MANUFACTURING INDUSTRY (Joint ventures with foreign investors)

Mr Yeo Toon Chia asked the Minister for Trade and Industry how many local companies have set up joint ventures with foreign investors in the manufacturing industry, year by year, since 1970, giving the types of joint venture; and how many of these joint ventures were initiated by the Economic Development Board.

Mr Goh Chok Tong: Mr Speaker, Sir, I do not have the figures for 1970 and 1971. However, I could give him figures from 1972 onwards. The reason is that EDB started compiling these figures only from 1972.

Between 1972 and 1979, 244 companies were set up as joint ventures between foreign investors and local entrepreneurs. The investment committed by these companies amounted to S$1.3 billion. All these joint venture companies were promoted and serviced by EDB. The list of these projects is not exhaustive as the EDB does not have information on joint ventures which were formed outside the EDB, that is, those which were not promoted or serviced by the EDB.

Mr Ho See Beng (Khe Bong): Sir, has the Minister any information how many of these joint ventures were successful?

Mr Goh Chok Tong: Mr Speaker, Sir, I would not be able to give him the exact figure. But I have here a table (Cols. 1233 - 1234) which, in fact, should have been given in the first part of my answer to the Member for Ang Mo Kio. The table gives the figures from 1972 to 1979 on a year by year and industry by industry basis. It will, however, be too tedious for me to read out the figures together with the quantum of investment per year. I shall hand a copy to the Member for Ang Mo Kio and have this appended to my statement. The figures here would give an indication of the success of the companies involved. For example, if those companies that were formed in 1972 were still operating in 1979, they would be regarded as still in operation. I do not know the profits of these companies, so I would not use the word "success" but they are still in operation. table - Gross Joint-Venture Projects Committed During 1972-1979 (Cols. 1233 - 1234)