TRADE WITH EASTERN BLOC COUNTRIES (Assistance to local traders)

Mr Yeo Toon Chia asked the Minister for Trade and Industry what plans his Ministry has to help local traders to export to or to trade with the Eastern bloc countries; and whether there are any plans to open trade offices in or send local trade missions to these countries.

The Minister of State for Trade and Industry (Mr Mah Bow Tan) (for the Minister for Trade and Industry): Mr Speaker, Sir, the Eastern bloc has hitherto not been a major trading partner of Singapore. In 1989, trade with them amounted to S$1.13 billion, which is less than 1% of our global trade. However, in the medium to long term, following the recent political and economic developments in the Eastern bloc, this trade should increase.

The Trade Development Board has been actively promoting trade with the Eastern bloc for several years. It has organised trade missions to these countries, and participated in trade fairs there, on an annual basis since 1966, and then twice a year since 1988. For 1990, TDB is planning to send three missions and to participate in three trade fairs. These will cover USSR as well as almost all the East European countries. TDB is currently also studying setting up more trade offices in Eastern Europe.

TDB tries to bring together Singapore traders and trading organisations from these countries to form joint venture trading companies. These will match the marketing expertise and the connections of Singapore traders with the needs of consumers and firms in Eastern Europe. In the last two years, nine such joint ventures have been established.