REGISTRATION OF IMPORTS AND EXPORTS (AMENDMENT) RULES

The Minister for Trade and Industry (Mr Yeo Cheow Tong): Mr Speaker, Sir, I beg to move the Motion* standing in my name under item 4 in the Order Paper.

*That this Parliament, pursuant to section 4(2) of the Registration of Imports and Exports Act (Chapter 270), resolves that the Registration of Imports and Exports (Amendment) Rules 1994, published as Notification No. S 14 in the Government Gazette Subsidiary Legislation Supplement No. 1 of 7th January 1994, as contained in Paper S.L. 4 of 1994, be approved.

Sir, under the current Registration of Imports and Exports Rules, Singapore's imports from and exports to all countries, except Peninsular Malaysia, are required to be supported by Import and Export Permits.

With the passing of the new Rules, all imports and exports will thereafter require Import and Export Permits respectively, without exception. This is consistent with international practice.

Historical background

Sir, the exemption of the requirement for Import and Export Permits for trade with Peninsular Malaysia dates back to the period before 1957, when Singapore was part of the British Straits Settlement. At that time, imports and exports moved freely between Singapore and the various States of Malaya without the need for Permits. When Singapore became independent in 1965, we continued the practice of not requiring Permits for trade with Peninsular Malaysia.

In 1967, Singapore legislated the current Registration of Imports and Exports Rules. This requires traders importing from or exporting to West Malaysia by road and rail to deliver a Declaration to the Customs at the Woodlands Customs checkpoint or at the Railway Goods Shed checkpoint. Transport agents for imports from and exports to West Malaysia by sea and air, deliver the Declaration to the Imports and Exports Office. The Declarations do not require any endorsement by Government departments, and are used primarily for the compilation of trade statistics.

Rationale for the Amendment

Sir, the existing procedure for documenting trade with West Malaysia will no longer be adequate when GST is implemented. With effect from 1st April 1994, imports into Singapore from all sources will be subject to GST collection. Exports from Singapore, including re-exports, to all destinations will be eligible for refund of GST.

This makes it necessary for all import declarations to be endorsed and scrutinised to ensure that the reporting is accurate for the purpose of GST declaration.

The proposed amendment will remove the exemption for Import and Export Permits for trade with West Malaysia to enable the Trade Development Board to scrutinise, if necessary, the declarations of imports from and exports to West Malaysia, and endorse them before they can be accepted at all Customs checkpoint for the clearance of goods.

Implementation

Sir, with the amendment, the Permit Requirement for trade with Peninsular Malaysia will harmonise Singapore's trade documentation system for all our trading partners, and facilitate the implementation of GST. We plan to implement the new Rules on 1st April 1994, to coincide with the implementation of the GST.

Sir, I beg to move.

Question put, and agreed to.

Resolved,

That this Parliament, pursuant to section 4(2) of the Registration of Imports and Exports Act (Chapter 270), resolves that the Registration of Imports and Exports (Amendment) Rules 1994, published as Notification No. S 14 in the Government Gazette Subsidiary Legislation Supplement No. 1 of 7th January 1994, as contained in Paper S.L. 4 of 1994, be approved.