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Singapore: Diverse Productivity Equals High Demand in Global Trade

One would be amazed to how an island country tucked within Southeast Asia wields much influence in global business. Yet, just as the island of Manhattan symbolizes American prosperity and cultural diversity, so the Republic of Singapore mirrors those same characteristics on a worldwide scale. As the fourth largest financial center on the planet, this region where the land mass roughly equals the size of Rhode Island has enjoyed centuries of wealth and growth.


Singapore port


As one of the most active sea ports in the world, Singapore has observed an open business environment and capitalist economy since gaining its independence from Great Britain nearly fifty years ago. The region's bustling sea transportation and carefully planned free market paradigms have greatly inspired other global export powers who look up to the "Singapore Model" with the goal of achieving a similar high-level Gross Domestic Product (GDP) ratio and low unemployment rates. According to the Global Competitiveness Report 2009-2010 by World Economic Forum, Singapore is ranked the 3rd most competitive nation among 133 major and emerging economics only after Switzerland (No. 1) and United States (No. 2), whereas it scores No. 1 followed by Hong Kong (No. 2) and USA (No. 3) in the World Competitiveness Scoreboard 2010 by International Institute for Management Development, Lausanne, Switzerland.


As an exporter, Singapore deals mainly with countries in the Middle East and Southern Hemisphere, as well as the United States. The country, like other Asian Tigers, is reliant on natural resources and raw materials for production, hence its dependence on trade with nations like Australia and New Zealand and the United Arab Emirates.


Top Industries and Exports of Singapore


Statistics from the US State Department reported in 2009 that Singapore's main exports to North America include industrial machinery and electronic components. These products have home with other nations as well, and Singapore is known throughout the rest of the world for providing the following in global trade:


Biotechnology: In the last decade, Singapore has gained a foothold in the manufacture of pharmaceuticals and other healthcare products. GlaxoSmithKline, Pfizer, and Merck are among the major companies with plants on the island.


Crude Oil: Crude and petroleum is shipped practically daily from Singapore's ports for refinement. The UAE in particular is a major importer of this item.


Shipping and Aircraft Components: Whenever and wherever you fly, chances are the parts used to build your plane have come from this region. As a top port, the island arguably has more expertise than any other market with regards to shipbuilding.


Computer and Technological Circuitry: Like its fellow Asian Tiger markets, the island republic enjoys a successful business in the production of computers and accessories. Acer, for one, is reliant on trade with Singapore for their business.


Jewelry: Particularly in the Middle East, precious gems and pearl jewelry are exported with regularity.


As a diverse culture of prosperity that serves as the model, profitable trade environment, Singapore stands tall as a top global trade empire. A healthy currency and fortuitous location will undoubtedly keep the country at the forefront of world business.


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