Singapore has a superior geographical position and is the gateway to the ASEAN regional market.

Setting up a trading company in Singapore means capitalizing on Singapore's trade connections to ferry import and export goods while benefiting from Singapore’s excellent infrastructure.

In addition, Singapore has a clear and transparent regulatory framework, as well as clear import and export procedures. If you plan to set up a trading company in Singapore, understanding all aspects of Singapore's trade--such as application for licenses, types of goods that can be imported or exported, taxes imposed--is necessary.

Step 1: Register an enterprise in Singapore

The entire registration process is conducted through BizFile+, the online filing system of the Accounting and Corporate Regulatory Authority (ACRA) of Singapore. After registration, your company will receive a unique identification number (UEN). However, foreigners or foreign institutions who come to Singapore to register companies cannot complete the registration procedures on ACRA by themselves. You must complete the registration process through a third-party service provider, such as a company providing qualified secretarial and accounting services. 

Step 2: Activate the company’s Customs Account

Before carrying out any import and export activities, you must activate your company's Customs Account. Once your Customs Account is activated, you can transact with Singapore Customs and submit an application to obtain an import or export license. No fees are charged for the activation of the Customs Account.

To activate the Customs Account, please log in to the Singapore Customs Account Portal and submit an application to activate the Customs Account. This step can only be performed after your business entity is successfully registered, because a valid UEN is required. You must also provide details of your primary and secondary contacts in order to receive all correspondence from Singapore Customs.

In addition, you may be asked to provide other supporting documents, such as the applicant's identity documents and a copy of the certificate of incorporation. Generally, you will receive a notification of the application results within 4 working hours.

Step 3: Check whether your goods are listed on the “Controlled & Prohibited” list

Some commodities, such as food and medicine, are listed as "controlled" or “prohibited” commodities by Singapore Customs. According to the list of Singapore Customs, some controlled or prohibited goods include:

– Animals, birds and their by-products

– Endangered wildlife and their by-products

– Meat and meat products

– Fish and seafood products

– Fruits and vegetables

– Arms and explosives

– Bulletproof vests

– Toy guns, pistols and revolvers

– Weapons, spears and swords

– Movies, videos and video games

– Publications and audio recordings

– Prescriptions

– Drugs

– Poisons

– Telecommunication and radio communication equipment

You can search the classification of your goods on the Singapore Customs HS/CA portal website to find out whether they are "controlled" goods. The portal website also provides information about which agency is responsible for your "controlled" goods, so that you can obtain relevant information from the agency.

Step 4: Apply for a license and permit

The next step is to apply to Singapore Customs for a Customs Import Permit or a Customs Export Permit. Regardless of whether the goods are "controlled" or not, all import and export goods require one, which you can apply for on the TradeNet system hosted by the Singapore Customs. In some special cases, such as for trade samples of non-controlled goods which import or export CIF (cost, insurance and freight) value does not exceed SGD $400, a permit is not required.

1. SFA License

Traders involved in the following businesses must obtain a license from the Singapore Food Agency (SFA):

• Import and export/transshipment of meat and fish products

• Import/transshipment of fresh fruits and vegetables

• Import and export/transshipment of processed food and food appliances

If you are not sure whether your product needs to apply for an SFA license, you can contact the headquarters of the Singapore Food Agency to verify, using the product name, manufacturer and ingredient details stated on the product label.

In addition, you need to obtain acceptable certificates issued by the competent authority of the country of origin as evidence of the safety of the product. Acceptable certificates are as follows:

• HACCP (Hazard Analysis Critical Control Point) Certificate

• GMP (Good Manufacturing Practice) Certificate

• Health Certificate issued by competent food or veterinary authority of exporting country or region

• Attestation of export issued by competent food or veterinary authority of exporting country or region

• Factory license (issued by the regulatory authority of the exporting country)

Some high-tech products are subject to the export control regime of the exporting country, and the Singapore importer may need to provide the exporter with the Import Certificate and Delivery Verification (ICDV). Importers can apply to Singapore Customs for ICDV. Articles covered by ICDV must be directly imported into Singapore and cannot be transferred to other countries.

2. Export, transshipment or transit of strategic goods

If you want to export, transfer or transit strategic goods, you must apply for a Strategic Goods Control (SGC) permit via TradeNet®. Strategic commodities are regulated by Singapore's Strategic Goods Control Act, which covers all goods and technologies that may be used to develop or access weapons of mass destruction.

3. Export of local goods

Some buyers may ask the Singapore exporter to provide a Certificate of Origin (CO) to prove that your goods are manufactured in Singapore. There are two ways of obtaining the CO: either you or freight forwarder/freight forwarder can apply for the CO via TradeNet.