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Handbook Final3.Indd 1 Contents Singapore Introduction Your Business Partner For India I. Message from President, June 05 - May 06 Singapore Business Federation 14 II. Message from President, Mr George Abraham Federation of Indian Chambers of Commerce & Industry (FICCI) 16 Chairman & M.D. [email protected] III. Message from Publisher, Mr Paul Tan East & Asia Pacifi c Trade & Industry Publications Pte Ltd 18 Business Development Consultant [email protected] 1. Singapore, Facts & Figures Ms Anne-Marie Research & Publications Executive 1.1. General Information 28 [email protected] 1.2. Facts, Figures and Graphs 29 Mr Dennis Tan Design & Multimedia Executive [email protected] 2. Why Establish a Business in Singapore Mr Leslie Choo 2.1. Advantages of starting a business in Singapore 33 Business Development Executive [email protected] Ms Christine Li 3. Recent Developments in Singapore-India Relations Administration & Circulations Executive 3.1. Singapore’s Ongoing Free Trade Agreement with India (CECA) 37 [email protected] 3.2. Bilateral Relations 38 Mr Gopal Prabhakaran 3.3. Trade Statistics 39 Audit & Accounts Consultant [email protected] Published by: 4. How to Set Up A Business in Singapore East & Asia Pacifi c Trade & Industry Publications Pte Ltd 4.1 Policy for Government Approval 55 No.1 Shenton Way, #11-06 Singapore 068803 4.2 Type of Companies 56 Tel: (65) 6423 1078 4.3 Registering a Foreign Company Branch 57 Fax: (65) 6423 1079 www.gagrp.com 4.4 New Application for Representative Offi ce 58 4.5 Government Financing Schemes 58 Printed by: Markono Print Media Pte Ltd 21 Neythal Road, Singapore 628586 5. Singapore Infrastructure M.I.C.A. (P) 206/05/2005 5.1. Air Transport: Changi Airport 60 © Copyright 2005. All Rights Reserved. East & Asia Pacifi c Trade & Industry 5.2. Ports: PSA 60 Publications Pte Ltd 5.3. Public Transport: MRT, Taxis and Bus Service 60 No part of this publication may be re- sold, reproduced or transmitted in any 5.4. Technology and Telecommunications 61 form or by any means without the 5.5. Water 61 written permission of the publisher. In the event of violation of its copyright, 5.6. Electricity and Gas Supply: Public Utility Board 61 East & Asia Pacifi c Trade & Industry 5.7. Environment and National Security 62 Publications Pte Ltd will take appropri- ate legal action to preserve its rights. 2 6. Major Industries 6.1. Chemicals 63 6.2. Bio-medical Sciences, Pharmaceuticals 63, 64 6.3. Electronics and Precision Engineering 64 6.4. Engineering Environmental Science 65 6.5. Infocommunication and Media 65 6.6. Logistics & Transport Engineering 66 6.7. Professional Services 66 6.8. Real Estate 69 6.9. Shared Services 69 7. Trade – Import and Export Regulations 7.1. Import Procedures 73 7.2. Export Procedures 74 7.3. Trans-shipment Procedure 75 7.4. Applying through TradeNet 75 7.5. Certifi cate of Origin 76 8. Tax Regulations 8.1. The Tax System 80 8.2. Types of Taxes 82 8.2.1. Income Tax for Companies 82 8.2.2. Property Tax 84 8.2.3. Goods & Tax Services 84 8.2.4. Stamp Duty 85 8.2.5. Cess Tax 85 9. Legal System 9.1. Judiciary and the System of Courts 86 9.2. Intellectual Property Rights 86 3 10. Labour and Wage Policies 10.1. Central Provident Fund 88 10.2. Industrial Relations Act 88 10.3. Trade Union Laws 88 11. Financial Sector 11.1. Monetary Authority of Singapore (MAS) 89 11.2. Banking and Bank Liberalisation 90 11.3. Insurance 95 11.4. Electronic Financial Services 96 12. Stock/Capital Markets 12.1. Singapore Stock Exchange (SGX) 97 12.2. Government Securities 97 13. Singapore Foreign Policy 13.1. Singapore Cooperation Program 98 13.2. Singapore and International Organisations 98 14. Singapore as an Education Hub 14.1. The Education System 102 14.2. Why choose Singapore? 102 14.3. Education Services 103 14.4. Financial Support 106 15. Healthcare 15.1. Public, Private Hospitals & Clinics 107 15.2. Health Facilities 108 16. Tourism 109 17. Ministries and Statutory Boards 112 4 4 18. Useful Addresses 124 19. About FICCI 128 20. About India 151 21. Singapore Business Partners For India Corporate Profi le 164 Alphabetical List of Companies 217 Products/Services Index 253 Advertisers’ Index 263 5 Message Mr Stephen Lee Chairman India is an important trade and investment partner for Singapore. In the last 3 years exports to India have surpassed S$7 billion while imports have doubled to S$4.7 billion. Singapore’s cumulative investments in India was US$1.17 billion at the end of 2004 and this does not include large investments like Singapore Telecoms’ stake in India’s Bharati Group. In addition to trading, the key focus sectors for investments from Singapore are infrastructure services, transport and logistics, and technology, which have seen many of the largest corporations in Singapore make their entry into India. Singapore companies are involved in infrastructure projects where they are building townships and IT Parks in Hyderabad, Chennai and Bangalore. Besides the government-linked companies and the multi-national companies , India’s vast markets have succeeded in luring many Singapore pioneers. Frontline was the fi rst Singapore- owned IT Services company which invested S$13 million into an Indian company. More recently Singapore’s SESDAQ listed food and beverage chain BreadTalk Group Limited announced a signing of a ten year Master Franchise Agreement with a company in India to provide India’s fi rst international lifestyle bakery chain. The fi eld is therefore open for a wide variety of trade and investment activities. Businessmen on both sides are eagerly awaiting the conclusion of the negotiations between Singapore and India on a Comprehensive Economic Cooperation Agreement (CECA) which is expected to be fi nalised and signed shortly. This will pave the way for greater enhancement of mutually benefi cial bilateral trade and investment. SBF is pleased to support FICCI in this venture to promote bilateral trade and investment. SBF, with over 15,000 corporate members, will aggressively promote business potential and opportunities. This book comes at an appropriate time to assist SBF in our efforts. 6 Message Mr Onkar S. Kanwar President Federation of Indian Chambers of Commerce & Industry (FICCI) In the ASEAN region, trade between India and Singapore is the largest. Today total trade between the two countries stands at over S$11 billion and should increase even more dramatically with the signing of the Comprehensive Economic Cooperation Agreement (CECA). Singapore is also the largest ASEAN investor in India with various projects ranging from hotels and banking to infrastructure development. The reforms process initiated by Dr. Manmohan Singh, Prime Minister of India, is coming full circle and India has seen an unprecedented economic boom resulting in the transformation of the country from a closed and protected economy to a dynamic market oriented one. Our trading and cultural links go back in history and the role of Indian merchants in developing commercial ties between Singapore and Southeast Asia since the 2nd Century AD is well documented. Today the process has gone beyond trade to bilateral investments. Indian companies are also beginning to play an active part in using Singapore as a hub for the region for manufacturing, trading and services. FICCI as the largest apex organisation of Indian business and industry, is a proactive solutions provider through research and interaction at the political and bureaucratic level and global networking. With its 500 primary members comprising regional chambers and industry associations and direct and indirect representation of 250,000 companies all over India, FICCI is able to provide Singapore traders and investors the appropriate platform for networking. I am confi dent that this publication will help to promote Singapore as a business partner in India. 7 Message In the last 50 years, Singapore’s economy has been totally transformed from a colonial out-post to a global city which serves as an international venue for shipping, electronics and fi nance. The most important aspect of Singapore is that it has been able to reinvent itself as it moves up the value chain and transforms its business partnerships at the bilateral and multilateral levels, into growing and thriving business. Singapore has the advantage of educated human capital, a cosmopolitan outlook and fi rst-class amenities in housing, education, transport and entertainment. More importantly its links with the rest of the world through its world class Singapore Changi International Airport, Port of Singapore and bilateral free trade agreements (FTAs) have enhanced its historical role as a port and fi nancial hub. Singapore is the world’s most globalised nation in 2005 in terms of trade, travel, technology and links to the rest of the world, according to a ranking by A.T. Kearney/Foreign Policy Magazine’s Globalization Index. It has also been ranked Asia’s best place to live, ahead of Japan, Hong Kong, Taiwan and South Korea, according to EIU Quality of Life Index (2005). Singapore’s trade and investment relations with India have increased rapidly over the years and this is expected to jump dramatically. It is therefore important for Indian businesses to understand what makes Singapore work and how to tap into Singapore as a doorway for regional and global business. With the right partnerships, Singapore and Indian companies can leverage on each other’s strengths and enhance existing trade and investment fl ows to mutual advantage. This publication aims to promote an understanding of what Singapore can offer and a portfolio of Singapore companies that businesses in India can work with effectively to capitalise on the synergies on both sides.
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