Why Singapore?

Market opportunities in Singapore for Norwegian maritime
industry
NCE Maritime 13 February 2012 Part 2
Why Singapore?
Egil Rensvik
Science & Technology Counsellor
South & SouthEast Asia
Innovation Norway, Singapore
>>> Back to index
1050 Program del 2
- Hvorfor Singapore?
- Etablering i Singapore
- Myndighetene tilrettelegger for bedriftsetableringer.
- Erfaringer fra norske bedrifters etableringer
- Erfaringer fra internasjonaliseringssatsinger fra Møre In2, iSight etc
(Eldar)
- Forretningskultur
- Etablering i Singapore med familie? (internasjonale skoler etc),
- Samarbeid mellom Forskningsrådet og Singapore Maritime&Port
Authority inen maritim FoU og Trening og Utdanning, ( SE egen ppt)
- Den norske Ambassaden og Innovasjon Norge i Singapore- hva kan vi
bidra med?
2
>>> Back to index
1 - Why Singapore?
Singapore:
•
World’s largest port
•
70% of world’s offshore rig building and FPSO
conversions
•
A maritime services centre
•
A gateway to Asia
Norway in Singapore:
•
2000 Norwegians living in Singapore
•
200 companies; 160 related to maritime / offshore
sectors
•
Maritime R&D MoU RCN-MPA
•
Norwegian Export: NOK 7 billion (2009), 4th largest in
Asia
•
Norway, 6th largest FDI in Singapore (2009)
>>> Back to index
Updated
Establishing a
Business in Singapore
>>> Back to index
Government Incentives
Supporting Manpower Capability Development
• Initiatives in New Technology Scheme (EDB)
• Training and Attachment Programme (EDB)
Supporting New Venture Formation
• Startup Enterprise Development Scheme (EDB,SPRING)
>>> Back to index
6
Why Singapore
What Other People Say:
Singapore is ranked 5th in the world and 1st in Asia for
having the least corruption in its economy
IMD World Competitive Report 2010
Singapore is the easiest place to do business
Doing Business 2011 Report, World Bank
Singapore is the World’s 2nd Freest Economy
(Tariffs
and customs-duty free for almost all imports)
Index of Economic Freedom 2011, published by The Heritage Foundation /
The Wall Street Journal
SINGAPORE INC.
Approx. 7.000 Foreign MNCs
> 26,000 Foreign Companies
>10.000 Foreign SMEs
7
Norwegian Business in Singapore
 About 170 Norwegian-related companies in Singapore
 About 1400 Norwegian residents
Maritime
Oil & Gas
Telecommunications
Manufacturing
Transportation
Financial Services
Other
(Based on NBAS membership list)
8
Registering a Company in Singapore
Types of Business Entities
•
Sole Proprietorship
•
Limited Liability Partnership
•
Exempt Private Company
•
Private Limited Company
•
Singapore Branch Office
•
Singapore Representative Office
9
Private Limited Company
 Separate legal entity from its owners
 100% foreign ownership allowed
 Minimum of 1 Shareholder and 1 Director
 Shareholder(s) need not be resident(s) of Singapore
 At least One Company Director must be a Singapore Resident
 Minimum paid-up capital of Sin$1
 Company incorporation can be done in 1 day
10
Representative Office

Good way to test out the business environment & Market Opportunities

Easy to register online with International Enterprise Singapore (TDB)

A Representative Office can only engage in promotional activities

Not allowed to enter into any business transactions nor invoicing

Cannot conclude any contracts or provide consultancy services for a fee

Do not need to maintain any Accounts nor file tax returns

Long term operations has to incorporate as legal entities
11
Taxation
 Foreign companies based in Singapore are taxed on the same basis
as local companies
 Corporate Tax Rate is 17% on Taxable Income
 To help SMEs, Partial Tax Exemption is given on chargeable income
of up to Sin$300,000 for 3 consecutive tax filing years as follows:
First Sin$10,000
Next Sin$290,000
In Excess of Sin$300,000




4.5%
9.0%
17%
Personal income tax ranges from 3.5% to a maximum of 20%
Goods & Services Tax is 7 %
Zero Tax on Capital Gains
No restrictions on repatriation of profits
12
Relocating to Singapore
Work Permit
Employment Pass
EntrePass
Employment Pass
-
Issued to professionals, managers, executives, specialists
-
Minimum monthly salary to qualify is Sin$2,800 and above
-
Processing time is about 2 – 3 weeks
-
Generally no problems to get an employment pass to work in Singapore
EntrePass
-
A Special Employment Pass for Entrepreneurs
-
Application normally made prior to incorporation
-
Assessment based on credibility of proposed business plans
-
Initially validity period of 1 – 2 Years
13
Experience from Norwegian Companies
established in Singapore
Eldar Eilertsen, SINTEF MRB
14
MoU RCN – MPA
Cooperation between Singapore and Norway
within Maritime Research, Innovation and Education
NCE Maritime 13rd February 2012
Egil Rensvik
Science &Technology Counsellor,
Innovation Norway South & Southeast Asia, Singapore
Singapore – A City State
Airport
Manufacturing
Petrochemical Complex
City Centre
Land Area
707 sq km
(Norway: 600x)
>>> Back to index
Updated
Business Culture
 Different from Norway 8 – 4
 Working hours from 9 – 6 ++
 Summer Holydays
 The Boss is THE BOSS
 Example – Grynderskolen
17
Schools and Social
 International Schools
 Top Universities
 “Shopping and Eating”
 Close to Countries around
30 min to Malaysia – by car
45 min to Indonesia – by boat
http://www.singaporeexpats.com/
18
t
Clean, spectacular
and combine the
past and the future
19
We contribute to
• Innovation in Norwegian trade
and industry
• Making Norwegian businesses
competitive domestically and
internationally
• Promoting the reputation of
Norwegian businesses
>>> Back to index
5
Photo: Siv Nærø/ Innovation Norway
Focus on SMEs ….
Working also with the big …
… ‘locomotives’ for the small …
>>> Back to index
Photo: Damian Heinisch
Maritime Sector in Asia
About the sector:
- Majority of the worlds ship building with increasing complexity
- Majority of cargo transport to and from Asia region
- Low labor cost in some countries
- Increased focus on Green technology
Opportunity areas:
- Shipbuilding merchant and offshore vessels
- Ship Design packages
- Ship equipment and systems delivery
- Maritime and Offshore Engineering
- Coastal Surveillance
- Transport and use of LNG
- Port Operation – Transport Logistics - ICT
>>> Back to index
22
Asia
China:
From “Made in China” to
“Invented in China” (Pop: 1.33b)
India:
The “Silicon Valley of Asia !”
IT Outsourcing Services & Call Centre
Services (Pop: 1.15b)
Asia
Asia’s Potential:
“We are now only
scratching the surface !”
>>> Back to index
Japan:
“Re-Awakening Giant ?” But the big
earthquake in March will set them back
Korea:
The next “Electronics” giant of the
world !
South East Asia:
ASEAN is a big potential market with
almost 600 million people
Thank you for your attention
>>> Back to index
24