Reassessing Food and Beverage Sector's Economic Contribution Following Food and Beverage Sales Index Rebasing and Policy Implications of Revised Scale
Speakers
Summary
This question concerns the economic assessment and policy implications of the Food and Beverage (F&B) Sales Index rebasing in 2026, which was raised by Mr Shawn Loh. Minister Dr Tan See Leng explained that a coverage review and rebasing to base year 2025 resulted in upward revisions of historical data from 2010 onwards, though the sector's share of nominal Gross Domestic Product in 2025 remained stable at around 1%. He clarified that revised sales stood at S$1,637 million in July 2025 compared to S$1,607 million in July 2026, meaning the update does not alter the Government's policy stance. The sector remains recognized as an important domestic-facing industry that serves residents and provides employment opportunities. Minister Dr Tan See Leng highlighted that the Government will continue supporting businesses through the F&B Process Optimisation Programme, the FoodX Programme, EnterpriseSG's EDGE grant, and partnerships with Trade Associations and Chambers for restructuring.
Transcript
36 Mr Shawn Loh asked the Minister for Energy, Trade and Industry (Energy and Industry) following the rebasing of the Food and Beverage Sales Index in 2026, which led to a significant increase in monthly reported estimated food and beverage (F&B) sales from $1 billion in July 2025 to $1.6 billion in July 2026 (a) how does this change the Government's view of F&B's contribution to the economy; and (b) what are the policy implications given the industry's great heft.
Dr Tan See Leng: In March 2026, the Department of Statistics (DOS) conducted a one-time review of the coverage of food and beverage (F&B) firms to better reflect the overall F&B business landscape. Separately, DOS also completed its rebasing of the F&B Sales Index (FSI) from base year 2017 to 2025.
Together, these led to upward revisions in the historical F&B business statistics, including the monthly F&B sales estimates, from 2010 onwards. Based on the revised data, F&B sales in July 2025 was S$1,637 million, higher than the S$1,607 million recorded for July 2026. The F&B sector's share of nominal Gross Domestic Product (GDP) in 2025 remained stable at around 1%. (The revised data are available on SingStat Table Builder.1)
This revision does not change the Government's policy approach towards the sector. The F&B sector is an important domestic-facing sector that serves our residents and provides employment opportunities. We will continue to help our F&B businesses raise productivity and strengthen their capabilities to meet their growth needs, through support schemes, such as the F&B Process Optimisation Programme, the FoodX Programme and EnterpriseSG's EDGE grant. For businesses which require support through transitions and restructuring of their operations, the Government will work closely with relevant stakeholders, including our Trade Associations and Chambers, to help them assess their options early and pursue new growth opportunities.