In this era of globalization, Asia is developing as a major player in the world economic scenario. The inter-dependency of various nations is becoming an integral part of the growth and development process of a country. In this context, relations between Singapore and India is also witnessing some positive influences.
The relations between India and Singapore have been traditionally strong with both nations enjoying cultural and commercial relations. In recent years, India and Singapore have signed the Comprehensive Economic Cooperation Agreement (CECA) to enhance trade, investments and economic and bilateral cooperation on maritime security, training forces, conducting joint exercises, developing military technology and fighting terrorism.
More than 300,000 people of Indian origin live in Singapore. Additionally, Singapore also supported India's bid to become a permanent member of the U.N. Security Council and expand its role and influence in the Association of Southeast Asian Nations (ASEAN). Singapore has also supported India in its war against Pakistan in 1965 and the Kashmir conflict.
Singapore poses as a lucrative business destination due to many advantages, including geographical location, well-developed infrastructure, availability of modern transportation, a natural seaport that has stood as world's one of the largest for several decades and many others that have contributed towards the commercial importance of Singapore.
Singapore is the eighth largest source of investment in India and the largest amongst ASEAN member nations. It is also India's ninth biggest trading partner. India's main exports to Singapore in 2005 included petroleum, gemstones, jewellery, machinery and its imports from Singapore included electronic goods, organic chemicals and metals. More than half of Singapore's exports to India are basically re-export, items that had been imported from India. Singapore has invested in projects to upgrade India's ports, airports and developing information technology parks and a Special Economic Zone (SEZ). India has become Singapore's fourth biggest tourist destination and more than 650,000 Indians visited Singapore in 2006. Both nations have worked to collaborate on aviation, aerospace eengineering, space programmes, information technology, biotechnology and energy.
Indians and foreign investors have manifold benefits by investing in Singapore as the country offers 'visas for entrepreneurs' who want to explore the possibilities of setting up businesses in Singapore. In addition, the 'multiple journey visas for entrepreneurs' in Singapore allow the entrepreneurs to make frequent trips to Singapore.
The government has launched the Global Investor Programme that makes it easy for the entrepreneurs, business executives and international investors to establish and carry out businesses in Singapore. Further, the Singapore Economic Development Board opens up new avenues for business partnerships in Singapore by facilitating the link-ups between international entrepreneurs or foreign investors and the local business communities. There are numerous attractive opportunities that can generate profitable outcomes, including travel and tourism, food and beverages, telecom and information technology etc. These resources and other similar policies make Singapore as an ideal destination for business purposes.
Roger Lee is a Singapore-based freelance writer who writes on a wide range of topics on doing business in various jurisdictions. For more information on topics discussed in this article, refer to Singapore Company Incorporation and Hong Kong Company Registration guides.