Speech by 2M Tan See Leng at Singapore Logistics Association 50th Anniversary Celebration

Mr Dave Ng, Chairman, Singapore Logistics Association,

Mr Ricky Loo, President, Container Depot and Logistics Association (Singapore),

Mr Steven Lee, Chairman, SAAA@Singapore,

Mr Eugene Heng, Secretary General, Singapore Transport Association,

Distinguished guests,

Introduction

1. It is my pleasure to join you this evening to celebrate the 50th anniversary of the Singapore Logistics Association, which was founded in 1973 as the Singapore Freight Forwarders Association.

2. Just a year earlier, in 1972, the Port of Singapore received its very first container vessel, carrying just 300 containers, at the Tanjong Pagar terminal. We have come a long way since then.

3. As our economy developed and trade activities grew, so did our logistics industry, with many Singapore-based freight forwarders offering more value-added services such as warehousing, regional distribution, project logistics, and integrated logistics.

4. So, in 1999, the Singapore Freight Forwarders Association decided to rebrand themselves as the Singapore Logistics Association – or SLA for short – marking the next chapter of its history.

Logistics – Enabling the Singapore Story

5. The logistics sector touches the lives of every Singaporean. From the export of made-in-Singapore products, to ensuring that our supermarkets and neighbourhood minimarts’ shelves are always well-stocked, to the on-time completion of our HDB flats and MRT lines – these are made possible by a very vibrant, well-functioning logistics sector. You are our heroes.

6. But the logistics sector is not always visible nor is it well-understood; I think it is because of how successful you have been. You have made it seem so seamless, so easy in Singapore, that people have taken you for granted.

7. So that’s why I love your refreshed tagline: “SGLogistics – We orchestrate every move”. It indicates that you are the maestro of the entire orchestra, capturing the high degree of complexity, know-how, and capabilities that are required to ensure that supply chains run smoothly.

a. We saw this in action at the height of the COVID-19 crisis. The logistics community worked with different stakeholders to ensure the undisrupted supply of essential goods, vaccines, and medical supplies.

b. You gave the MNC manufacturers every confidence to stay here, in Singapore, because the manufacturers knew they could depend on you, their stoic logistics partners, to keep their supply chains running. So, thank you all again.

Looking Ahead

8. We have since emerged from the COVID-19 pandemic, but significant challenges remain.

a. Recent events such as the Russia-Ukraine war and the Israel-Hamas conflict; moves towards onshoring, nearshoring, and friendshoring – all of these continue to highlight the vulnerabilities in global supply chains.

b. Global manufacturers are finding ways to strengthen the resilience of their operations through inventory management strategies, diversifying their sourcing locations, and regionalising their supply chains.

c. We are also beginning to see the effects of climate change on global supply chains. Extreme weather events have affected production capabilities at source countries and caused port shutdowns. Increasing regulations for greener supply chains are also driving the decarbonisation of existing transport networks.

9. These developments will have an impact and will affect the logistics sector acutely. Companies must be prepared to adapt, reinvent, and transform themselves.

10. I am glad to learn that SLA is preparing the industry to overcome these challenges through its five-year roadmap, known as Vision 2027, developed with support from EnterpriseSG. Let me elaborate on some of the key priorities.

a. First, building the digital logistics ecosystem. With the advances in digital technology, there is significant opportunity to tap on digitalisation to raise supply chain visibility and reduce inefficiencies. Doing so will allow logistics players like yourselves to help their customers better manage supply chain risks and costs. SLA’s efforts to bridge a new generation of local logistics technology companies with traditional logistics service providers is therefore especially welcoming.

i. One example of such a company is GUUD Pte Ltd, a Singapore-headquartered trade technology company that provides end-to-end digital solutions in areas such as trade financing, documentation, and declarations. Earlier this year, GUUD also launched Clickargo Singapore, a logistics platform that allows commercial vehicles to optimise their route planning, resulting in lower fuel consumption.

ii. Industry-level platforms such as the Singapore Trade Data Exchange, or SGTraDex, are similarly important in strengthening digital connectivity. By facilitating trusted and secure data-sharing between supply chain ecosystem partners, this reduces inefficiencies and promotes shared visibility of end-to-end supply chains.  

b. Second, driving sustainability efforts. Companies are increasingly looking into greening their supply chains. As important players in these supply chains, we hope that logistics companies should and must think likewise of investing in sustainability. I am heartened to hear that SLA plans to encourage their members to appoint a Sustainability Officer to lead their companies in their green transition, with support from SLA’s sustainability toolkits. This will be an important step in focusing the sector’s sustainability efforts and driving them forward.

c. Third, building a future-ready workforce. Digitalisation and sustainability will require the logistics sector to embark on job redesign, and support workers in their acquisition of relevant skillsets. For example, skillsets such as artificial intelligence-driven predictive analytics and intelligent automation will become increasingly important to build greater visibility and efficiency into supply chains. In the sustainability space, carbon accounting, management and reporting will be increasingly in-demand skills.

11. I encourage all of you to see this process as an opportunity to raise the quality of logistics jobs and to work closely with SLA in building more diverse career pathways for the sector. This will certainly help attract more talent to the sector.

12. Crucial to these efforts will be the sector’s access to new technology and capacity for innovation, to ensure it remains ahead of the curve. I understand that SLA will continue to facilitate sectoral innovation by convening a group of logistics companies that are ready to host testbeds for technology and green supply chain-related innovations.

13. This will support our logistics companies in having first-to-market access to new technologies and will also provide our local logistics technology firms with the opportunities to fine-tune their products with potential customers.

Conclusion

14. SLA has been an excellent partner for the last five decades. Beyond its advocacy for the logistics sector’s interests, it has also actively given back to society.

15. Back in 2021, I witnessed the Memorandum of Understanding signing ceremony between SLA and Yellow Ribbon Singapore, which sought to provide ex-offenders who have overcome their life challenges to become part of the logistics workforce.

a. This is being done through an ongoing programme to provide logistics skills training for these individuals and promote their employment with logistics companies.

b. To date, close to 700 ex-offenders have completed the training programme, and about 450 of them have been provided with job opportunities.

i. Ladies and gentlemen, it is not just these 450 ex-inmates whom you have helped. You have also helped to uplift their families and loved ones, thereby amplifying your contributions to this community.

ii. So, I am really heartened and grateful to all of you for embarking on this initiative, and I hope that you will continue giving ex-offenders a second chance at life.

16. Today, I am heartened to witness SLA’s continued support for Yellow Ribbon Singapore, through its donation to the organisation.

a. This effort is indeed commendable, as we refresh our social compact under the Forward Singapore exercise.

b. I hope that SLA would continue to be that beacon of light and inspire more organisations and associations to join this initiative.

17. Finally, as we look forward to the next 50 years, I am very heartened to learn that many of our logistics companies are run by the second or third generation of family members. This is truly a very fine example of business continuity and succession planning.

18. I am very confident that SLA will continue to be a strong voice for the logistics sector, working closely alongside the Government and its partners.

19. Ladies and gentlemen, heartiest congratulations once again on your 50th anniversary. Thank you very much.