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Singapore as a Singapore as a Global Logistics HubGlobal Logistics Hub

Presented by BG Tay Lim Heng, Chief Executive, Presented by BG Tay Lim Heng, Chief Executive,

Maritime and Port Authority of SingaporeMaritime and Port Authority of Singapore

25 November 200825 November 2008

International Ports Seminar, Brasilia, BrazilInternational Ports Seminar, Brasilia, Brazil

Maritime and Port Authority of SingaporeMaritime and Port Authority of Singapore 2

Global ConnectivityGlobal Connectivity

Singapore

Maritime and Port Authority of SingaporeMaritime and Port Authority of Singapore 3

Overview of Logistics in Overview of Logistics in SingaporeSingapore

Logistics

Singapore’s Economy

Port Infrastructure

Good Connectivity

Efficient Customs

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Singapore’s Logistics SectorSingapore’s Logistics Sector– Significant contributor to economy

• 9.4% of GDP• 180,000 workers; 9,200 establishments

– Key enabler of mfg & trading sectors• Innovative, effective supply chain solutions to serve global markets

– World’s largest port • 200 shipping lines to more than 600 ports in 123 countries

– Asia’s 5th largest cargo airport• >4,300 flights/week to 190 cities in 50 countries

– 21 of the world’s top 25 3PLs

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Maritime Logistics in SingaporeMaritime Logistics in Singapore

Maritime Logistics Sector

Infrastructure

Technology

Education & Training

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Building InfrastructureBuilding Infrastructure

Expansion and Upgrading of Pasir Panjang Terminal:

Phase 3 and 4 => additional 14 mil TEUs

Increase in total handling capacity from 32.1 million to 50.3 million TEUs

One-stop solutions e.g. 80 ha Chemical Logistics Hub, Fresh Hub and Air Cargo Express Hub

Maritime and Port Authority of SingaporeMaritime and Port Authority of Singapore 7

Developing TechnologyDeveloping Technology

• Development of WIreless-broadband-access for SEaPORT (WISEPORT)

Facilitates ship-to-shore communication + speeds up transactions

• TradeXchange

One-stop online portal for all trade-related transactions with regulatory authorities

• Radio Frequency Identification (RFID)

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Developing Manpower ResourcesDeveloping Manpower Resources

• Maritime Cluster Fund (MCF) Promotes manpower development 760 companies trained > 3,000

employees in maritime education & training programmes

Collaborations with Singapore Maritime Academy, Logistics Institute of Asia Pacific (TLI-AP) => Research and tertiary education

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Key ChallengesKey Challenges• Higher standard for excellence• Increasing number of competitors e.g. China,

India, ASEAN countries

• Constraints in land capacity and manpower resources

China

Shanghai, Hong Kong, Shenzhen

Port Klang, Tanjung Pelepas, Laem Chabang, Tanjung Priok

Mumbai, Jawaharlal Nehru, Chennai

India ASEAN

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Looking ForwardLooking Forward• Singapore as an international maritime centre, full suite of

maritime services; > 100 international shipping groups conducting variety of business activities

Shippers

Other Logistics Services

Wholesale/Retail Of Marine Equipment /

Accessories

Shipbuilding & Repair

Offshore

Material Suppliers

Labour Suppliers

Cargo / Passenger Terminals

Ship ChandlersShip Bunkering

Inland Water Transport

Storage & Warehousing

ImportersPetro-chemicals

Other Transport/Freight Forwarding

Maritime Logistics & Supporting Services

Ship Broking & Chartering Services

Education and TrainingMaritime Related R&D / IT

Government Agencies

Class Societies & Marine Surveying

Maritime Related Finance

Maritime Legal

Insurance, Reinsurance & P&IShip Management

Shipping Lines / Ship Owners

Cruises

Ship Agency

PORT

SHIPPINGMARINE & OFFSHORE

Exploration

SERVICES

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Looking ForwardLooking Forward

• Need to deepen integrated logistics capabilities e.g. chemicals and pharmaceutical sectors

• Development of next generation of supply chain solutions e.g. FA optimizaion

• A global supply chain perspective

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Looking ForwardLooking Forward

• Supply Chain Security– IMO’s ISPS Code– WCO’s SAFE Framework of

Standards– US’s Container Security Initiative– Singapore Customs’ Secure Trade

Partnership• To ensure Singapore is a secure

node in global supply chain• Mutual Recognition Agreements

as part of international network of secure supply chains

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ConclusionConclusion

• Many challenges ahead– Global Financial Crisis– Changes in international trade dynamics– Need to be nimble and react quickly to stay

viable– Possible review of existing structures and

operations– Opportunities to learn and collaborate

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