SPEECH BY MR CHAN CHUN SING, MINISTER FOR TRADE AND INDUSTRY, AT AFTON CHEMICAL’S JURONG ISLAND PLANT PHASE II EXPANSION OPENING AND CELEBRATION EVENT ON WEDNESDAY, 19 SEPTEMBER 2018 AT 9.00AM AT AFTON CHEMICAL ASIA CHEMICAL ADDITIVE MANUFACTURING FACILITY, 2 SERAYA RISE JURONG ISLAND
Good morning,
1 Let me first thank Afton Chemical for your confidence in Singapore and for putting in yet another significant investment. You have been part of the wider ecosystem of the Energy and Chemicals industry in Singapore. This investment is significant to Singapore in quite a few ways.
2 As part of our masterplan to grow our Energy and Chemicals industry, we know that we can neither compete on the basis of the amount of land we can grant nor the kind of tax incentives that we can give. So we have always reminded ourselves that in Singapore, in order to do well, in this particular industry, which is a very competitive industry, we need to focus on a few fundamentals.
3 First, we hope that our competitive advantage will come from our ability to translate research into enterprise. And this is why I hope to see more companies working closely with some of our research institutes to provide that extra value-add in our industries. We do not need to compete on price alone, but instead, compete on the quality of our product and the innovation that we can bring to bear in this industry.
4 The other competitive advantage that we would like to create for ourselves, in Singapore, in this very capital intensive industry, is to build an ecosystem of supporting industries, both up-stream and down-stream. This is what we pride ourselves in, particularly in Jurong Island. Not many places in the world can provide the same kind of integrated linkages for the industry. But because we can do so, we provide value-add to each and every company that comes and partners us here.
5 But we are not done yet. Jurong Island is always a work-in-progress. We are constantly look for new partners who can value-add to this network of relationships here. We are delighted that Afton is partnering some of our local SMEs and their suppliers because this will create quality jobs for our people in Singapore.
6 Thirdly, we need to make sure that we provide long-term continuities in policies and regulations so that people who make significant investments in Singapore can have the certainty that they will get a good return on their investments. This may sound simple but it is not something that everyone else can provide. We hope that because we are able to allow our enterprises to plan for the long-term, it will make us a more attractive proposition.
7 Last, but not least, all of this is only possible if we have a strong and qualified workforce. And this is why we place a lot of emphasis on the training of workers. Because workers are really the secret competitive ingredient which makes all things possible for such a capital-intensive industry. For every job created in this industry, it may require us to invest millions. But we expect each of those jobs to deliver for our workers a quality of life and a set of wages that are highly competitive. Wages that can allow them to take care of themselves and their families well. And we will continue to make sure that we attract such investments so that our workers can benefit from the high quality jobs that are generated.
8 Having said all these, we are never complacent. We understand that this is a highly competitive and highly capital-intensive industry. And for Singapore to continue to do well, we must stick to our fundamentals.
9 Number one, we need to connect our research with our enterprises so that we do not have to compete on price but on the quality of our products and the innovation in our system.
10 Number two, we need to make sure that we have an integrated ecosystem so that we are not just competing alone. Afton’s presence here adds to the ecosystem and it benefits from the ecosystem of the partners that we have.
11 Number three, we must ensure the stability of our policy and our regulatory environment because it gives confidence to every investor and assures them that whatever they put into Singapore, it will be for the long term. Whatever intellectual property that they can generate in Singapore, it will be protected.
12 Last but not least, all these only comes to bear if we can deliver good quality jobs for our workers. It is highly important that our workers continue to maintain their skills and upgrade themselves to keep pace with the new demands. I would also like to commend Afton for helping our workers to stay ahead of the competition and be constantly at the forefront.
13 So when people look at Singapore, it is not just all the other factors at play, but it is the people that will make things work. And it is all those people sitting behind, wearing blue, making this plant tick like clockwork, that gives us the real competitive advantage.
14 On that note, thank you very much for your confidence in Singapore. We promise you that this will be a fruitful partnership. And we look forward to your contribution to the Energy and Chemicals industry in Singapore and we welcome you to Singapore as always.