Opening Remarks by Minister Lim Hng Kiang at the Turkey-Singapore Business Forum 2014 at the Swissotel Stamford Hotel, Padang Ballroom, Singapore

Your Excellency Nihat Zeybekci

Distinguished Guests,

Good Afternoon.

Introduction

I am pleased to join you at this afternoon’s Turkey-Singapore Business Forum.

Singapore-Turkey Relations Continue to be Strong

Relations between Singapore and Turkey continue to grow from strength to strength. There has been more frequent interaction between our two countries in recent years. Our Deputy Prime Ministers exchanged visits – Turkish Deputy Prime Minister Ali Babacan visited Singapore in March 2012, while DPM and Minister for Finance Tharman Shanmugaratnam visited Turkey in May 2012 in conjunction with the second Turkey-Singapore Business Forum and opening of IE Singapore’s overseas centre in Istanbul. In 2013, our Foreign Affairs Ministers exchanged visits. The opening of our Singapore Embassy in Ankara in July 2012 has also helped to broaden and deepen our interactions. Today, we are also pleased to welcome Turkey’s Prime Minister Recep Tayyip Erdoğan to Singapore.

But it is not just at the political level that interactions are increasing. Many of us may have noticed that Turkey is becoming a popular holiday destination with many Singaporeans. In 2012, more than 20,000 tourists from Singapore visited Turkey and 30,000 people from Turkey visited Singapore. Turkey’s long and rich history has long fascinated travellers, including Singaporeans. Today, Singapore Airlines operates a direct route to Istanbul, and Turkish Airlines flies daily to Singapore. This enhanced air transport connectivity will continue to facilitate greater exchanges between our countries.

Our Economic Value Propositions

With such connectivity, Turkish businesses can leverage on Singapore’s strategic location to tap opportunities in a rising Asia. Demand from this region is growing strongly.  According to the OECD, Asia will see 3.2 billion people moving up to the middle class by 2030, making up nearly 60 per cent of total global consumption¹.  Asia is a diverse market comprising many unique cultures, customs and business traditions.  Singapore can be the hub for Turkish businesses seeking a deep understanding of such a variegated region, in order to develop and execute a pan-Asian strategy.

Turkey's long-term growth potential remains positive. The private sector in particular, has grown rapidly as a result of the Turkish government's pro-business policies. Turkey’s economic fundamentals are sound, and it has a young, growing and well-educated population. Turkey’s large domestic market of more than 70 million people will also generate strong demand for goods and services that Singapore companies are in a good position to provide.

Singapore-Turkey Trade Opportunities

Both Singapore and Turkey possess similar advantages as we combine the best of the East and the West. As the trading hubs of our respective regions, Turkey and Singapore have flourished because we welcome foreign investment and international trade. Turkey is an important gateway to the markets of Europe, the Middle East and Central Asia, while Singapore, given our strategic location and networks, is a gateway to Asia, including Southeast Asia.

In the current context of sluggish growth and weak demand in advanced economies, it is vital to seek growth opportunities in new markets. And in that respect, the geographical advantages of Turkey and Singapore allows us to capitalise on these emerging economic opportunities.  

The relationship between Turkey and Singapore has grown and flourished over the years. Singapore's trade with Turkey has remained above S$1 billion since 2007. In 2012, our bilateral trade was S$1.46 billion. I think much more can be done if we want to grow bilateral trade. In this regard, Singapore looks forward to greater economic cooperation with Turkey through a comprehensive Free Trade Agreement (FTA). Preliminary discussions have already taken place between officials of the two countries. This morning, our two Prime Ministers have directed Minister Zeybekci and myself to launch comprehensive negotiations on a win-win basis, so the work is cut out for us.

Conclusion

With the changing global economic landscape, I encourage both Singapore and Turkish businesses to look beyond your traditional markets for opportunities. One way you can do so is to tap the extensive economic linkages of Singapore and Turkey to seize opportunities in emerging markets in our respective regions. The Turkey-Singapore Business Forum is an excellent platform to foster greater cooperation and business connectivity.

I would like to thank Minister Zeybekci for leading a distinguished delegation to Singapore. Your visit and presence today further cements our growing bilateral ties. I wish you and your delegation a productive and memorable visit to Singapore.

I would also like to wish all the business leaders and representatives fruitful discussions and an enjoyable stay in Singapore. Thank you.

¹ OECD, “Perspectives on Global Development 2012 – Social Cohesion in a Shifting World”, 2011