Trading In Singapore
Singapore is also one of the largest and the busiest seaport in the world. Foreign shipments and consignments are processed in a matter of hours while boasting as having the fastest customs clearance process globally. Many factors have contributed to the country’s economic success over the years. These include its location in South Asia having a major shipping route with deep natural harbour as well as an air trade route, a strong and stable political system along with exemplary management of the economy.The trading regime of Singapore is liberal that is it follows a free trade system. Singapore was the first country to use the free trade system concept when other nations were imposing high tariffs in trade. The key to trade success that Singapore has created to maintain a healthy relationship with other countries is the services offered by it, the price of the products and goods and finally the quality of the products and goods. These points have helped Singapore’s trade to flourish over the years. This paper will assess the trade of Singapore over the decade and how it has changed for the betterment of the country and helped it towards economic growth. The paper will also take into account the foreign direct investment inflows and outflows in the country as it is linked to the economic trade.Singapore is highly dependent on its external trade. The strategy devised by the country is to increase the exports while minimizing the barriers to import. The main imports of the country include machinery and equipment, mineral fuels, food commodities, chemical products and consumer products. Its main trading partners are Malaysia, United States, China, Japan, South Korea, Saudi Arabia and recently Indonesia. In contrast, Singapore exports electronic machinery and equipment, pharmaceutical goods, fuels, and consumer products to countries such as Hong Kong, China, Australia, Japan, United States, Malaysia, and lastly Indonesia.