MINISTRY OF TRADE AND INDUSTRY

BG (Res) LEE HSIEN LOONG Deputy Prime Minister and Minister for Trade and Industry

The Economy

The Singapore economy grew by 8.5% in 1990. We can sustain this high growth by developing our human resources and R & D capabilities, upgrading our infrastructure, co-operating with our neighbours, and establishing linkages with our international and regional markets. Our competitive advantage must continue to be a competent and hardworking workforce and excellent infra-structure.

Singapore will be a total business centre with first-class services to back up her excellent physical infrastructure. We will make Singapore a global hub for air and sea transport, and telecommunications.

Developing Human Resources

People are our key resource. We will develop a culture for quality in our workers. We will encourage companies to increase spending on training to 4% of payroll with the help of the Skills Development Fund. The NPB will create more training opportunities for our people to continually upgrade their knowledge and capabilities.

Developing R & D Capabilities

We must harness technology to give our workforce a competitive edge, and help us move into a new phase of industrial development. The National Science & Technology Board (NSTB) will promote development of scientific and technological capabilities. It will co-ordinate national R and D efforts. R & D expenditure should reach 2% of GNP by the year 2000.

We will draw up a Science and Technology Masterplan to identify the areas Singapore can enter, e.g., bio-technology, micro-electronics, information technology, and how to strengthen our capabilities in these areas. To build up a critical mass of R & D personnel, we are considering creating a Science Habitat, which will be a conducive place for scientists and researchers to work, and live in.

Upgrading Infrastructure

JTC will start to renew its older industrial sites. Plans for the first business park, to be located at Jurong East, will be finalised this year.

JTC is studying enlarging and merging the group of islands south of Jurong into a site for chemical industries. Engineering studies have begun.

The PUB will invest $3.4 billion over the next three years to expand its generation, production, transmission and distribution capacities for electricity, water and piped gas. Agreements for the supply of water and natural gas from Malaysia have been signed. Discussions for the supply of water and natural gas from Indonesia are in progress.

TDB will initiate new projects to help Singapore companies compete in international markets. A Trade Intelligence Information Hub will give our traders an edge in a rapidly changing international trading environment. A Fashion Resource Centre will help local designers, manufacturers and fashion houses to keep abreast of the latest developments in the international fashion scene.

Establishing International Linkages

Singapore will continue its outward-looking economic strategy. We will continue to search for investments which introduce new technology to Singapore and generate activities with higher value added and skills content.

We will encourage more local companies to seek opportunities abroad. We will help local enterprises to upgrade their operations and become more efficient. SISIR will step up its efforts to help Singapore-based companies meet the required standards to export to the European Community and elsewhere. Co-operating With Our Neighbours

We will continue to strengthen economic ties with countries in the region. The Growth Triangle is a tangible example of economic co-operation with our neighbours. We will expand the co-operation to cover other areas, eg, developing tourist resorts, industrial estates and water catchments in Bintan, and developing a Science Park with Johor. We will continue to co-operate with neighbouring countries to make the Growth Triangle a dynamo for the Asia-Pacific region.

Tourism

The STPB will intensify its promotional and marketing efforts, especially in the fast-growing Asia-Pacific region. Singapore welcomed 5 million visitors in 1990. This year will see the opening of the Tang Dynasty Village, Bugis Street, Telok Ayer Market, Underwater World at Sentosa and the renovated Raffles Hotel. These will make Singapore a more attractive tourist destination and provide more recreational outlets for Singaporeans. The Southern Islands will be developed into a major tourist resort.