Speech by Dr Tony Tan, DPM and Min for Defence of the Rep of Singapore at the Canterbury Employers' Chamber Of Commerce Luncheon in Christchurch, New Zealand on 26 March 2001

Your Worship The Mayor, Mr Garry Moore

Members of Parliament,

Councillors,

Mr Doug Marsh

Chairman of the Canterbury Employers' Chamber of Commerce,

Distinguished guests,

Ladies and gentlemen,

Good afternoon

First, let me say what a great pleasure it is to revisit your beautiful country. This morning, I visited your impressive Crown Research Institute at Lincoln University and the University of Canterbury. These two research bodies work in food and nutrition, and technology start-ups - which are among the important areas of focus for Singapore.

The similarities between New Zealand and Singapore are many. Our populations are almost the same, at around 4 million. We are both islands and small states, whose prosperity is closely tied to an open global economy. This is why it is in the best interests of our two countries to be committed to globalisation, inter-regional co-operation and promoting free trade. This is perhaps also the reason why New Zealand is the first country to conclude a free trade agreement with Singapore.

The historic Agreement between New Zealand and Singapore on a Closer Economic Partnership, or ANZSCEP, was signed last November by Prime Ministers Goh Chok Tong and Helen Clark in Singapore. The agreement is a step forward for both countries in fulfilling their commitment towards achieving Apec's goals of free and open trade and investment. The new partnership has opened up ample opportunities for trade, and also for business, investment and joint projects. In the area of information technology, both countries have committed to give cross-border market access for computer and computer-related services. For life sciences, products in this sector will enter both countries at zero tariff. These arrangements will be reviewed periodically to explore even closer co-operation.

Because we are both small countries, we set and maintain high educational standards, believing that investment in the future of our peoples is central to our further development. We are also both committed to gearing up our societies towards building a knowledge-based economy. This way, we can tap the latent talents of our peoples, to nurture creativity, innovation and entrepreneurship, to create greater value for our own economies and the global economy.

As an illustration of what we are working on in Singapore, in the area of infocommunications and media, we are building Singapore into a trusted e-business hub in Asia. Now that we have established a solid infrastructure in the areas of telecommunications, financial system, IT and logistics, as well as hosting leading industry players, we are looking to enhance the softer aspects of reliability, trust and brand identity. This will take us to another plane in developing Singapore as a base for companies to grow their business for the regional and world market.

In the area of biomedical sciences, we are concentrating on new efforts such as putting in place concrete steps to position Singapore on the world biomedical sciences map. For instance, the Singapore Genomics Program (SGP), a flagship biomedical research programme, is looking to embrace and integrate in its work other disciplines such as biology, engineering, computer sciences, epidemiology and medicine. To support the work of the SGP and other biomedical areas in Singapore, a Bioinformatics Institute will also be established to develop new tools and software that will aid in genomics and drug discovery efforts. These and other initiatives were endorsed by our Biomedical Sciences International Advisory Council when it met last month in San Francisco in the United States.

In the new world economy, the constraints of size can be overcome by capability and connectivity. Hence it is all the more important for countries like New Zealand and Singapore to maximise our resources through international collaboration. The technological capabilities that one country has can be enhanced with strong global networks, whether it is for basic research and development or close-to-market commercialisation. Singapore companies can explore collaborative projects and joint ventures in New Zealand. For promising start-ups, there is an ample pool of funding. For instance, more than S$10 billion of venture capital funds was managed out of Singapore in 2000. New Zealand companies should look closely at tapping into this source of funds, as well as exploring the spinoff opportunities created with the new projects that are regularly being announced in Singapore.

Singapore can also act as a point of business connectivity for New Zealand to markets in Asia and the rest of the world. Companies from all over the globe use Singapore to explore and expand business opportunities in the Asia-Pacific. For instance, some IT companies from India support customers in New Zealand from Singapore. This is just one example of the symbiotic relationship between New Zealand and Singapore. Companies like household appliance manufacturer Fisher & Paykel and Temperzone, a commercial air-conditioning equipment maker, have set up regional offices in Singapore. We welcome more New Zealand companies to find a second home in Singapore.

Another area where our two countries can co-operate further is in maximising our human talent, especially in technology and R&D. There is scope for us to build linkages and exchanges of know-how and expertise, to expand on the potential inherent in our peoples.

The FTA between our countries is a new mechanism which will enhance the environment for business and other joint efforts to improve the quality of life of our peoples. I urge the private sector in New Zealand and Singapore to make the most of the new opportunities now available, and our peoples to collaborate more closely. I look forward to many new projects between our two countries in the coming months.

Thank you.

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