I’m so full: Food firms urged to expand market overseas

Home isn’t where the money is.

The 15th Annual Singapore Food Expo opened on Friday with a call from trade minister Lim Hng Kiang to continue venturing abroad for expansion as the local market already has all it can eat.

“Singapore is ultimately a small market, and our companies must go overseas to continue growing,” Lim said, urging 150 food exhibitors expecting 600,000 visitors both from Singapore and other parts of the world.

The country’s food exports to other Asian countries grew by about 37% between 2008 and 2012 to reach $3 billion, totalling worldwide exports of over $4.5 billion in 2012, reflecting a double-digit CAGR of 12.9% over ten years.

But that’s not the end of the story. Lim added that competition in the international arena is more intense, explaining that products need to be well-differentiated and high in quality to make consumers notice.

Overall, there is a positive outlook for the F&B industry as Singapore companies gain good reputation and strength in branding worldwide, while increasing productivity in the local arena.

Here’s more from the speech:

The Government will continue to support the growth of Singapore’s food manufacturers by helping them increase productivity, innovate and grow the top-line, and expand into new markets.

With a generally improved global growth outlook and sound potential in Asia, there are good opportunities for players in our food manufacturing industry. I would like to encourage our food manufacturers to continue to innovate, develop new product offerings and push ahead with tapping opportunities for growth.