As a free port and an open economy, Singapore maintains one of the most liberal trading regimes in the world. Ninety-nine percent of all imports into Singapore come in duty-free.

Trade barriers do exist in sectors such as broadcasting, news media, legal services, some financial and banking services, and residential property. However, the telecommunications, power, financial and legal services sectors are slowly being liberalised. It is this process of "planned progress" that offers the economic stability and growth which has made Singapore such a success in entrepot trade.

Valuation for customs purposes is based on the Brussels Definition of Value (BDV), the basic principle of which is that dutiable value is the normal or import price of goods at the port or place of importation. Exporters are expected to ensure that the declared values of goods for customs purposes are correct. Cost, insurance, freight, handling charges and other incidentals are taken into account, including GST. Singapore Customs imposes severe penalties on traders attempting to evade duty. Special labelling is required for foods, drugs, liquors, paints and solvents - indicating content, country of origin, and the name and address of manufacturer or vendor.

When trading in Singapore, it is important to note that price, quality and service are the main selling factors. Prospective exporters to Singapore must be aware that competition is strong, and that buyers and consumers expect good after-sales service. Major department stores and retail chains offer fixed-price merchandise, and pricing is very competitive. Credit terms are expected, as are payment deposits for goods promised.

Singapore is the first country to implement a nationwide Electronic Data Interchange (EDI) system for trade administration that allows trade declarations to be submitted, processed and approved in a single application. It is this efficiency in our trade processes that makes Singapore an attractive trading partner. The Singapore TradeNet is an excellent source of information on our import/export regulations, product codes and trade procedures as well as a platform for online transactions with our trading and customs agencies. For information on our port and maritime services, you can visit the Singapore Maritime Portal.

Source: www.iesingapore.gov.sg