Growth of the F&B Sector in Singapore

Debated in Parliament on 14 Jan 2013.

Summary written by AI (learn more)

The F&B sector's GDP contribution has remained stable at around 1.3%, while the number of outlets grew by 54% and total employment nearly doubled over a decade, with foreign workers increasing to one in three of the workforce.
The government recognizes the sector's role in making Singapore attractive but views the reliance on foreign workers as unsustainable, hence investing $75 million in productivity initiatives like part-time pool programs.
Businesses unable to adapt may close, but entrepreneurs can access government schemes such as SEEDS and TECS to redirect their efforts into new ventures.

Questions identified by AI (learn more)

Full Transcript

Tan Su Shan

Ms Tan Su Shan asked the Minister for Trade and Industry (a) over the last 10 years, how has the F&B sector in Singapore grown in terms of GDP contribution, number of outlets and employment in this sector; (b) whether there has been a significant increase in this sector which would account for the rapid rise in demand for foreign workers; and (c) whether there are plans to help those that will have to close down due to the labour cost pressures, to channel their entrepreneurial energy elsewhere.

Lim Hng Kiang

The GDP contribution from the Food and Beverages (F&B) sector has remained at approximately 1.3%11 from 2001 to 2011. Over the same period, the number of F&B establishments grew from 4,185 in 2001 to 6,453 in 2011, an increase of 54%12. The total employment in this sector grew from around 91,000 to 175,000, with the proportion of foreign workers increasing from slightly below one in six in 2001 to around one in three currently13. The growth in the number of foreign workers employed in the F&B sector was strongest from 2005 to 2008, when the economic outlook was favourable and F&B businesses expanded rapidly.

A vibrant F&B sector is important for Singapore to remain an attractive city in which to live, work and play. However, while the growth of this sector has created more jobs for Singaporeans, it has also led to a significant increase in the number of foreign workers. This is unsustainable. Under the productivity roadmap for the F&B sector, the Government has, therefore, set aside $75 million to help businesses improve productivity and reduce their need for foreign workers. One initiative under this roadmap is SPRING's Part-Time Pool

Page: 154

Programme, which will help F&B establishments tap on a pool of trained part-timers for deployment during peak service hours.

In addition, to encourage corporate restructuring, the Government provides an allowance of up to $5 million for all qualifying share acquisitions in the basis period for each Year of Assessment under the Mergers and Acquisitions (M&A) scheme.

Businesses that cannot restructure and adapt to the new operating environment may eventually close down. Entrepreneurs who subsequently start up new ventures can tap on various Government schemes, such as SPRING's Start-up Enterprise Development Scheme14 (SEEDS) programme and the Technology Enterprise Commercialisation Scheme15 (TECS), to help grow their business ideas.

Summary written by AI (learn more)

The F&B sector's GDP contribution has remained stable at around 1.3%, while the number of outlets grew by 54% and total employment nearly doubled over a decade, with foreign workers increasing to one in three of the workforce.
The government recognizes the sector's role in making Singapore attractive but views the reliance on foreign workers as unsustainable, hence investing $75 million in productivity initiatives like part-time pool programs.
Businesses unable to adapt may close, but entrepreneurs can access government schemes such as SEEDS and TECS to redirect their efforts into new ventures.

Questions identified by AI (learn more)

Growth of the F&B Sector in Singapore | PAPERCUTS

Growth of the F&B Sector in Singapore

Debated in Parliament on 14 Jan 2013.

Summary written by AI (learn more)

The F&B sector's GDP contribution has remained stable at around 1.3%, while the number of outlets grew by 54% and total employment nearly doubled over a decade, with foreign workers increasing to one in three of the workforce.
The government recognizes the sector's role in making Singapore attractive but views the reliance on foreign workers as unsustainable, hence investing $75 million in productivity initiatives like part-time pool programs.
Businesses unable to adapt may close, but entrepreneurs can access government schemes such as SEEDS and TECS to redirect their efforts into new ventures.

Questions identified by AI (learn more)

Full Transcript

Tan Su Shan

Lim Hng Kiang

Page: 154

Programme, which will help F&B establishments tap on a pool of trained part-timers for deployment during peak service hours.

Summary written by AI (learn more)

The F&B sector's GDP contribution has remained stable at around 1.3%, while the number of outlets grew by 54% and total employment nearly doubled over a decade, with foreign workers increasing to one in three of the workforce.
The government recognizes the sector's role in making Singapore attractive but views the reliance on foreign workers as unsustainable, hence investing $75 million in productivity initiatives like part-time pool programs.
Businesses unable to adapt may close, but entrepreneurs can access government schemes such as SEEDS and TECS to redirect their efforts into new ventures.

Questions identified by AI (learn more)

Growth of the F&B Sector in Singapore

Summary

Questions Identified

Full Transcript

Tan Su Shan

Lim Hng Kiang

Summary

Questions Identified

Growth of the F&B Sector in Singapore

Summary

Questions Identified

Full Transcript

Tan Su Shan

Lim Hng Kiang

Summary

Questions Identified