Written Answer

Definitions, Frameworks and Policies Towards Retaining Essential Food Manufacturing Capabilities Locally

Speakers

Summary

This question concerns the definitions and policies for retaining food manufacturing capabilities in Singapore, as raised by MP Jackson Lam. Deputy Prime Minister and Minister for Trade and Industry Gan Kim Yong explained that companies determine local capabilities based on commercial considerations, with economic agencies providing incentives like the Enterprise Development Grant for high-value investments. The government anchors non-production activities such as research, innovation, and test-bedding through sector-specific infrastructure like the Food Manufacturing Industry Digital Plan and Centres of Innovation. The Minister highlighted that Singapore maintains its competitive edge by strengthening global supply chain connectivity and leveraging a robust food safety regime to provide trust for overseas market access. These policies collectively aim to support specialized expertise and technology adoption, ensuring that food companies continue to add significant value to the local economy and benefit Singaporeans.

Transcript

3 Mr Jackson Lam asked the Deputy Prime Minister and Minister for Trade and Industry (a) how Singapore defines which food manufacturing capabilities should remain locally; (b) whether there is a framework distinguishing location-sensitive versus mobile functions; and (c) how policy ensures long-term anchoring of non-production activities such as innovation and regulatory capability.

Mr Gan Kim Yong: Companies determine which food manufacturing capabilities to remain in Singapore based on commercial considerations. If they seek to invest in Singapore or develop new capabilities, our economic agencies will assess if they qualify for incentives, such as the Enterprise Development Grant, based on the scale and scope of the investments, as well as any specialised expertise or technology that will be introduced which will benefit Singapore and Singaporeans.

In addition, our economic agencies support food companies to undertake functions, such as research and development, product and process innovation, test-bedding and commercialisation of new products in Singapore that will add value to our economy.

To be attractive and competitive, we must continue to strengthen our connectivity to markets and supply chains in the region and globally. Our robust food safety regime also provides the trust and assurance that give our food companies added advantage in accessing overseas markets. In addition, Enterprise Singapore has developed sector-specific resources and infrastructure, such as the Food Manufacturing Industry Digital Plan, Food Manufacturing Sustainability Playbook and Centres of Innovation, to cater to the industry's specific needs.