Investments in traditional sectors
Information and communication services
Foreign investments are welcome if they bring knowledge, technology and stimulate the growth of innovative start-ups. Notable investments in the digital economy and in the Internet of Things, in particular, support this Smart-Nation in the development of sophisticated communicating sensor systems of the urban infrastructure to monitor the environment, traffic, lighting, energy-saving, waste management, water consumption.
Transport and storage
Over the next ten to twenty years, the Singapore Government plans to double the Mass Transport Rapid Lines, build additional airport terminals, move and further expand the port, and build a high-speed rail line that will connect Singapore and Kuala Lumpur. Some sites in Singapore offer exemptions from import duties (so-called Free Trade Zones). In these areas, for example at the port and Changi Airport, it is possible to store goods for re-export/sale in the area, without paying customs tariffs or the GST (the corresponding local VAT).
Renewable energies and energy efficiency
Singapore proposes itself as a model of sustainability in the energy and chemical sector and supports companies that invest in the field of energy efficiency, renewable energy and carbon emissions reductions. With the "Green Plan 2030" the city-state aims to become a hub for sustainable investments, opening up interesting opportunities for Italian companies, from the Food-Supply to Agri-Tech and Automotive.
Buildings
Italian companies can also consider exporting high-quality materials such as tiles, marble, taps, bathrooms, kitchens, and furniture.
Food & Beverage
The implementation of a Free Trade Agreement (FTA) between the European Union and Singapore facilitates further the import of more typical Italian products. It should be considered that large-scale distribution imposes substantial costs to market food products and that it is a "mature" market, so that in some sectors, such as wine, there may be a little space for new products that are not particularly competitive or of the highest quality.
Investments in modern sectors
Green mobility
The Smart & Green Mobility sector is fundamental in the city-state which must necessarily adopt smart mobility measures to ensure that its little space is smartly used through various green innovations. It is worth mentioning here the confirmation of the Singapore Government in 2020 to continue with an investment of SGD 43.5 billion in sustainable infrastructures. Green mobility in Singapore is and will also be supported by Government initiatives such as the inclusion of more than 60,000 charging points for electric vehicles in the Housing Development Board (HDB) car parks by 2030. There are also sustainable innovations in the field of maritime mobility. The Maritime Singapore Green Initiative was created in this sense to reduce the environmental impact of maritime transport, related activities, to promote clean and ecological maritime transport.
Aerospace sector
Regarded as the "Aerospace City of the Future", Singapore has one of the largest and most diverse ecosystems in Asia with more than 130 aerospace companies. Ranked # 1 for aircraft maintenance, repair and overhaul (MRO), Singapore makes up 10% of global MRO output. Since 2015, total output for the aerospace industry in Singapore has seen annual growth of 10% to surpass SGD 11 billion in 2018. The city-state's relevance to the aerospace industry is made visible by the prestigious Singapore Airshow, where senior Government and military delegations, as well as senior corporate executives from around the world, participate to forge partnerships and conclude agreements in this region. The latest Airshow took place on 15-18 February 2022 with a lower number of participants due to the Covid-19 pandemic. Singapore's consistency in this sector is also demonstrated by the existence of agencies such as Singapore Space & Technology Ltd, which exploits and advances space technologies for the benefit of people, businesses, and the planet, the Office for Space Technology and Industry (OSTIn), which serves as the national office to grow a globally competitive space industry, and the Agency for Science, Technology, and Research (A*STAR) which drives mission-oriented research that advances scientific discovery and technological innovation. In conclusion, the government of Singapore recently announced an allocation of SGD 150 in R&D on space capabilities.
Cleantech
The Asian continent, but especially Singapore, is heavily involved in research and investment in the energy field and, in general, in so-called "clean technologies" or Cleantech. This area is of considerable importance in the city-state which has committed approximately SGD 1 billion to energy research, with a focus on energy storage, green buildings, smart grids, and solar energy. With respect to the specific area of Cleantech, Singapore is demonstrating its commitment and dedication through initiatives and projects of its homegrown (or Singapore-based) companies, such as Cleantech Solar, which is a solar developer that finances, builds, owns, and manages solar projects. and which owns its headquarters in Singapore but operates throughout South East Asia and India, as well as government agencies such as the JTC Corporation, committed to transforming industries by making them more sustainable and in particular the JTC CleanTech One @ CleanTech Park initiative which offers 37,500 m2 of space for offices, workshops and dry/wet laboratories for research and development activities related to Cleantech.
Additive Manufacturing
The Additive Manufacturing (AM) sector is another important in the current Singapore scenario. Manufacturing already constitutes approximately 20% of gross domestic product, and in order to position the City-State as an advanced manufacturing base in ASEAN, the Government has announced multiple initiatives to develop cutting-edge areas such as Robotics and 3D Printing, mainly used in the aerospace and medical industries to produce sophisticated and high precision parts. These allow the manufacturing sector to grow further, seeing an increase of 3.5% also for the first half of 2020 despite the Covid-19 pandemic.
Agritech, Acquatech, Foodtech
The three sectors of Agritech, Acquatech, and Foodtech are currently a source of interest for the City-State due to their potential in using modern technologies to increase the production of food and water and, in parallel, increase the resilience of Singapore in some sectors. In this sense, the Singapore Government has achieved the "30 by 30" goal, which is to locally and sustainably produce 30% of the nutritional needs of Singapore citizens by 2030. This can be achieved through investments in the technology sector and in R&D and through innovations such as vertical farming, a sector in which investments are projected to reach USD 12.77 billion by 2026 compared to USD 2.23 billion in 2018, thus exhibiting year-on-year growth of 24.6%.
Singapore is rapidly transforming into the Foodtech capital of Asia; it is, in fact, the first country in the world to have approved the sale of chicken meat grown in the laboratory, thus establishing itself as a reference point for the sale of "plant-based" meat for the well-being of people and planet.
[1] https://www.webuildvalue.com/en/megatrends/singapore-smart-city.html
[2] https://www.edb.gov.sg/en/our-industries/aerospace.html
[3] https://www.jtc.gov.sg/about-jtc/news-and-stories/press-releases/aerospace-companies-investing-another-s$500-million-in-singapore
[4] https://www.straitstimes.com/singapore/singapore-airshow-returns-on-feb-15-with-smaller-expected-attendance-of-13000-over-4-days
[5] https://www.cleantech.com/three-way-singapore-is-driving-a-sustainable-future/
[6] https://www.jtc.gov.sg/find-space/jtc-cleantech-one--cleantech-park
[7] https://www.trade.gov/market-intelligence/singapore-additive-manufacturing
[8] https://www.enterprisesg.gov.sg/industries/type/agri-tech/industry-profile
