Mr Goh Chok Tong): Mr Speaker, Sir, my Ministry is doing some preliminary research into the institutional framework and the measures needed to stimulate technological development in Singapore. We hope to develop the ideas further into a plan for implementation next year. Nevertheless, I would like to share with the House some tentative thoughts on how we can stimulate technological development.

Obviously, the fastest way is to encourage technological transfer from abroad. We must therefore continue to promote foreign investment, especially in higher technology products. These products include machine tools, industrial machinery, optical instruments and other precision engineering products, aircraft and automobile components, industrial electronics and computer-related products, petrochemicals and fine chemicals. Secondly, existing industries must be encouraged to automate and upgrade their operations to increase their technological content. Thirdly, we must continue to expand and upgrade our industrial training facilities as manpower development is an integral part of technological development. Fourthly, local industries must also upgrade their technology. The Economic Development Board can help by assisting them to form joint ventures with foreign partners.

While the thrust for our industrialisation in the 1980's will still be largely dependent on technology transfer from abroad, we must consider how to promote engineering research and development (R & D) work by industries and institutions in Singapore. A modest start has been made with the Product Development Assistance Scheme. Companies are also allowed to deduct R & D expenses for income tax purposes. In addition, we are now examining a proposal for Government to set up a proper institutional framework, such as a high level national body, to spearhead and coordinate our drive on R & D. This body will examine our R & D manpower development, identify R & D needs and capabilities and coordinate our R & D efforts both in the public and private sectors.

These are some broad steps that we can take to stimulate technological development in Singapore. I would welcome other suggestions from the hon. Member. 3.30 p.m.

Mr Speaker: Order. It is 3.30 p.m. now and we still have Questions 26 to 39 yet to be answered. If Members concerned so wish, they can indicate their desire to postpone these questions to the next available sitting of Parliament. If not, written answers will be provided by the Ministers to whom the questions are addressed. What is your wish? Do you wish to ask them again?

Some hon. Members: Yes.

Pursuant to Standing Order 21(2), the Questions remaining on the Order Paper (See section, "Oral Answers to Questions"(Cols. 371 - 374)) accordingly stood over to the next available sitting of Parliament.