CANBERRA – Singapore and Australia signed a slew of agreements under the ambit of the Comprehensive Strategic Partnership (CSP) on Thursday morning (Oct 13), cementing substantive cooperation to strengthen broad-based ties for years to come.

Prime Minister Lee Hsien Loong and his Australian counterpart, Mr Malcolm Turnbull, witnessed the signing of several key agreements at the Parliament House in Canberra covering trade, defence, innovation, as well as combatting transnational drug crime, as both sides operationalised a 10 year-strategic partnership roadmap which was concluded just last year.

The two nations also concluded a third upgrade of the Singapore-Australia Free Trade Agreement (SAFTA), which was first signed in 2003.  The updated SAFTA will enter into force next year.

“This third review of the Singapore-Australia Free Trade Agreement signals the commitment of both governments to promote stronger economic ties by increasing the flow of goods, services, and investment between our countries,” said Minister for Trade and Industry Lim Hng Kiang.

“The upgraded SAFTA builds on existing provisions and incorporates new commitments which will make it easier for Singapore and Australian companies to leverage opportunities in both countries.”

Under the updated agreement signed by Mr Lim and his Australian counterpart, Mr Steven Ciobo, there will be updated trade rules in goods, increased opportunities for businesses to bid for government procurement contracts, enhanced access to each other’s services sectors, and greater facilitation for investments, said the Ministry of Trade and Industry (MTI) in a press release on Thursday. Other enhancements include improved mobility for business persons, and rules to facilitate trade in the digital economy.

Singapore and Australia enjoy strong economic ties. Singapore ranks as Australia’s fifth largest trade and investment partner, and Australia’s largest trading partner among the Association of South-east Asian Nations. Bilateral trade has grown steadily over the years and reached S$20 billion in 2015.

Defence ties are also set to be upgraded after Minister for Defence Dr Ng Eng Hen and his Australian counterpart, Ms Marise Payne, signed a Memorandum of Understanding (MoU) to allow the Singapore Armed Forces (SAF) enhanced access to train in Australia.

Under the MoU, the SAF will be able to conduct unilateral training in Australia for 18 weeks with 14,000 troops per year over 25 years, in training areas 10 times the size of Singapore. Singapore and Australia will also jointly develop military training areas and advanced facilities in Australia.

TODAY understands that planning and detailed design of the new training facilities will begin early next year, while the increased number of troops on the ground is expected to take place in the coming years.  

Singapore and Australia enjoy multi-faceted ties, with cooperation that spans the political, economic, defence, culture and the arts, and people-to-people spheres.

Both sides signed a joint declaration on a CSP in June 2015 to deepen economic integration, expand defence cooperation, promote innovation and entrepreneurship, and strengthen people-to-people ties over the next decade.

In May this year, Canberra and Singapore announced various cooperation initiatives to operationalise the CSP.

Under the CSP, the governments of both countries have also agreed to promote closer scientific research and innovation collaboration in areas of strategic mutual interest.

Under an agreement signed between Minister for Foreign Affairs Dr Vivian Balakrishnan and his Australian counterpart, Ms Julie Bishop, on Thursday, both governments will provide resources to promote research and development. Singapore will provide support worth about S$25 million over five years, with Australia providing equivalent support from a variety of sources.

There will be three priority areas going forward, including research and development work between the research institutions, shared research infrastructure as well as innovation and entrepreneurship.

Singapore's National Research Foundation and Australia’s Department of Industry, Innovation and Science will be the lead implementing agencies for the agreement.  

The Central Narcotics Bureau and the Australian Federal Police have also pledged to work together to combat illicit drug trafficking, including strengthening capacity and professional development via joint training, development programmes and exchange of officers.