Trade Services

Singapore offers global businesses low-cost trade financing, sophisticated risk management solutions, world class logistics and access to world-class human capital.

Access-to-financing

Access to Financing

Inexpensive and diversified sources of trade financing are crucial considerations for trading firms setting up new offices. The availability of competitively-priced financing and a highly-developed banking and financial infrastructure facilitates the growth of trading activities.

Why Singapore?

  1. Singapore ranks among the top 3 financial centres in the world[1], and is the largest corporate banking centre in Asia.
  2. Singapore has over 500 financial institutions providing merchant and wholesale banking, including a high concentration of key trade banks.
  3. The Singapore Exchange (SGX) is Asia’s most internationalised exchange, with more than 40% of companies listed on SGX originating outside of Singapore. It is also the top listing venue in Asia for international debt securities.

Important links

  • Singapore Exchange
    Singapore Exchange (SGX) is the Asian Gateway, connecting investors in search of Asian growth to corporate issuers in search of global capital. SGX represents the premier access point for managing Asian capital and investment exposure, and is Asia’s most internationalised exchange with more than 40% of companies listed on SGX originating outside of Singapore.

  • The Association of Banks in Singapore
    The Association of Banks in Singapore (ABS) plays an active role in promoting and representing the interests of the commercial and investment banking community in Singapore. In doing so, ABS works closely with banks and the relevant authorities to maintain a sound financial system in Singapore.

Sources: 
[1] Singapore ‘third-best financial centre’, The Straits Times, 2016

Risk-Management-[Converted]

Risk Management

As commodities and financial markets turn increasingly volatile, risk management has become an inextricable function of trading houses. Being able to hedge foreign exchange exposure and having access to sophisticated risk management solutions are major considerations for trading companies looking to develop their trading activities.

Why Singapore?

  1. Singapore ranks among the top 5 foreign exchange centres in the world[1], enabling firms to hedge foreign exchange exposure easily.
  2. As one of Asia’s key insurance hubs, Singapore houses a mix of over 200 insurance players, and is the regional HQ for top global reinsurance groups such as AXA Asia Pacific, Sirius International and Copenhagen Reinsurance Company.
  3. Singapore-based insurers and insurance brokers are increasingly offering specialised lines for complex risks such as aviation, energy, marine, political and trade credit risks.

Important links 

    • Singapore Exchange
      In addition to being the Asian Gateway for equity listings, Singapore Exchange (SGX) offers commodity derivative products for global traders to carry out risk management activities. SGX Asiaclear is also Asia’s pioneering central clearing house acting as the counterparty for the clearing of financial and commodity products.

    • Intercontinental Exchange
      Intercontinental Exchange (ICE) operates the world’s leading network of regulated exchanges and clearing houses. ICE’s futures exchanges and clearing houses serve global commodity and financial markets, providing risk management and capital efficiency. The establishment of ICE Futures Singapore and ICE Clear Singapore support a growing customer base and the further development of derivatives markets in Asia. ICE has had a presence in Singapore since 2000 serving customers in the global energy markets.

    • CME Group
      CME Group is one of the world’s leading derivatives marketplace offering a wide range of futures and options products for risk management. Traded by market participants from over 80 countries, the products cover all major asset classes based on interest rates, equity indexes, foreign exchanges, energy, agricultural commodities, metals and alternate investment products such as weather and real estate. CME’s Asia headquarters is situated in Singapore.

    Sources:
    [1] Triennial Central Bank Survey, Bank for International Settlements, 2010

Legal-Arbitration

Legal Arbitration

A fair and strong legal arbitration system that is efficient and enforceable is important as it allows global trading companies to resolve disputes arising from international commercial transactions. 

Why Singapore?

  1. Singapore is the top arbitration centre in Asia[1].
  2. The strong rule of law and high connectivity with other cities make Singapore the natural arbitration point for companies. 
  3. Singapore practises common law and recognises contractual issues against sovereign states acting in a commercial capacity.

Important links

  • Singapore International Arbitration Centre
    Established in 1991, the Singapore International Arbitration Centre (SIAC) is now one of the premier international arbitration institutions. SIAC provides a neutral, efficient and reliable dispute resolution service in Singapore – the centre of Asia’s legal and business activity.

  • Singapore Exchange
    Singapore Commodity Exchange Ltd (SICOM) was appointed in 1996 to act as arbitrator in rubber disputes. Following the acquisition by Singapore Exchange Limited (SGX), SICOM continues to hold on to the role as a rubber trade arbitrator in Singapore.

Sources:
[1] International Arbitration Study, White & Case LLP, 2010

Shipping-&-Logistics

Shipping and Logistics

A large pool of international shipping groups, shipping brokers and third party logistics players gives global trading companies confidence in the smooth and efficient running of their business.

Why Singapore?

  1. Singapore has one of the world’s leading bunker ports, with over 140,000 ships calling every year and total bunker sales in 2014 reaching 42.4 million tonnes.
  2. Singapore’s prime geographical location has led to almost two-thirds of the world’s 25 largest third-party logistics service providers establishing significant operations, including regional headquarters, in Singapore.
  3. Singapore has a streamlined and efficient Customs, clearing 100% of all physical cargo within 13 minutes and offering special schemes to facilitate imports and exports.

Important links

  • The Maritime and Port Authority of Singapore
    The Maritime and Port Authority of Singapore (MPA) was established in 1996, with the mission to develop Singapore as a premier global hub port and international maritime centre (IMC), and to advance and safeguard Singapore’s strategic maritime interests. MPA is the driving force behind Singapore’s port and maritime development.

  • Singapore Shipping Association
    The SSA was formed in 1985 to protect and promote the interests of its members, as well as to enhance the competitiveness of Singapore as an international maritime centre. Its members include ship owners and operators, ship managers, ship agents and shipbrokers.

  • Singapore Customs
    Singapore Customs is the lead agency on trade facilitation and revenue enforcement matters. It is responsible for the implementation of customs and trade enforcement measures including those related to free trade agreements and strategic goods..

Trade Resources

Whether you’re a foreign or Singapore-based trading house, you’ll find the following Trade Resources useful.

  1. Trade Statistics

    StatLink

    StatLink is an online subscription-based system offering the latest Singapore bilateral trade statistics. The information is segregated by period, region, trade type and commodity classification. Subscribe to an annual or package plan.

    To get an edge in your strategic business planning, visit the StatLink site now.

  2. What are Trade Statistics

    Monthly Trade Statistics

    This monthly report provides a trend analysis of Singapore’s external trade on a month-on-month and year-on-year basis. It is released on the 17th of every month,or on the nearest working day if the 17th is a Saturday, Sunday or public holiday.

    View the trade statistics calendar, or visit our Publications section for the archived trade statistics.

    Subscribe to the Monthly Trade Statistics

  3. National Trade Platform

    A New National Trade Platform (NTP)

    Coming Soon.

     

    The Singapore Customs and Government Technology Agency (GovTech) are developing the National Trade Platform (NTP), a one-stop next-generation trade information management platform to support companies in the trade and logistics industry, as well as adjacent sectors such as trade finance.

     

    When completed, the NTP will replace the current TradeNet® and TradeXchange® systems for businesses to perform Business-to-Government (B2G) and Business-to-Business (B2B) trading needs.

     

    To find out more, click here.

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