SINGAPORE — Singapore and India are moving to deepen cooperation in semiconductors, food security, digital payments, aviation and capital markets, signaling that one of Asia’s increasingly important economic partnerships is entering a more ambitious phase.
Senior ministers from both countries met in Singapore on Thursday, August 20, for the fourth India-Singapore Ministerial Roundtable (ISMR), where discussions centered on six areas: sustainability, digitalisation, skills development, healthcare and medicine, advanced manufacturing, and connectivity.
But two sectors stood out: semiconductors and food.
The talks could have implications far beyond bilateral diplomacy. Singapore is already deeply embedded in the global semiconductor supply chain, while India is pouring resources into building a much larger domestic chip-manufacturing industry. At the same time, food-import-dependent Singapore remains focused on ensuring supplies continue even when pandemics, geopolitical tensions or other shocks disrupt global trade.
Semiconductor Cooperation Is Moving From Agreements to Investment
Singapore Deputy Prime Minister Gan Kim Yong said a number of semiconductor manufacturers have invested in India since the two countries signed a semiconductor cooperation agreement in 2024.
Those manufacturers are increasingly looking to bring suppliers with them, potentially creating opportunities for Singapore-based small and medium-sized companies that operate across the semiconductor ecosystem.
That is significant because the partnership was designed from the beginning to go beyond simply attracting large chip factories.
Under the India-Singapore Semiconductor Ecosystem Partnership MOU, signed in 2024, both governments agreed to cooperate on semiconductor ecosystem development, supply-chain resilience and workforce development.
Singapore’s Ministry of Trade and Industry said the partnership was intended both to support India’s expanding semiconductor sector and to give Singapore semiconductor companies and suppliers greater access to the Indian market. A government-level policy dialogue and a business-to-business cooperation forum were also established under the agreement.
India has been trying to position itself as another major node in the global semiconductor industry, backed by rapidly growing demand from electronics, electric vehicles and manufacturing.
Singapore, meanwhile, brings decades of experience in semiconductor manufacturing and an established network of equipment, materials and specialist suppliers.
During Prime Minister Narendra Modi’s 2024 visit to Singapore, the two governments formally elevated semiconductor cooperation, with Modi and Singapore Prime Minister Lawrence Wong also visiting semiconductor equipment company AEM.
The Next Problem: Finding Enough Skilled Workers
Factories alone will not create a competitive semiconductor industry.
The August 20 talks therefore also focused heavily on workforce development.
Gan said the two countries are interested in setting up semiconductor training centres, with training expected to be driven by industry needs rather than government programmes alone.
That could become one of the partnership’s most consequential areas.
Building semiconductor plants requires billions of dollars, but operating them requires engineers, technicians and specialists trained in areas ranging from wafer fabrication and testing to precision engineering, equipment maintenance and advanced packaging.
For India, Singapore’s established semiconductor ecosystem could offer valuable expertise as those capabilities scale.
Food Security Is Emerging as Another Strategic Issue
The two governments also discussed something far more basic than microchips: keeping food moving during a crisis.
Singapore imports much of the food it consumes, making diversified and dependable international supply chains a national priority.
Gan said Singapore and India have been discussing ways to avoid supply disruptions similar to those experienced during the COVID-19 pandemic.
Singapore and India should explore closer arrangements to maintain the continued flow of food from India to Singapore during disruptions, he said.
The discussions are still exploratory. No blanket Indian guarantee of Singapore’s food supply was announced on Thursday.
That distinction matters.
What the two countries did formally sign was an MOU between the Singapore Food Agency (SFA) and India’s Food Safety and Standards Authority of India (FSSAI).
New Food-Safety Agreement Could Make Trade Smoother
The food-safety MOU is intended to deepen technical cooperation and facilitate agricultural and food trade between Singapore and India.
Under the agreement, the two regulators can exchange information on issues including:
- food labelling;
- import procedures;
- product recalls;
- emergency food-safety notifications; and
- shipments detained or rejected at the border.
Officials can also cooperate through workshops, technical visits, lectures and training programmes.
Although regulatory cooperation may sound less dramatic than a major trade deal, it could make a practical difference for exporters.
Food shipments can be delayed or rejected when regulators have different testing procedures, residue limits, labelling requirements or documentation standards. Faster communication between regulators can help both governments identify problems and resolve them before they escalate into wider trade disputes.
Food safety between the two countries has previously received particular attention.
In 2024, Singapore recalled specific batches of Indian spice products after excessive levels of ethylene oxide were detected. India’s government later said the affected products were specific batches rather than a blanket ban on Indian spices, and Indian authorities introduced measures including mandatory pre-shipment testing for exports to affected markets.
The new MOU should not be interpreted as a direct response to that episode unless either government says so, but it gives regulators a more formal mechanism for managing precisely the kinds of food-safety and import issues that can disrupt trade.
Digital Payments Could Become Even More Connected
Singapore and India are already linked through one of the world’s most closely watched cross-border payment initiatives.
Singapore’s PayNow and India’s Unified Payments Interface (UPI) were linked in 2023, allowing eligible customers to transfer funds between the two countries more easily.
Gan said the partnership has progressed well and pointed to Project Nexus, an initiative intended to connect several countries’ instant-payment systems.
Singapore and India are founding members of the project, and Singapore hopes implementation can move forward as quickly as possible.
If expanded successfully, such systems could eventually reduce friction in cross-border payments for consumers and businesses across Asia.
SGX and India’s NSE Are Looking at Deeper Capital-Market Links
The cooperation could also extend further into financial markets.
According to Gan, the Singapore Exchange and National Stock Exchange of India are exploring possibilities including derivatives and dual listings.
The objective would be to give Indian businesses broader access to regional capital while potentially reinforcing Singapore’s position as an international financial centre.
The exchanges already have experience working together.
The GIFT Connect between SGX and NSE was previously established as a trading linkage connecting Singapore with India’s Gujarat International Finance Tec-City. Singapore and India highlighted its importance when their leaders reviewed bilateral economic cooperation in 2024.
More Flights Could Follow Growing Trade and Investment
Another issue on the table was aviation.
As investment, tourism and business traffic between the countries increase, officials discussed expanding air connectivity.
Gan cautioned that aviation authorities would need to carry those negotiations forward.
The two sides are also working toward an agreement covering maintenance, repair and overhaul, or MRO, for aircraft.
That sector could become increasingly important as India’s aviation market expands.
Singapore officials had already identified aviation and semiconductor manufacturing as major new opportunities during earlier rounds of talks, pointing to India’s rapidly growing aircraft fleet and Singapore’s established aerospace-services capabilities.
India-Singapore Trade Relationship Is Already Substantial
The economic base supporting these initiatives is significant.
Singapore has been India’s largest trading partner within ASEAN and an important source of foreign direct investment.
For India’s 2024-25 financial year, Indian exports to Singapore were about US$14.4 billion, while imports were roughly US$21.2 billion, according to figures cited by The Economic Times.
That puts two-way merchandise trade at roughly US$35.6 billion during that period.
The relationship has also evolved politically.
India and Singapore elevated their ties to a Comprehensive Strategic Partnership in September 2024, reflecting cooperation that increasingly stretches beyond traditional trade into digital infrastructure, advanced manufacturing, skills, healthcare, sustainability and security-related technologies.
Space and Nuclear Technology Are Now Being Discussed Too
Perhaps one of the more striking signals from Thursday’s meeting was the range of technologies now entering the conversation.
Gan said Singapore was interested in working with India on space technology and sharing knowledge about nuclear technology.
Singapore has not decided whether it will eventually adopt nuclear power, he stressed, but wants to keep abreast of developments in the technology.
That suggests the ministerial roundtable is gradually evolving from an economic dialogue into a broader mechanism for coordinating strategic technology interests.
Another Agreement Looks Back Hundreds of Years
Not every agreement was focused on future technology.
Singapore’s Ministry of Culture, Community and Youth and India’s Ministry of Ports, Shipping and Waterways also signed an MOU on maritime heritage.
The arrangement will support information and training exchanges and encourage participation in international activities involving maritime heritage.
The two countries also signed a letter of intent covering telecommunications and broadcasting cooperation, including areas such as consumer protection and broadcasting regulation.
Why This Meeting Matters
The story emerging from the latest India-Singapore talks is bigger than any individual MOU.
India offers Singapore companies one of the world’s largest and fastest-developing markets. Singapore offers India capital, technological expertise, international connectivity and decades of experience building sophisticated manufacturing ecosystems.
Their interests increasingly overlap.
For India, Singapore could serve as a bridge to Southeast Asian capital, technology and supply chains.
For Singapore, India’s growth creates new markets while also offering another major source of critical goods, talent and industrial capacity.
The unanswered question is how quickly ministerial agreements can turn into operating factories, trained workers, more reliable food corridors, additional flights and investment.
That is where the next phase of the Singapore-India relationship will ultimately be measured.
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